IQST-IQSTEL Issues Shareholder Letter Detailing Artificial Intelligence (AI) Strategy, Commercial Traction, and 2026 Roadmap

New letter outlines IQSTEL's proprietary AI platform, revenue-generating products, early commercial momentum, and long-term value creation strategy across telecom and technology markets

NEW YORK, Jan. 14, 2026 /PRNewswire/ -- IQSTEL (NASDAQ: IQST), a fast-growing telecom and technology company, today issued a comprehensive Shareholder Letter detailing its Artificial Intelligence strategy, commercial roadmap, and early market traction. The letter provides shareholders with a transparent and in-depth view of how AI has become a core pillar of IQSTEL's long-term growth strategy and its evolution toward a high-tech, high-margin global corporation.

The Shareholder Letter explains how IQSTEL's AI initiatives are developed and commercialized through Reality Border, the Company's proprietary AI innovation and product development platform, and are tightly integrated with IQSTEL's global telecom infrastructure and cybersecurity capabilities through its sibling company, Cycurion. Together, these assets form a differentiated, enterprise-grade AI ecosystem designed to deliver secure, scalable, and revenue-generating solutions across web, voice, and contact center environments.

The letter further highlights IQSTEL's AI products already in market, including AIRWEB, IQ2Call, and its fully integrated AI-powered contact center services (www.contactcenter.iqstel.com), as well as early commercial traction, an active sales pipeline, and a fiscal-year sales objective of seven digits of high-margin AI services for fiscal year 2027. In addition, the Company outlines its forward roadmap, including new vertical solutions, enhanced AI governance through supervision agents, patent development, and continued expansion of enterprise deployments.

Shareholders are encouraged to review the full Shareholder Letter to gain a detailed understanding of how IQSTEL is investing today in the platforms, products, and capabilities that management believes will define the Company's competitive positioning, profitability, and long-term shareholder value.

IQSTEL Shareholder Letter

IQSTEL's Artificial Intelligence Strategy and Commercial Roadmap

January 14^th, 2026

Dear Shareholders,

As part of our commitment to transparency and long-term value creation, we would like to provide a detailed overview of IQSTEL's Artificial Intelligence business, its evolution, current commercial positioning, and the role it plays in our broader strategy to build a high-tech, high-margin global corporation.

IQSTEL's AI initiatives are developed and commercialized through Reality Border (www.realityborder.com), our AI innovation and product development platform, and are deeply integrated with IQSTEL's telecom infrastructure and cybersecurity capabilities through our sibling company, Cycurion. Together, these assets form a differentiated and defensible AI ecosystem designed for enterprise and telecom-grade deployment.

From Experimental Innovation to Revenue-Oriented AI Products

Reality Border's AI journey began in 2023 with an immersive, metaverse-style customer experience concept developed in collaboration with strategic partners. This early phase allowed us to validate conversational user interfaces, multilingual interaction models, and AI-driven workflow orchestration.

Based on market feedback and enterprise demand, the strategy evolved decisively toward practical, revenue-generating AI agents operating across web and voice channels, where measurable business outcomes could be achieved. This pivot marked the foundation for the AI products now being commercialized within the IQSTEL Group.

A Proprietary, Enterprise-Grade AI Platform

Reality Border has built a fully proprietary AI platform, developed in-house, that underpins all current and future AI products. This shared platform architecture ensures that advances in orchestration, security, and observability benefit every solution simultaneously.

Key platform characteristics include:

• Multichannel AI agents operating across web, voice, and messaging
• A centralized orchestration layer using advanced agent tooling and policy controls
• Secure integrations with business systems and telecom voice infrastructure
• Segregated U.S. and EU data environments to support compliance and enterprise requirements
• Controlled access to external large language models
• Deep security controls at the perimeter and API level through Cycurion ARx

This architecture allows IQSTEL to deploy AI agents at enterprise scale while maintaining governance, auditability, and security -- a critical differentiator in voice-facing and customer-data-sensitive environments.

AI Products in Market: AIRWEB, IQ2Call, and AI-Powered Contact Center Services

a) www.AIRWEB.ai

AIRWEB is a 24/7 AI assistant for customer engagement across web and phone, supporting multilingual, voice-interactive use cases. It is designed for rapid deployment by enterprises and service providers, offering both free-entry plans and scalable paid subscriptions. AIRWEB enables companies to automate customer interactions while maintaining a consistent, high-quality user experience across digital and voice channels.

b) www.IQ2Call.ai

IQ2Call is an AI-first call center solution, designed to eliminate wait times through auto-scaling AI agents, with seamless escalation to human operators when required. The service is offered in:

• Full AI service models,
• Hybrid AI-human configurations, and
• Predominantly human models enhanced by AI,

allowing enterprises to optimize cost efficiency, service quality, and scalability based on their operational needs.

c) AI-Powered Contact Center Services

In addition to standalone AI products, IQSTEL already operates a fully integrated, AI-powered contact center service, leveraging the same proprietary AI platform and telecom infrastructure. This service is specifically designed for enterprises seeking an end-to-end solution, combining AI automation, human agents, telecom connectivity, and security under a single operational framework.

This offering is currently available through:

www.contactcenter.iqstel.com

The contact center vertical represents a concrete, revenue-generating application of our AI strategy, demonstrating how AI can be deployed today to reduce wait times, lower cost-to-serve, and improve customer satisfaction at scale.

Security-by-Design: A Critical Differentiator

A defining element of IQSTEL's AI strategy is security by design. Reality Border's AI agents are protected by Cycurion ARx, providing:

• Reverse-proxy shielding
• Web application and API firewalling
• Bot defense and behavioral analysis
• Threat intelligence integrated at the agent boundary

This security-first approach enables enterprises to deploy AI agents within clearly defined trust boundaries, a requirement that is increasingly critical for regulated industries and telecom environments.

Commercial Model, Monetization, and Early Traction

The AI business within IQSTEL is structured around recurring subscription and service-based revenue models, with transparent, published pricing for both AIRWEB and IQ2Call, as well as fully managed AI-powered contact center services. This commercial structure supports:

• Predictable, recurring revenue streams
• Rapid onboarding and scalability
• Clear unit economics and margin expansion as deployments scale

Early Commercial Traction

IQSTEL has already initiated the commercialization process for its AI products and services, and early adoption indicators are developing across multiple verticals:

• AIRWEB currently has slightly under 100 active users, validating market interest and providing a growing base of usage data to refine product performance, pricing, and go-to-market execution.
• Multiple AI agents are live in production with ONAR and Mobility Tech, demonstrating the platform's ability to support real-world enterprise workloads.
• Several IQ2Call agents are deployed and are currently in trial and "try-and-buy" phases with multiple customers, primarily focused on contact centers in Latam, where demand for scalable, multilingual, voice-based automation is particularly strong.
• Through www.contactcenter.iqstel.com, IQSTEL has built a growing sales pipeline with more than six active opportunities, and is currently adding approximately two new qualified leads per month. Given the enterprise nature of contact center deployments, the typical sales cycle for this offering ranges from three to six months. Commercial efforts began in November, and the first customer conversions from this initiative are now beginning to materialize.

Revenue Objectives and Strategic Impact

Based on current pipeline visibility and early customer engagement, IQSTEL has established a sales objective of seven digits for fiscal year 2027 for its AI-powered, high-margin services. While still in the early stages of commercialization, this objective reflects a disciplined, execution-focused approach aligned with measured market adoption.

IQSTEL views AI as a margin-enhancing and compounding layer that strengthens the value of our telecom infrastructure, expands wallet share within existing customer relationships, and creates new, high-margin revenue streams that scale efficiently over time.

As commercialization progresses, we expect AI to become an increasingly meaningful contributor to both revenue growth and adjusted EBITDA expansion.

Forward Roadmap and Strategic Impact

Over the next 12 months, IQSTEL's AI roadmap is focused on the following priorities:

1. Further verticalization of AI agents through repeatable, industry-specific templates, enabling faster deployment and clearer ROI for enterprise customers.
2. Expansion into additional high-volume enterprise workflows, particularly in sectors where voice and web engagement are mission-critical and where automation can materially reduce cost-to-serve.
3. Enhancement of governance and operational quality through the introduction of a dedicated AI supervision agent across IQ2Call and contactcenters.iqstel.com services. This supervision layer is designed to monitor performance, enforce policies, and improve reliability, quality assurance, and compliance as deployments scale.
4. Development of a new vertical solution combining retail services, AI capabilities, and telecom products, leveraging IQSTEL's commercial platform and infrastructure. This new offering is currently in development and is expected to be launched during the second quarter of this year (Q2).
5. Building long-term defensibility through patents covering proprietary agent workflows, orchestration layers, and vertical-specific automation methods.
6. Scaling commercialization through partner-led deployments and direct enterprise engagements, including hybrid AI-human operational models.

Strategic Importance of AI Within IQSTEL

AI is not a standalone initiative within IQSTEL. It is a core pillar of our long-term strategy, designed to:

• Increase recurring, high-margin revenue
• Strengthen customer stickiness across telecom, fintech, and enterprise services
• Differentiate IQSTEL within the global telecom and technology ecosystem

As we execute this roadmap, we expect AI to increasingly reinforce IQSTEL's operating leverage, support EBITDA expansion, and enhance the Company's strategic positioning over time.

Closing Remarks

IQSTEL's investment in Artificial Intelligence represents a deliberate and strategic commitment to long-term value creation. By integrating proprietary AI, global telecom reach, and enterprise-grade security, we are building a differentiated platform designed to deliver unique, scalable, and defensible solutions at the intersection of telecom and technology.

This is not an incremental initiative. It is a foundational effort to shape IQSTEL's future product offering, strengthen our competitive positioning, and create high-margin services that compound the value of our existing infrastructure and customer relationships. As this strategy continues to unfold, we believe AI will become a defining driver of profitability, accelerate adjusted EBITDA growth, and materially enhance IQSTEL's strategic relevance within the global telecom and technology ecosystem.

For shareholders seeking additional detail, a dedicated presentation outlining IQSTEL's AI strategy and roadmap is available on our official investor landing page at www.landingpage.iqstel.com, and we encourage you to review it.

We are investing today in the capabilities, platforms, and partnerships that we believe will define tomorrow's winners. We appreciate your continued trust and support as we execute with discipline and focus, and we look forward to keeping you informed as our AI deployments scale and our commercial momentum continues to build.

Sincerely,

Leandro Iglesias
President & CEO
IQSTEL

About IQSTEL Inc.

IQSTEL Inc. (NASDAQ: IQST) is a Global Connectivity, AI, and Digital Corporation providing advanced solutions across Telecom, High-Tech Telecom Services, Fintech, AI-Powered Telecom Platforms, and Cybersecurity. With operations in 21 countries and a team of 100 employees, IQSTEL serves a broad global customer base with high-value, high-margin services. Backed by a strong and scalable business platform, the company is forecasting $340 million in revenue for FY-2025, reinforcing its trajectory toward becoming a $1 billion tech-driven enterprise by 2027.

Safe Harbor Statement: Statements in this news release may be "forward-looking statements". Forward-looking statements include, but are not limited to, statements that express our intentions, beliefs, expectations, strategies, predictions, or any other information relating to our future activities or other future events or conditions. Words such as "anticipate," "believe," "estimate," "expect," "intend", "could" and similar expressions, as they relate to the company or its management, identify forward-looking statements. These statements are based on current expectations, estimates, and projections about our business based partly on assumptions made by management. Important factors that could cause our actual results and financial condition to differ materially from those indicated in the forward-looking statements include, among others, the following: our ability to successfully market our products and services; our continued ability to pay operating costs and ability to meet demand for our products and services; the amount and nature of competition from other telecom products and services; the effects of changes in the cybersecurity and telecom markets; our ability to successfully develop new products and services; our ability to complete complementary acquisitions and dispositions that benefit our company; our success establishing and maintaining collaborative, strategic alliance agreements with our industry partners; our ability to comply with applicable regulations; our ability to secure capital when needed; and the other risks and uncertainties described in our prior filings with the Securities and Exchange Commission.

These statements are not guarantees of future performance and involve risks, uncertainties, and assumptions that are difficult to predict. Therefore, actual outcomes and results may and are likely to differ materially from what is expressed or forecasted in forward-looking statements due to numerous factors. Any forward-looking statements speak only as of the date of this news release, and IQSTEL Inc. undertakes no obligation to update any forward-looking statement to reflect events or circumstances after the date of this news release.

For more information, please visit www.IQSTEL.com.

Official Investors Landing Page: www.landingpage.iqstel.com

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