Sify and Microsoft Work Together to Bridge Digital Divide in India

Sify Limited (Nasdaq National Market: SIFY), a leader in Consumer Internet and Enterprise Services in India with global delivery capabilities, announced that it will work with Microsoft India to empower Indians with Internet and IT services and help bridge the digital divide in India. Sify will partner with Microsoft in its commitment towards Unlimited Potential in India and enable easy access for Microsoft’s initiatives through the reach of its over 3500 strong ‘I-way’ cyber café chain, as well as through its home Internet access services.Sify will offer its cyber café subscribers access to licensed Microsoft Office software to begin with, so that they can use the café as a virtual office for their needs. This will include training them in the use of MS Office for Microsoft Office Certification to increase their productivity and skills. Sify is also supporting Microsoft in bringing the industry together for the path-breaking ‘IQ PC’ initiative. The PC, aimed at families with school going children, will include 100 hours of free Internet access. This is over and above the Microsoft suite and its partner offerings from Brilliant, Pacsoft, Edurite, etc. The alliance will also include other Microsoft Certification programs, affordable utility computing for the middle class and content for online education through the Sify I-way cafe chain. Speaking of this alliance, Mr Raju Vegesna, Chairman & CEO, Sify, said, “I believe Microsoft Unlimited Potential is a path breaking initiative that will go a long way towards helping bridge the digital divide. The program will also contribute to economic development by empowering people for a technologically advanced society. We are very happy to partner with them in this initiative as it furthers our objective of empowering millions of Indians with IT services and the Internet to improve the quality of their lives. Our alliance also encompasses providing low cost utility computing for the masses that is affordable and easy to use”.Commenting on the alliance with Sify, Mr Ravi Venkatesan, Chairman, Microsoft India, said, “Microsoft Unlimited Potential is an effort to help people everywhere achieve their goals and dreams – their true potential - through relevant, accessible, and affordable technology. The idea is to work together, given the confluence of objectives of Sify as a company and our Unlimited Potential commitment, to offer affordable, easy to use services to Indians by leveraging Sify’s IP capabilities, market reach over its sophisticated network and data centre infrastructure across the country.

Forward Looking Statements:This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. The forward-looking statements contained herein are subject to risks and uncertainties that could cause actual results to differ materially from those reflected in the forward-looking statements. Sify undertakes no duty to update any forward-looking statements. For a discussion of the risks associated with Sify’s business, please see the discussion under the caption “Risks Related to Our Business“ in the company's report on Form 6-K for the quarter ended December 31, 2006, which has been filed with the United States Securities and Exchange Commission and is available by accessing the database maintained by the SEC at www.sec.gov.