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October 19, 2006
Showcase Project Approved for the Republic of Georgia

Alternet Systems Inc. (NASD OTCBB: ASYI ), announces that it has received approval for a Showcase project for the Republic of Georgia to demonstrate all of Alternet’s broadband solutions. The country of Georgia has a population of 4.6 million people and is located between Turkey and Russia. The objective of this project is a nation-wide deployment of Alternet solutions in Georgia, in partnership with QTel Global Networks. This project will employ a wireless broadband network, coupled with the Company’s innovative SchoolWeb, HealthWeb and CommunityWeb systems.

Alternet Systems goal is to provide high-speed Internet access to all schools and health centres in the country, with an emphasis on rural schools. The project will also provide commercial Internet services such as broadband internet, fixed and mobile VOIP telephones, video conferencing and IPTV to residents and businesses in the coverage area.

Alternet provides the Republic of Georgia the ability to deploy cost-effective, high-speed Internet connectivity and media services to all regions of the country and to continually support new learning content and courses throughout its education and healthcare systems. For more information contact the Company at 1-866-608-2540, or visit our website at

On Behalf of the Board of Directors

Patrick Fitzsimmons

Certain statements in this news release may contain forward-looking information within the meaning of Rule 175 under the Securities Act of 1933 and Rule 3b-6 under the Securities Exchange Act of 1934, and are subject to the safe harbor created by those rules. All statements, other than statements of fact, included in this release, including, without limitation, statements regarding potential future plans and objectives of the Company, are forward-looking statements that involve risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements.

Source: Alternet Systems Inc.

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