Vonage(R) Crosses 400,000 Line Mark

Vonage(R) Crosses 400,000 Line Mark

Biggest Broadband Telephony Provider Netted More than 300,000 Lines in 2004

EDISON, N.J., Jan. 5 /PRNewswire/ -- Vonage, the leading broadband telephony provider, today announced it has exceeded 400,000 total lines on its network, doubling its subscriber base in less than six months since reaching the 200,000 line mark. The company ended 2004 with more than 390,000 lines in service having added 115,000 lines in Q4 2004 alone.

"Again, Vonage has set the benchmark, proving its value proposition to a marketplace starved for full-featured, cost-effective alternatives to the incumbent local exchange carriers," said Jeffrey A. Citron, chairman and CEO of Vonage Holdings Corporation. "Having added more than 300,000 lines in 2004, Vonage has once again illustrated its prowess in leading the transformation of the telecommunications industry."

Using the latest technology, Vonage sets the standard for the new generation of phone service with residential and business calling plans:

* $14.99/month -- Residential Basic Plan - 500 minutes of local, toll and
long distance calling throughout the United States and Canada.
* $24.99/month -- Residential Premium Unlimited Plan - unlimited calling
throughout the 50 United States and Canada anytime, anywhere.
* $39.99/month -- Small Business Basic Plan - 1500 minutes of calling
throughout the United States and Canada, including a free dedicated
fax line.
* $49.99/month -- Small Business Unlimited Plan - unlimited calling
throughout the United States and Canada, including a free dedicated
fax line.

* Services and hardware included for free on any of the above plans:

-- Voicemail -- Call hunt
-- Caller ID -- Call transfer
-- Call waiting -- Repeat dialing
-- Call forwarding -- Bandwidth saver
-- Call return (*69) -- Area code selection
-- Caller ID block (*67) -- International call block
-- Web-based account management -- Linksys RT31P2 router with MTA
* Real-time billing activity * Great international calling
* Online voicemail retrieval rates
* Real-time inbound/outbound * Tel Aviv 4 cents per minute
call record details * London 3 cents per minute
* Sydney 4 cents per minute

About Vonage(R)


Vonage is redefining communications by offering consumers and small businesses an affordable alternative to traditional telephone service. The fastest growing telephony company in North America, Vonage's service area encompasses more than 2000 active rate centers in over 150 global markets. Vonage is sold directly through http://www.vonage.com/ and retail partners such as Amazon.com, RadioShack, Best Buy, Circuit City, Staples, Fry's Electronics, SAM's Club, CompUSA and Office Depot. Wholesale partners such as EarthLink, ARMSTRONG(R), Advanced Cable Communications and the Coldwater Board of Public Utilities resell the Vonage broadband phone service under their own unique brands. With more than 400,000 lines in service, Vonage continues to add more than 30,000 lines per month to its network. Over 10 million calls per week are made using Vonage, the easy-to-use, feature-rich, flat rate phone service. Vonage is headquartered in Edison, New Jersey. For more information about Vonage's products and services, please visit http://www.vonage.com/ or call 1-VONAGE-HELP. Vonage(R) is a trademark of Vonage Holdings Corp.


Source: Vonage

CONTACT: Jamie Serino, Vonage, +1-732-790-0184, jamie.serino@vonage.com;
or Kristin Capece of Connors Communications, +1-212-798-1417,
kristin@connors.com

Web site: http://www.vonage.com/


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