Exhibit 99.1



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               American Telecom Services Announces Visa Gift Card
                       Promotion in Select Retail Outlets

  Consumers to receive free gift card with purchase of ATS Pay N' Talk(TM) Long
                                Distance service

CITY OF INDUSTRY, Calif., May 1, 2007 /PRNewswire-FirstCall/ -- American Telecom
Services,  Inc. (Amex:  TES - --- News), a leader in the "Convergence of Voice",
today  announced  that it will  launch a new Visa  Gift Card  promotion  through
select retailers with select products.

The program will provide consumers with a free Visa Gift Card to be delivered by
mail following  their  activation of Pay N' Talk with a purchase of a prescribed
amount of service.  The Visa Gift Card will be worth approximately  one-half the
value of the  initial  service  purchase  and  consumers  can  utilize  the card
anywhere Visa is accepted, including recharging their pre-paid minutes.

Bruce Hahn, Chief Executive Officer of American Telecom Services commented, "The
Visa Gift Card promotion is expected to expand ongoing revenue growth as well as
the service  retention of the customers at a reduced cost,  when compared to the
aggressive  rebate programs  utilized to generate  product  awareness during our
initial launch in specific channels. As we move into the second half of 2007, we
are placing a major  emphasis on our recurring  revenue  programs and will offer
promotions that motivate the purchase of services in select accounts with select
products."

"Consumers  who choose to utilize this Visa Gift Card to recharge their pre-paid
minutes will  benefit from one of the best values in long  distance in America."
Mr. Hahn added. "By using this card, they can reduce their effective  per-minute
cost.  This can save the  customer  hundreds of dollars a year when  compared to
their current  service.  We are confident  consumers will recognize the value of
this service offering."

This program will be launched this spring in select new and current channels and
packaged in a limited amount of new products.


About American Telecom Services

American  Telecom  Services gives consumers "Good Reasons to Pick up the Phone."
The  company  offers  the only home  phones  that are  bundled  with Pay N' Talk
prepaid  residential  long-distance  services  powered  by IDT  Telecom  (patent
pending)  and is the only  provider  of  DigitalClear(TM)  Internet  phones that
include a built in adapter  and router  built  right into the base of the phones
(patent-pending);  Just "Plug In & Save!" The  DigitalClear  product line offers
consumers  the  opportunity  to save up to $500 on their  phone  services  using
SunRocket or Lingo Internet  phone  service.  For consumers who do not presently
have high speed service at home, all  DigtialClear  products also include a high
speed Internet offer from Broadband  National,  creating a "One Box Solution" to
be sold at retail. The company's products are available  nationally at more than
15,000 retail  locations.  More company and product  information is available at
www.atsphone.com


 For American Telecom Services:

    Adam Somer
    Co-President
    678-636-4384
    adam.somer@atsphone.com

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



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