TELEFÓNICA AND TATA COMUNICATIONS BRING TELEPRESENCE TO AN OPEN ENVIRONMENT

• Both companies have interconnected their networks enabling Telepresence interconnectivity between their respective clients
• Telefónica and Tata Communications offer transparent Telepresence sessions between their clients in a Business-to-Business (B2B) environment
• Telepresence is one of the most powerful collaboration tools for companies looking to increase their business travel options, enhance global business management and foster a new relationship culture inside the company

Madrid, April 2010 Telefónica and Tata Communications, leading providers of communication services have signed an interconnection agreement to allow customers in each of the respective networks to have seamless Telepresence sessions, regardless of the service provider from whom they are being serviced.

The announcement of this agreement is an important step forward to create an open environment of service providers, beyond the closed environment of an enterprise's Telepresence rooms or to customers of the same operator

Telepresence allows a virtual simulation of meeting rooms, joining participants who are at different locations in a life-like manner that makes them feel as if they are sitting in the same room. The technology allows for superior visual and audio transmission quality and ensures that participants' full range of facial and vocal emotions and body language are conveyed.

Making Telepresence a part of the business plan for any company brings cost optimization and reduction in travel to the final handshake or signing of the contract, therefore increasing productivity. In short, Telepresence can leverage the transformation of the working system into a new collaborative culture and is a solution which helps to reduce a company's carbon footprint and contributes to better work-life balance for employees.

The Inter-Carrier Interconnect agreement between Telefónica and Tata Communications meets the pent-up market demand for Telepresence meetings, regardless of the service provider network. With this collaboration, customers on either network can connect to each other extending their Telepresence coverage across their business ecosystem. It also gives Telefónica customers access to Tata Communications' growing network of public Telepresence rooms globally. This offers additional benefits to both Telefónica and Tata Communications customers, who can expand their internal Telepresence network without further capital investments.

About Tata Communications

Tata Communications is a leading global provider of a new world of communications. With a leadership position in emerging markets, Tata Communications leverages its advanced solutions capabilities and domain expertise across its global and pan-India network to deliver managed solutions to multi-national enterprises, service providers and Indian consumers.

The Tata Global Network includes one of the most advanced and largest submarine cable networks, a Tier-1 IP network, with connectivity to more than 200 countries across 400 PoPs, and nearly 1 million square feet of data center and collocation space worldwide.

Tata Communications' depth and breadth of reach in emerging markets includes leadership in Indian enterprise data services, leadership in global international voice, and strategic investments in operators in South Africa (Neotel), Sri Lanka (Tata Communications Lanka Limited) and Nepal (United Telecom Limited).

Tata Communications Limited is listed on the Bombay Stock Exchange and the National Stock Exchange of India and its ADRs are listed on the New York Stock Exchange. (NYSE: TCL) www.tatacommunications.com

About Telefónica

Telefónica is one of the world's largest telecommunications companies by market capitalization. Its activities are focused mainly on fixed and mobile telephony businesses, while its broadband business is the key growth driver underpinning both.

It operates in 25 countries and its customer base exceeds 264 million globally. Telefónica's growth strategy is focused on the markets in which it has a strong foothold: Spain, Europe and Latin America.

Telefónica is a 100% private company. It has more than 1.5 million direct shareholders. Its capital traded on the continuous market on the Spanish Stock Exchanges (Madrid, Barcelona, Bilbao and Valencia) and on those of London, Tokyo, New York, Lima, Buenos Aires and São Paulo.

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