Exhibit 99.1


[GRAPHIC OMITTED]

         American Telecom Services Introduces More than Thirty New DECT
       6.0 Multi-Handset Pay N' Talk and Internet Phones at the Consumer
                                Electronics Show

  Company remains a U.S. leader in cordless DECT 6.0 multi-handset and Internet
                   phones using interference-free technology



ATS Contact:                   Bruce Hahn, CEO
                               (310) 871-9904
                               (404) 261-7466
                               Bruce.Hahn@atsphone.com

ATS Investor Contact:          Brett Maas, Principal
                               Hayden Communications
                               (646) 536-7331
                               brett@haydenir.com

ATS Media Relations:           Danielle Ross
                               Comunicano, Inc.
                               (858) 314-2958
                               dross@comunicano.com




Las  Vegas-January 8,  2007--American  Telecom  Services,  Inc.,  (AMEX:  TES) a
leading  provider of converged  communications  solutions,  today  announced the
introduction of more than 30 new models of Pay N' Talk(TM) and Digital Clear(TM)
Internet cordless phones. The announcement,  made at the opening of the Consumer
Electronics  Show in Las  Vegas,  includes  Digital  Clear  Internet  phones for
consumers,  small business Internet phone offerings, and traditional Pay N' Talk
cordless,   multi-handset  phones,  each  with  its  own  corresponding  service
offering.

All cordless phones use the interference-free  DECT 6.0 protocol to expand to as
many as five handset locations without interference from Wi-Fi,  microwave ovens
or other cordless phones.  DECT is a proven technology  available for many years
in Europe,  but only  recently  available in the U.S.  DECT 6.0 provides  better
sound,  increased  functionality and a lower cost structure than the 5.8 GHz and
2.4 GHz platforms that are commonly used for cordless communications in the U.S.
ATS provides the most  diverse



selection of DECT Pay N' Talk and Digital Clear cordless  Internet phones in the
U.S., all bundled with service offerings.

ATS phones are  currently  available at Staples,  Office Depot,  Eckerd's,  CVS,
Sears,  Brandsmart,  QVC, TigerDirect and Target.com.  The new phone models will
begin  to  appear  in  these  and  other  stores,  as  well  as  through  online
"e-tailers," in the first quarter of 2007.

With prices ranging from  $19.99-$99.99,  these feature-rich  phones are some of
the most affordable in the market.  Special retailer  promotions and rebates are
available on some phones, providing even greater values to consumers.


Digital Clear cordless Internet phones (with DECT 6.0 technology)

These ATS  Digital  Clear  Internet  phones will be bundled  with  corresponding
service  offerings  from Lingo and  SunRocket and are optimized for the simplest
configuration   and   highest   quality.   In   addition   to   operating   with
interference-free  DECT 6.0  technology,  the phones are equipped  with a patent
pending built-in Internet phone adapter and router,  which makes the equipment a
totally self-contained Internet phone solution. The phones connect directly into
the user's broadband modem and have an output for a PC, eliminating the need for
an external router, Internet phone adapter and complicated wiring.

ATS is introducing the following models:

Model SP/SS101,  with interference-free DECT 6.0 technology,  includes a 1.9 GHz
cordless handset and a router  integrated into the charging base. It has a range
of more than 900 feet and is expandable to four handsets. The system can operate
as an intercom between the extension handsets, and each handset is equipped with
a speakerphone. Other features include: last-10-number redial, a 40-number speed
dial  phonebook,  a  20-number  caller ID log,  caller ID for call  waiting,  12
distinctive ring tones and multi-language support.

Model  SP/SS102  includes the same features and  functions as the SP/SS101,  but
also  includes  a  traditional  phone  (RJ-11)  jack so users can  connect a fax
machine to the base of the master unit, making it ideal for small businesses.


Digital Clear Small Business Phones

Since small  office and home office  (SOHO)  users are  already  purchasing  ATS
phones in office  superstores,  ATS is launching a product  lineup  specifically
designed for this consumer and channel in 2007. The new small business  products
include a corded,  desktop  Internet phone (model EP104) where extensions may be
placed  around the office and a USB flash drive  mobile  Internet  phone  (model
JP105).  Additionally,  ATS is



launching a two-port  (model JP107) and four-port  (model JP106)  Internet phone
adapter.   Each  allows  for  multiple  phone  lines  to  be  installed  in  any
broadband-enabled office and may be connected to third-party phones or other ATS
products (each may be made available  bundled with cordless DECT phones).  These
products will be bundled with service offerings  specifically  designed for this
market segment.


Pay N' Talk cordless phones (with DECT technology)

ATS is also  introducing new Pay N' Talk traditional  cordless phones,  all with
DECT 6.0 interference-free technology. All Pay N' Talk phones include the unique
"Money Saving Green Button" for one-step access to the company's  patent-pending
Pay N' Talk prepaid  long-distance  platform.  Each of these models will be made
available  individually  as a master unit,  an extension  handset or in multiple
handset combinations.

Master Phones

Model RA223  includes the  following  additional  features:  caller ID,  handset
paging from the base, three-way conferencing, transfer of external calls between
handsets, four ring tone melodies and last-number redial.

Model  PA225 has all of the  above  features,  plus  multi-language  support,  a
50-number phonebook, a 20-number Caller ID log and 10-number redial.

Models RA226,  RA227,  RA228,  RA229,  UA233, UA237, GA238, GA239 and UA235 have
features that include:  intercom  between  handsets,  last-10-number  redial,  a
40-number  speed dial phonebook,  a 20-number  Caller ID log, Caller ID for call
waiting,  handsets that serve as  speakerphones,  12 distinctive  ring tones and
multi-language  support.  Although  similar in  features,  these  phones vary by
appearance, giving consumers the ability to choose the look they want.

Phones with Integrated Answering Systems

Rounding out the new phones are models RA230 and RA236, which include all of the
same advanced  functionality  of the above units,  plus an integrated  answering
system.  Additional  new DECT 6.0  interference-free  models  include the RA232,
GA240 and EA242.

"With the  introduction  of these new models,  ATS continues to be a leader with
the number and variety of DECT  6.0-enabled  phones that we've made available in
the U.S.," said Bruce Hahn, American Telecom CEO.  "Furthermore,  we continue to
look at innovative  ways to use the DECT 6.0 technology to enhance our products,
because we are committed to maintaining our leadership position. We are planning
to  introduce  additional  products  throughout  2007 with even more  innovative
features and service offerings."



Visitors to the Consumer  Electronics  Show can view the new ATS phones at booth
10546 in the central hall. The company will also provide private  demonstrations
for  the  media  by  appointment   only  at  the  Mirage  Hotel.  To  arrange  a
demonstration, please contact:

Tara Burkhart
Tara.burkhart@atsphone.com
678-636-4387

                                      # # #



About American Telecom Services

American Telecom Services, a leading provider of traditional and internet phones
bundled with service  offerings,  currently  offers Digital Clear Internet phone
bundles powered by SunRocket and Lingo,  Inc.  (Voice-over-Internet-Protocol  or
"VoIP"),  and Pay N'  Talk  prepaid  residential  long  distance  communications
services  powered by IDT.  These  services are bundled with ATS' diverse line of
custom-designed   digital   cordless   multi-handset   phones.   ATS  sells  its
phone/service  bundles  through major  retailers  under the "American  Telecom,"
"ATS," Pay N' Talk and Digital Clear brand names.

More information is available at www.atsphone.com.