11th January 2007

BodyTel Scientific, a company focused on the development of wireless healthcare products, has entered into a 50/50 Joint Venture with Safe-com, a German company, to market state-of-the-art monitoring products and services to diabetic patients under the brand name "GlucoTel."

GlucoTel Scientific, Inc., the Joint Venture Company, will be engaged in the research, development and commercialization of a blood glucose meter capable of transmitting data from a diabetic patient to a secure database using Bluetooth and cellular phone technology. GlucoTel's device is a small, easy to read meter which wirelessly monitors patients with diabetes, which has become one of the world's most costly medical conditions with annual healthcare expenditures exceeding $130 billion in the U.S. alone.

According to GlucoTel Scientific's President and CEO, Stephan Schraps, "GlucoTel's mission is to become a market leader in providing innovative higher quality diabetes monitoring products and services to diabetic patients and their physicians. Our primary product is a true wireless monitoring device that provides a higher quality testing, reporting and monitoring system than any currently being offered in the market."

Effective December 6, 2006, the Company entered into a joint venture arrangement with Safe-com and agreed to invest up to $2,500,000 for the further development of the GlucoTel assets. $1,250,000 has been invested to date, with the remaining balance contingent on GlucoTel meeting specific regulatory and sales requirements.

The assets that Safe-com transferred to the joint venture include: know how, received trademarks, patent applications, Intellectual Property rights and source codes for the GlucoTel Software running on mobile phones, Intellectual Property and source codes for the webserver and portal, the design and working prototypes of the blood glucose meter, all marketing and promotional equipment and all blueprints and architectural designs of the GlucoTel blood glucose meter. These assets are to be used to measure a patient's blood sugars and to transmit the measurement to a website that can be accessed by the patient's doctor or other care provider.