Re Contract

RNS Number:4207A
Zone-IP Limited
18 July 2007


18 July 2007

                                  Zone-IP Ltd

                          ("Zone-IP" or "the Company")


      Emblaze-VCON signs strategic distribution agreement with SODC China

          for the exclusive distribution of its room system xPoint(TM)



      New distribution agreement expected to generate significant revenues


The Company announces that its subsidiary, Emblaze-VCON, a leading provider of
video communications technologies and conferencing solutions for government
agencies, operators, broadcasters and corporate enterprise markets over IP
networks, it has signed a strategic agreement with SODC (Shanghai Optical
Development & Communications) China, a nation-wide telecom and IT distributor,
for the exclusive distribution of its room system xPoint(TM)

The agreement is expected to generate significant revenues in the first 12
months as Emblaze-VCON new and advanced room system product is introduced to the
Chinese market.

This is the first major contract for xPoint(TM)signed by Emblaze-VCON since its
official launch in June 2007 and it demonstrates the market opportunities now
available to the enlarged business.

Liu Shi Zhong, Senior Vice President in SODC, said: "We are very excited to be
working with Emblaze-VCON. The high standard of performance and quality IP
products Emblaze-VCON has to offer makes this an ideal partnership. The Chinese
videoconferencing market is still driven by room systems and we have every
reason to believe that xPoint(TM)will soon gain market dominance in our
territory".

Tal Barnoach, Executive Vice Chairman, said: "The exclusive agreement with SODC
is an excellent endorsement for Emblaze-VCON advanced room system xPoint(TM)
China has long raised the bar for visually connecting people and we are most
pleased to be at the right time and place to meet the largest videoconferencing
market's increasing demand for high quality videoconferencing products"





Enquiries:
Zone-IP
Hagit Gal                                      [phone]

EmblazeV CON
Linor Shachar                                  [phone]/00

John East & Partners Limited
David Worlidge                                 [phone]



Notes to Editor


About Emblaze-VCON

Emblaze V CON develops and manufactures a variety of conferencing solutions that
enable seamless communication and collaboration using all forms of interactive
media. The company's award-winning technology ensures the highest audio and
video performance for organizations worldwide. Emblaze V CON's meeting and
collaboration solutions include desktop and group videoconferencing products,
audio conferencing products, data conferencing products and management systems.
The company markets its products and services through a network of reseller
partners, OEMS and value-added resellers around the world. Emblaze V CON has
worldwide headquarters in Israel and regional offices in Munich, Paris, New
Jersey and Beijing.






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