According to industry research firm ATLANTIC-ACM, the prepaid industry enjoyed compound annual growth rates of 25% per annum over the period 1995 to 2002, led by strong growth in user numbers particularly as they gained acceptance amongst mainstream consumers, lower wholesale costs, technological advancements which lowered costs and increased usage including packet technology improvements as well as point-of-sale activation and product diversification into other prepaid services (Source: IBIS World). This sector has continued to exhibit strong performance indicators consistent with solid overall growth of the telecommunications industry.

Zcom Networks, Inc. (OTC: ZCMN) is a company that targets early opportunity companies in Telecom, Media, and Technology that have potential to grow rapidly, thereby limiting the risk associated with early stage start-ups. Zcom Networks, Inc. provides telecommunication products and services including domestic and international long distance services, wholesale long distance, Point of Sale Activation (POSA), toll free numbers and switch leasing. The Company provides content radio and video delivered on demand over the internet, and viewers and listeners can access shows directly or by podcast. The Company’s goal is to accelerate the growth and valuation of strategically acquired, synergistic subsidiary companies. Zcom’s current subsidiaries include: Matrix Management, a leading provider of telecommunication products and services including domestic and international long distance services, wholesale long distance, Point of Sale Activation (PoSA); PAM TV, a Washington, D.C., online provider of, TV, Radio, talk, music, and live streaming programming heard around the world; and Big Media USA, an entertainment broadcast media and marketing company that works with business to successfully sell their products and services on the internet.

Zcom has been exceptionally active and aggressive in pursuing emerging opportunities in synergistic sectors. For instance, the Company recently purchased the assets of Matrix Management, and another share agreement with Big Media Broadcasting. In addition, Zcom has reached a strategic alliance with E2 Channel, a broadcaster of news, entertainment, sports, and talk shows in North America, as well as a distribution agreement with ITC Global Media of Santa Rosa, CA to distribute and promote the TV Box in the US as well as in international markets. TV Box is an IP device that is connected to a television set and offers access to over 100 channels including TV and radio stations from United States and international locations. By unifying all of these efforts under one umbrella, Zcom is rapidly emerging as an important provider of diverse media content and telecommunications services.

According to the Telecommunications Industry Association, U.S. Telecommunications Industry revenues reached $1 Trillion in 2007, and are projected to grow by nearly 25% to $1.24 Trillion in 2010. Worldwide industry revenues were more than $3.3 Trillion in 2006, and are expected to grow by nearly a third to $4.26 Trillion in 2010 (Source: Plunkett Research). The Telecom industry is one of the most substantial in the world, and technology advances which are driving the market virtually ensure that there are constant opportunities for innovative and agile companies to exploit. Zcom seeks to enhance opportunities through the identification, development, and deployment of VOIP, IP and/or new technology paradigm shifts.