Commercial Internet needs take a giant step forward at 370 Lexington Avenue.

MSTI Holdings, Inc. (OTCBB: MSHI--News) and Telkonet, Inc. (AMEX:TKO--News), announced the first commercial installation of the next-generation 200Mbps Telkonet Series 5 powerline communications (PLC) system, enabling broadband networking in a rapid deployment at 370 Lexington, a high-rise commercial office building located in the heart of Midtown Manhattan.

MSTI and Telkonet are partnering to bring the groundbreaking Telkonet Series 5 platform to building owners throughout the Tri-State area as part of an aggressive marketing program.

MSTI is a leading provider of true quad play services to residential, hospitality and commercial properties, while Telkonet is the leading provider of innovative, centrally managed solutions for integrated energy management, networking, building automation and proactive support services.

The high-grade Telkonet Series 5 system at 370 Lexington was installed by MSTI's wholly-owned subsidiary, Microwave Satellite Technologies, Inc. in just a few hours, transforming the 26-floor property's backbone High Speed Interact Access (HSIA) platform, into a highly secure, Fast Ether net network, with scalable performance and bandwidth, underpinned by exceptional quality and reliability.

More than 100 businesses at the property now have access to substantially enhanced, robust and affordable HSIA, with the 200Mbps Telkonet Series 5 system supporting typical speeds of 20Mb or higher, as well as a wide range of demanding bandwidth intensive applications, such as videoconferencing.

With Telkonet Series 5 now in place, 370 Lexington's management can rapidly and easily adopt additional applications, such as surveillance, security and energy management.

This first installation underlines Telkonet Series 5's versatility for commercial Fast Ethernet network applications, enabling a building to be retrofitted with the most advanced communications infrastructure at significantly lower cost than competitive solutions.

Central to the agenda of 370 Lexington's management was finding a cost-effective HSIA offering that would cater to the diverse commercial requirements of the building.

"We were looking to outfit 370 Lexington with an alternative service offering that would match the best HSIA available for speed and capacity," stated Daniel M. Blanco, principal of Broad Street Development, owners of 370 Lexington Avenue.

He added, "Network speed and performance are of top priority for many of our tenants, and Telkonet Series 5 provides a reliable, secure platform that can handle the most demanding requirements. MSTI upgraded the entire building incredibly quickly and without any disruption to our tenants, while also drastically out-pricing any potential competitors.

"The entire process was painless--there were no time-consuming modifications to our property or its wiring, just a fast and efficient installation."

Dan Chang, the VP of Finance of China Natural Gas, which occupies at suite at the property, said, "Our company was interested in an affordable and reliable solution that could meet the demands of our business needs. The MST/NuVisions service running over the Telkonet Series 5 PLC solution has met those needs and is extremely flexible in its use."

Frank T Matarazzo, CEO of MST, believes that this first installation illustrates the commercial scope for Telkonet's advanced PLC solution, opening up a key market opportunity for the two companies.

"The combination of Telkonet's new 200 Mbps platform and MST's expertise in the tri-state commercial property market is a compelling combination. For the first time, property owners can benefit from a high performance solution that delivers on all counts, leveraging the clear advantages of PLC with Fast Ethernet speeds and performance attributes," said Matarazzo.

The Telkonet Series 5 platform is a high-level, versatile PLC solution designed specifically to meet the exacting broadband networking demands of the commercial sector. It combines Telkonet's proven powerline technology with the most advanced 200Mbps chipset currently available, to enable a new level of PLC performance that far outstrips conventional residential alternatives. It is ideally suited for in-building networks where there are issues with wired and wireless solutions, such as thick or dense wall structures, the presence of asbestos, highly secure applications, or for historic buildings where any form of physical incursion is prohibited or impractical. Telkonet Series 5 transforms a site's existing internal electrical infrastructure into an IP network backbone, without installing new cabling.

It combines the traditional PLC benefits of fast, easy and non-disruptive installation, typically in hours or days rather than weeks. It provides complete flexibility in locating communication interfaces and supports connectivity to any Ethernet or serial device or application, across data, voice and video.

It incorporates Telkonet's comprehensive built-in network management, without the need for drivers or additional software, enabling the remote monitoring and troubleshooting of communications networks.