PRESS RELEASE

CHENNAI, 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.

About Sify

Sify is among the largest Internet, network and e-Commerce services companies in India, offering end-to-end solutions with a comprehensive range of products delivered over a common Internet backbone infrastructure. This Internet backbone reaches 188 cities and towns in India. A significant part of the company’s revenue is derived from Corporate Services, which include corporate connectivity, network and communications solutions, security, network management services, enterprise applications and hosting. A host of blue chip customers use Sify’s corporate service offerings. Consumer services include broadband home access, dial up connectivity and the iWay cyber café chain across 158 cities and towns. Sify is recognized as an ISO 9001:2000 certified service provider for network operations, data center operations and customer support, and for provisioning of VPNs, Internet bandwidth, VoIP Solutions and integrated security solutions, and BS7799 certified for Internet Data Center operations.

For more information about Sify, visit www.sifycorp.com.

About Microsoft India

Founded in 1975, Microsoft (NASDAQ:MSFT) is the worldwide leader in software for personal and business computing. The company offers a wide range of products and services designed to empower people through great software — any time, any place and on any device. Microsoft Corporation India Private Ltd is a subsidiary of Microsoft Corporation USA. It has had a presence in India since 1990 and currently has offices in ten cities — Bangalore, Chennai, Hyderabad, Kolkata, Mumbai, New Delhi, Pune, Nagpur, Ahmedabad and Chandigarh.