1Spatial Holdings Regulatory News (SPA)

20 Jul 2007 07:00

Z GROUP plc (the "Company")

Z GROUP enters agreement with VSNL, one of India's largest Internet Service Providers and a member of the Tata Group, to offer ONSPEED acceleration software

London, UK - 20 July 2007 - Z GROUP plc, the AIM listed developer and provider of leading consumer Internet technologies, announces that it has signed an agreement with VSNL to offer Z GROUP's Internet acceleration software ONSPEED to VSNL's Dial-up and Broadband customer base. The agreement will see VSNL offering ONSPEED as a value added product to increase retention and customer satisfaction.

Commenting on the announcement, Greg Lee, Head of Sales for Z GROUP plc, said:

"The partnership between Z GROUP and VSNL gives VSNL Internet customers unrivalled speeds and allows VSNL to continue to set its product apart from the competition. ONSPEED will significantly enhance the Internet experience for all VSNL customers, ensuring they do not miss out on all that the web has to offer."

For further information:Z GROUP plcMeghan Cady+44 207 952 4039meghan@zgroupplc.com

Teather & Greenwood Limited (NOMAD)

Tom Hulme+44 207 426 9000Nexus Financial LtdNicholas Nelson+44 207 451 7068About Z GROUP:

Founded in 2002, Z GROUP is a successful, publicly listed London-based technology company which acquires, licences and develops technologies and profitably commercialises them through proven branded marketing techniques, offering cutting edge, easy to use and affordable software.

Z GROUP has four software business lines:

* OnShare: proprietary and revolutionary file sharing software enabling

highly secure communication between small or large groups of users

* ONSPEED Mobile: unique mobile phone acceleration software, which speeds up

and optimises slow Internet connections and helps users control associated

costs

* ONSPEED: the fastest Internet acceleration software on the market, which

instantly enables any PC, Mac and Pocket PC user to browse and email at

near Broadband speeds by using a 9 patented compression technology

* Net2Roam: service that allows individuals and SMEs to obtain local Dial-up

access numbers worldwide at rates below normal international rates

For more information on the Group, visit www.zgroupplc.com

About VSNL:

Videsh Sanchar Nigam Limited (VSNL), a member of the US$ 27 billion Tata Group, is a leading global communications solutions company offering next-generation voice, data and value-added services to enterprises, carriers and retail consumers. Voted the Best Wholesale Service Provider at the World Communications Awards, 2006, VSNL is one of the world's largest providers of wholesale international voices services and operates one of the largest global submarine cable networks. VSNL's customer base includes 1500 Global Carriers, 450 Mobile Operators, 10,000 Enterprises, 500,000 Broadband and Internet subscribers and 300 Wi-Fi public hotspots.

Rated amongst the Top 100 Emerging Global Challengers by the Boston Consulting Group, VSNL has offices in over 35 countries including the United States of America, Canada, the United Kingdom, South Africa, Singapore, Hong Kong, Sri Lanka and India. VSNL's global transmission network of over 200,000 route kilometers and its ISP core with 200 points of presence, enable a range of services that include voice, private leased circuits, IP VPN, Internet access, global Ethernet, hosting, mobile signaling and other IP services. Our philosophy of Business Rich drives us to empower our customers to achieve enhanced value in their global businesses.

VSNL (www.vsnl.com) is listed on the Bombay Stock Exchange and the National Stock Exchange of India, and its American Depositary Receipts (ADRs) are listed on the New York Stock Exchange.