Trading Update

Intec Telecom Systems PLC
3 November 2000



  Intec Telecom Systems PLC ('Intec' or 'the Company')

  2000 results to exceed market expectations
  Substantial acquisition in negotiation

  Intec (LSE: ITL) expects to announce, in mid-November, results for the  year
  ended   30  September  2000  that  are  materially  in  excess  of  previous
  expectations.

  Strong trading in the fourth quarter, including the conclusion of two  major
  PTT  contracts  and a number of other substantial deals, is  anticipated  to
  deliver  revenues  and  profits  that are materially  in  excess  of  market
  expectations.

  'Whilst  audited  figures  will  not be available  until  mid-November,  our
  initial  analysis  shows that we should report revenues  in  excess  of  £20
  million,  and earnings before interest, tax and exceptional flotation  costs
  of  around  £3.5  million'  said  Kevin Adams,  Chief  Executive  of  Intec.
  'Strong  licence sales, including a number of new customers, plus increasing
  contributions  from  service,  support  and  upgrade  revenues,   have   all
  contributed to an excellent performance. To put this in perspective,  fourth
  quarter  revenues alone will be close to our performance for the  full  year
  ended 30 September 1999.' Analysts' revenue estimates for the year ended  30
  September  2000  are  in  the  range of £18 million  to  £19  million,  with
  earnings  before interest, tax and exceptional items in the  range  of  £2.2
  million to £2.7 million.

  Intec  also announces today that it is in advanced negotiations  to  make  a
  substantial  acquisition in the United States of a privately-owned  software
  company  in  a  related area in the same sector. The consideration  for  the
  acquisition is expected to be in the region of US$250 million.  Due  to  the
  size  of the transaction in relation to Intec, the UK Listing Authority will
  classify  the transaction as a reverse takeover.  The Company has  therefore
  requested, and has been granted, a suspension of trading in its shares.

  Further,  the Company has substantively agreed terms for the acquisition  of
  Inception  to  Implementation (M) Sdn Bhd (i2i), a private Malaysian based  
  inter-carrier  billing company, for consideration in the region of US$40    
  million, including deferred consideration.

  Further  announcements relating to the proposed acquisitions and the results
  will be made in due course.

  Enquiries:

Intec Telecom Systems PLC     [phone]/[phone]
Mike Frayne                 
Executive Chairman            [e-mail]
                              
Intec Telecom Systems PLC     [phone]/[phone]
Kevin Adams                   
Chief Executive Officer       [e-mail]
                              
                              
Intec Telecom Systems PLC     [phone]/[phone]
Andrew Rodaway                
Investor Relations            [e-mail]
                              
                              
Investec Henderson Crosthwaite  [phone]
Jagjit Mundi                    [e-mail]
Co-head of Corporate Finance
                              
Cubitt Consulting             [phone]
Fergus Wylie/Serra Konuralp   [e-mail]
                              

  Intec Telecom Systems PLC

  Intec  Telecom Systems PLC is the world's leading provider, by market share,
  of   packaged  interconnect  billing  and  settlement  software,  with  more
  installations  and more telecom operators, including many  PTTs,  using  its
  software  than  any  competitor. Intec's core product, InterconnecTT,  is  a
  software   platform   which   allows   billing   and   settlement    between
  telecommunication  operators  to occur reliably,  accurately  and  speedily.
  Intec  has  around  80  installations  world-wide.  Intec's  customer   base
  includes,  amongst  others,  MCI Worldcom, COLT  Telecommunications,  France
  Telecom,  Swisscom, Thus and Telkom South Africa.  Other  product  offerings
  include  InterconnecT  ITU  for  settlement  based  on  ITU  rules  and  the
  InterconnecT  ASP  service.  Founded  in  1997,  Intec,  a  FTSE   250   and
  techMARK100 company, was listed on the London Stock Exchange (LSE:  ITL)  in
  June 2000, and has a current market capitalisation of over £1 billion.