Deltathree Selects XO Communications to Enhance VoIP Services in Key U.S. Markets

Deltathree Selects XO Communications to Enhance VoIP Services in Key U.S. Markets

RESTON, Va. and NEW YORK, Feb. 1 /PRNewswire-FirstCall/ -- XO Communications, Inc. (BULLETIN BOARD: XOCM.OB) , the nation's largest facilities-based provider of national local telecommunications services focused exclusively on businesses, today announced that it has been selected by deltathree, Inc. (NASDAQ:DDDC) to provide wholesale voice services that will enable deltathree to enhance its Voice over Internet Protocol (VoIP) solutions to businesses and consumers in twenty U.S. metropolitan markets.

Utilizing the XO IP network and wholesale voice services, deltathree will expand its core VoIP network and service capabilities to better serve residential consumers and business customers with advanced VoIP-based telecommunication solutions. XO will provide deltathree wholesale voice services to expand existing coverage in key U.S. markets such as Denver, Orlando, Salt Lake City, San Antonio, San Diego, Spokane and Tampa, with additional markets to be named in the future.

XO will provide primary rate interface (PRI), additional direct inward dialing (DID), and voice termination services to increase the diversity of high quality call routing for deltathree local and long distance traffic. deltathree voice traffic will be carried across the XO IP network at the highest level of priority with call traffic converted into IP format and then directed onto deltathree's VoIP network.

"We're very pleased to be selected by deltathree to support the latest U.S. enhancement of deltathree's worldwide VoIP network," said Ernie Ortega, president of Carrier Sales at XO Communications. "With the growing popularity of broadband telecommunications services like those offered by deltathree, XO is well positioned to provide wholesale solutions that help next generation telecommunications providers diversify and expand their networks and execute the delivery of their advanced VoIP services to customers across the U.S."

"As deltathree expands the market for VoIP solutions across the service provider, reseller and consumer markets it is crucial that deltathree's VoIP network continues to add diversity and scale in order to accommodate new customers, advanced applications, and higher call volume. After extensive due diligence, deltathree selected XO to support the enhancement of our U.S. VoIP network capabilities. In enlisting XO, deltathree helps ensure that it has additional network capacity and service levels required to support our future growth in key U.S. markets while maintaining the reliability and call quality our consumer customers have come to expect when reaching out to their family and friends, and our reseller and service provider customers require when offering these services to their own customers," stated Shimmy Zimels, chief executive officer of deltathree.

About XO Communications

XO Communications is a leading provider of national and local telecommunications services to businesses, large enterprises and telecommunications companies. XO offers a complete portfolio of services, including local and long distance voice, dedicated Internet access, private networking, data transport, and Web hosting services as well as bundled voice and Internet solutions. XO provides these services over an advanced, national facilities-based IP network and serves more than 70 metropolitan markets across the United States. For more information, visit http://www.xo.com/.

About deltathree

Founded in 1996, deltathree is a leading provider of hosted, Session Initiation Protocol (SIP)-based Voice over Internet Protocol (VoIP) products and services. deltathree provides private-label products, including Broadband Phone and PC to Phone, as well as back-office services such as billing, operations management, marketing support, and network management, to service providers worldwide. deltathree's consumer division, iConnectHere, provides award-winning VoIP products directly to consumers. deltathree's high quality Internet telephony solutions are viable and cost-effective alternatives to traditional telephone services.

For more information about deltathree, visit online at http://www.deltathree.com/.

For more information about iConnectHere, visit online at http://www.iconnecthere.com/.

deltathree Safe Harbor:

Except for historical matters contained herein, the matters discussed in this press release are forward-looking and are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Investors are cautioned that these forward-looking statements reflect numerous assumptions and involve risks and uncertainties that may affect deltathree's business and prospects and cause actual results to differ materially from these forward-looking statements. Among the factors that could cause actual results to differ are the inherent uncertainty of financial estimates and projections, the competitive environment for Internet telephony, deltathree's limited operating history, changes of rates of all related telecommunications services, the level and rate of customer acceptance of new products and services, legislation that may affect the Internet telephony industry, rapid technological changes, and other risk factors contained in deltathree's periodic reports on Form 10-K and Forms 10-Q on file with the SEC and available through http://www.sec.gov/.


Source: XO Communications

CONTACT: Chad Couser of XO Communications, +1-703-547-2746,
chad.couser@xo.com, or Allan Jordan, deltathree Inc. - Media Contact,
+1-646-284-9452, ajordan@hfgcg.com

Web site: http://www.xo.com/
http://www.deltathree.com/


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