AsiaInfo Expects Impact on Second Quarter Revenue from SARS Outbreak.

Business Editors/High-Tech Writers

BEIJING & SANTA CLARA, Calif.--(BUSINESS WIRE)--June 18, 2003

AsiaInfo Holdings, Inc. (Nasdaq:ASIA), a leading provider of telecom network and software solutions in China, today announced that it expects revenues for the second quarter ending June 30, 2003 to be 15 to 20 percent lower than previously announced guidance of US$14 to 15 million due to delays in project delivery caused by the SARS outbreak.

The SARS outbreak disrupted travel throughout China in May and subsequently caused serious delays in service delivery to AsiaInfo's customers. As the company recognizes revenue based on percentage of work completed, the holdup in project delivery has resulted in a delay of revenue recognition. With SARS-related travel restrictions now being lifted through China, project delivery is now resuming.

"We regret the need to revise our guidance for the second quarter," said Xingsheng Zhang, president and CEO of AsiaInfo. "Over the past few months, the company has taken serious measures to ensure continued work and servicing of our customers, while still protecting the health of our employees throughout our offices and facilities in China. However, travel restrictions placed by the authorities were beyond our control, and as a result the delivery of some projects has been delayed. The projects are now resuming and we expect these delayed revenues to still be recognized in the coming quarter. While it is too early to tell how the full year will be impacted, we remain cautiously optimistic about improved conditions in the second half of the year."

The company noted it would issue guidance for the third quarter and second half of 2003 at the same time it announces second quarter earnings.

About AsiaInfo Holdings, Inc.

AsiaInfo Holdings, Inc. (Nasdaq: ASIA) is a leading provider of telecom network solutions and software solutions in China. The company provides high-quality software and solutions to China's telecom carriers, meeting the demanding needs of a fast-growing industry. AsiaInfo's products and services cover network infrastructure services including design, implementation, operation and optimization, customer management and billing solutions; decision support systems; and service applications encompassing messaging, broadband, wireless and other advanced applications.

Organized as a Delaware corporation, AsiaInfo has constructed national backbones and provincial access networks for all of China's major national telecom carriers since 1995, including China Telecom, China Mobile, China Unicom and China Netcom. Since 2000, the company has successfully shifted its focus from Internet infrastructure construction to the provision of a full suite of telecom software solutions.

For more information about AsiaInfo, please visit http:/www.asiainfo.com.

This release contains projections and other forward-looking statements regarding future events and the future financial performance of AsiaInfo that involve risks and uncertainties. Readers are cautioned that these forward-looking statements are only predictions and may differ materially from actual future events or results. Readers are referred to the documents filed by AsiaInfo with the SEC, specifically the most recent reports on Form 10-K, 10-Q and 8-K, each as it may be amended from time to time, which identify important risk factors that could cause actual results to differ from those contained in the forward-looking statements. The financial information contained in this release should be read in conjunction with the consolidated financial statements and notes thereto included in AsiaInfo's most recent reports on Form 10-K and Form 10-Q, each as it may be amended from time to time. Any projections in this release are based on limited information currently available to AsiaInfo, which is subject to change.