ACE*COMM Provides Update on Proposed $4.2 Million Financing

  
    
  
  
    
      ACE*COMM Corporation (NASDAQ: ACEC) today announced that negotiations on 
      its proposed $4.2 million convertible debt financing are proceeding and 
      that it expects to sign a contract in the next several days.
    
    
      The financing, originally announced in the Company’s 
      May 15, 2007 third-quarter-2007 earnings announcement, will provide 
      ACE*COMM with working capital to continue successfully penetrating the 
      wireless market with its Patrol Suite™ product 
      line.
    
    
      Additional details on the financing and use of proceeds will be provided 
      when the transaction is finalized.
    
    
      About ACE*COMM
    
    
      ACE*COMM is a global provider of advanced operations support systems 
      (OSS) and service delivery solutions for telecommunications service 
      providers and enterprises. ACE*COMM’s advanced 
      OSS solutions are applicable to a range of legacy through 
      next-generation networks that include wired, wireless, voice, data, 
      multimedia and Internet communications networks. Network operators use 
      them for revenue management, cost reduction, improved operational 
      efficiency, acceleration of time-to-market for new services, and more 
      effective customer care. ACE*COMM’s service 
      delivery solutions provide mobile service providers with award-winning, 
      in-demand consumer-oriented services to help them achieve and sustain 
      market share, generate new revenue and position themselves as market 
      innovators.
    
    
      For more than 20 years, ACE*COMM technology has been effectively 
      deployed for more than 300 customers, spanning more than 4000 
      installations in 70 countries worldwide. ACE*COMM-installed products are 
      currently enabling the success of customers and partners such as 
      Alcatel, AT&T, Cisco, General Dynamics, IBM, Level 3 Communications, 
      Marconi, Motorola, Northrop Grumman, Siemens, and Unisys. Headquartered 
      in Gaithersburg, MD, near Washington, DC, ACE*COMM has corporate offices 
      in Australia, Canada, China, and the UK. ACE*COMM is an ISO 9001 quality 
      standard compliant company. For more information, visit www.acecomm.com.
    
    
      Except for historical information, the matters discussed in this news 
      release include forward-looking statements that are subject to certain 
      risks and uncertainties that could cause the actual results to differ 
      materially from those projected, including, but not limited to: the 
      failure of anticipated demand to materialize, delays or cancellations of 
      orders due to various factors, including business and economic 
      conditions in the U.S. and foreign countries; industry-wide slowdowns, 
      any limitations on customers’ financial 
      resources, the continued convergence of voice and data networks, the 
      continuing success of the Company’s strategic 
      alliances for product development and marketing, customer purchasing and 
      budgetary patterns or lack thereof; pricing pressures and the impact of 
      competitive products; the timely development and acceptance of new 
      products; the Company’s ability to adequately 
      support its operations, and other risks detailed from time to time in 
      the Company’s Report on Form 10-Q and other 
      reports filed with the Securities Exchange Commission.