Applied Innovation Inc. (Nasdaq:AINN) announced it has been chosen by Telkom SA, the sole fixed line operator in South Africa, to assist with South Africa's rapid telecommunications network expansion. AI will supply Telkom SA with its core AIswitch and AIscout products for the management of all network elements beyond their Primary and Secondary sites, as well as provide special engineering support for the country's SDH management solutions. The Company said that it has already received orders exceeding $2.0 million in the 2001 first quarter, under the three year multi-million dollar agreement.

About Applied Innovation:

Applied Innovation designs, manufactures, and Deploys management solutions for simplifying the control of complex networks of physically dispersed and technically diverse elements. For more information, visit www.aiinet.com.