Etelos Announces Virtual Servers Deployed On Demand from Your Shopping Cart

SAN MATEO, Calif., Oct 02, 2008 (BUSINESS WIRE) -- Etelos, Inc. (OTCBB:ETLO) today debuts Etelos Virtual Environments(TM),
virtual server environments available with six common Web development
frameworks. These virtual environments provide quick-start platforms
Django, Ruby on Rails, Mono, Tomcat JAVA, JBoss and LAMP (Linux, Apache,
MySQL and PHP) and are now available through on-demand installations on
the Etelos
Marketplace(TM).

The Etelos Marketplace offers a growing list of applications that are
practical to everyday business users. With the addition of Etelos VEs,
businesses and developers alike have the benefit of clicking a few links
and having new computing resources available to solve their business
problems.

Unlike conventional server installations, users can go to the Etelos
Marketplace, add a virtual server environment to their cart and check
out. The Etelos Marketplace works with the Etelos Web app distribution
framework to deliver and install the applications in real time across
the network within minutes. This gives users an immediate benefit
without the traditional frustration or overhead associated with
deploying a server or a Web app.

For the software manufacturer wanting to distribute a Web App in a SaaS
model, Etelos VEs give them even more freedom and flexibility to
accomplish just that. Developers can submit their app for
re-distribution through the Etelos Marketplace and benefit from the
simplicity and scalability of the growing distribution platform.

"We are excited to be able to offer businesses
and developers more choices in how they need to accomplish their
business objectives," said Danny Kolke, Etelos
Founder and CEO. "Etelos VEs are a great
addition to our Web app distribution platform. They give developers more
opportunities to focus on the fundamentals of building a quality app and
not worrying so much about all the details to distribute it."

Introductory pricing for these solutions ranges from $7.95 to $149.95 a
month for a dedicated instance that is available 24/7. Packages vary
based upon memory, disk space and bandwidth required.

Etelos has created the ability for developers to migrate their
application to these environments and submit for distribution through
the Etelos Marketplace.

"This is the future of Web app distribution,"
Kolke said. "Delivering Web apps for
businesses and a distribution platform for software manufacturers."

Current technologies supported through the Etelos Virtual Environments
include Django, Ruby on Rails, Mono, Tomcat JAVA, JBoss and LAMP.

For more information, please visit: http://www.etelos.com/eve.

About Etelos, Inc.

Etelos is a Web app distribution platform delivering Web apps for
businesses. Unlike other cloud computing and Platform-as-a-Service
(PaaS) solutions, Etelos enables software manufacturers to migrate
existing applications or create new applications, then package,
distribute, host, bill, market and support their Software-as-a-Service
(SaaS) enabled application with their own application marketplace. Etelos(TM),
the Etelos Platform(TM), EASE(TM),
Etelos App Server(TM), Etelos VE(TM),
Etelos Cloud(TM) and Etelos Marketplace(TM)
are trademarks of Etelos, Inc.; other trademarks are the property of
their respective owners. For more information about Etelos, please visit www.etelos.com.

"Safe Harbor" Statement under the Private Securities Litigation Reform
Act of 1995: Statements in this press release regarding Etelos' business
which are not historical facts may be "forward-looking statements" that
involve risks and uncertainties. Forward-looking statements include,
among other things, statements concerning the company's partnership with
others, the future financial performance of our company, the acceptance
of our products and services, the success and timeliness of our product
and platform roll-out and other statements qualified by words such as
"anticipate," "believe," "intend," "may" and other words of similar
import. These statements are neither promises nor guarantees, but
involve risks and uncertainties that could cause actual results to
differ materially from those set forth in the forward-looking
statements, including, without limitation: For a discussion of such
risks and uncertainties, which could cause actual results to differ from
those contained in the forward-looking statements, see "Risk Factors" in
the Company's reports that Etelos files periodically with the Securities
and Exchange Commission. All forward-looking statements are qualified in
their entirety by this cautionary statement, and Etelos undertakes no
obligation to update publicly any forward-looking statement for any
reason, except as required by law, even as new information becomes
available or other events occur in the future.

SOURCE: Etelos, Inc.

Etelos, Inc. 
Eric Berto, 425-753-2222 
press@etelos.com

Copyright Business Wire 2008