CounterPath Leverages Channel Strategy to Focus on Small to Large Enterprise

Vancouver, BC, Canada — January 07, 2016

CounterPath Corporation (NASDAQ: CPAH) (TSX: CCV), a global provider of award-winning over-the-top (OTT) Unified Communications solutions for enterprises and carriers, today announced a three-pronged go-to-market channel strategy to expand Bria and Stretto distribution globally.

The key tenants of the approach enable CounterPath to reach small through large enterprises with a scalable solution aimed at accentuating the value proposition for each segment:

• Free Users to Paid Users via CounterPath e-store site: CounterPath has provided tens’ of millions of downloads and has millions of active users through its X-Lite free product and e-store channel sales of Bria products. This footprint primes the market for channel driven sales and lays the foundation for services that create incremental and recurring revenue and stickiness for all of CounterPath’s products. The CounterPath e-store services small to lower mid-market business users.
• Market development via strategic OEMs: CounterPath is working with strategic OEMs to forge new market opportunities by co-developing highly differentiated solutions that outperform the competition at a fraction of the cost. As an example, earlier this year, CounterPath announced its relationship with Alcatel-Lucent to focus on a next generation solution for large enterprises. Alcatel-Lucent and other OEMs typically focus on the large Enterprise.
• Recruitment of VAR/VADs to scale revenue: Over the last two years, CounterPath has signed up over 50 channel partners to help the distribution channel augment existing and new deployments with complete desktop to mobile communication solutions across the most popular call servers. The CounterPath distribution channels typically service mid-market enterprise customers.

“CounterPath continues to innovate and invest in a product portfolio that leverages the most popular call server platforms on the market” said Todd Carothers, EVP of Marketing and Products at CounterPath. “This enables CounterPath’s end-user customers to enhance their current voice offerings and extend to video, messaging, presence and collaboration offerings across desktop, tablet and mobile platforms. We have defined this highly differentiated product category as Enterprise OTT – our solution works over-the-top of virtually any network, any device and any platform.”

The combination of CounterPath’s go-to-market strategy and product innovation addresses the multibillion dollar unified communications market. According to Gartner, this exciting market is expected to grow to $42.4 billion by 2019, fueled by demand for cloud-based services as organizations digitalize their business workflows. The highest growth will come from emerging markets in Asia/Pacific and Africa.

CounterPath anticipates announcing strategy updates with go-to-market partners over 2016.

About CounterPath

CounterPath’s Unified Communications solutions are changing the face of telecommunications. An industry and user favorite, Bria softphones for desktop, tablet and mobile devices, together with Stretto Platform™ server solutions, enable enterprises, carriers and OEMs around the globe to offer a seamless and unified over-the-top (OTT) communications experience across both fixed and mobile networks. The Bria and Stretto combination enable an improved user experience as an overlay to the most popular telephony and applications servers on the market today enabling a leading voice, video, messaging, presence and collaboration user experience. Standards-based, cost-effective and reliable, CounterPath’s award-winning solutions power the voice and video calling, messaging, and presence offerings of customers such as Alcatel-Lucent, Aspect, AT&T, Avaya, BroadSoft, Bosch, Broadview, BT, Cisco Systems, Citi Group, Comcast, Ericsson, Five9, GENBAND, Genesys, MegaPath, NEC, NTT, Network Norway, Rogers and Verizon.

For more information about CounterPath’s Bria softphone applications and provisioning solutions, visit: mrkt-stg.counterpath.com/products.

Contact:

Todd Carothers
Executive Vice President of Marketing and Products
e-mail: [email protected]

This news release contains “forward-looking statements”. Statements in this news release which are not purely historical are forward-looking statements and include any statements regarding beliefs, plans, outlook, expectations or intentions regarding the future such as (1) CounterPath anticipates announcing strategy updates with go-to-market partners over 2016.

It is important to note that actual outcomes and the Company’s actual results could differ materially from those in such forward-looking statements. Actual results could differ from those projected in any forward-looking statements due to numerous factors. Such factors include, among others: (1) the variability in CounterPath’s sales from reporting period to reporting period due to extended sales cycles as a result of selling CounterPath’s products through channel partners or the length of time of deployment of CounterPath’s products by its customers, (2) the Company’s ability to manage its operating expenses, which may adversely affect its financial condition, (3) the Company’s ability to remain competitive as other better financed competitors develop and release competitive products, (4) a decline in the Company’s stock price or insufficient investor interest in the Company’s securities which may impact the Company’s ability to raise additional financing as required or be delisted from a stock exchange on which its common stock trades, (5) the impact of intellectual property litigation that could materially and adversely affect CounterPath’s business, (6) the success by the Company of the sales of its current and new products, (7) the impact of technology changes on the Company’s products and industry, (8) the failure to develop new and innovative products using the Company’s technologies, and (9) the potential dilution to shareholders or overhang on the Company’s share price of its outstanding stock options. Readers should also refer to the risk disclosures outlined in the Company’s quarterly reports on Form 10-Q, or in the annual reports on Form 10-K, and the Company’s other disclosure documents filed from time-to-time with the Securities and Exchange Commission at http://www.sec.gov and the Company’s interim and annual filings and other disclosure documents filed from time-to-time on SEDAR at www.sedar.com.