Axesstel Debuts New Low-Cost WLL Phone and Secures Additional $10 Million Supply Agreement with TeleCard.

Business Editors/High-Tech Writers

SAN DIEGO--(BUSINESS WIRE)--Feb. 10, 2004

Order for New Product by Pakistan's Only CDMA Operator

to Be Filled within Twelve Months

Axesstel, Inc. (OTCBB:AXES), a leader in developing, manufacturing and marketing high-quality, CDMA-based fixed wireless local loop (WLL), hybrid terminals and engineering services to operators worldwide, today announced an additional $10 million dollar agreement with TeleCard, Pakistan's only CDMA operator, to purchase specially configured models of Axesstel's new CDMA2000 1x advanced fixed wireless desktop phone terminals. The additional supply agreement is for low-cost terminal models offering voice communications and messaging, as well as customized software that provides a unique Public Call Office (PCO) metering application to track calls for billing purposes and enables the use of widely available prepaid phone cards.

This order is complementary to a $6.75 million supply agreement with Axesstel announced recently. TeleCard's supply agreements with Axesstel strengthen its continuing effort to increase phone service penetration in Pakistan, the world's sixth largest nation, where basic telephony penetration is estimated at 3%. Officials expect the entire purchase of phones to be completed within the next 12 months.

"Affordable, reliable and practical Axesstel terminals are enabling growing numbers of Pakistanis, some of whom have never used a telephone before, to contact friends and family members and conduct business more effectively," stated Javaid Firoz, CEO of TeleCard. "Axesstel has skillfully customized its high-quality phone terminals to suit the specific needs of our customers, which lends powerful growth potential to TeleCard's business model."

"Building upon our relationship with TeleCard strengthens our customer base for repeat business and demonstrates a pattern of customer satisfaction and commitment to our products," said Mike Kwon, Chairman of Axesstel. "TeleCard will be the first carrier to roll out our new AXW-1900B phone -- the most cost effective terminal on the market. This expanded relationship solidifies Axesstel's position in Asia, which is expected to become a very high-growth region in the market."

About TeleCard

TeleCard, Ltd. is Pakistan's only CDMA operator. The company currently provides prepaid wireless phone services to more than 45 cities and towns in Pakistan, while operating more than 100 cell sites. A leading prepaid phone service provider, TeleCard uses a very innovative distribution network of public call phones (PCOs) throughout the region. It plans to expand the CDMA wireless local loop (WLL) network in Pakistan to a total capacity of 125,000 subscribers. By June 2004, TeleCard's enhanced network will cover an estimated 100 million people, about 77 percent of the country's total population.

About Axesstel, Inc.

Axesstel, Inc. (OTCBB:AXES) is powering the next generation of wireless, fixed and hybrid mobile devices based on CDMA, CDMA2000, 802.11, and emerging 3G and 4G broadband IP technologies. The company is pursuing technology and applications that will enable the development and delivery of carrier-class subscriber-based solutions, including fixed terminals, handsets and wireless payphones. To date, Axesstel's Qualcomm-licensed products can be found in more than 15 countries worldwide. The company is headquartered in San Diego, with a research and development center in Seoul, Korea. For more information, visit the company's Web site at www.axesstel.com.

"Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995: With the exception of historical information, the statements set forth above include forward-looking statements that involve risk and uncertainties. The Company wishes to caution readers that a number of important factors could cause actual results to differ materially from those in the forward-looking statements. Those factors include but are not limited to the risk factors noted in the Company's filings with the Securities & Exchange Commission, such as the rapidly changing nature of technology, evolving industry standards, and frequent introductions of new products and enhancements by competitors; the competitive nature of the markets for Axesstel's products; Axesstel's ability to gain market acceptance for its products; the Company's ability to attract and retain skilled personnel; and the Company's reliance on third-party suppliers.