Altice One Preps for VOIP

NEWARK, N.J. -- Net2Phone Cable Telephony, LLC, (NCT) a wholly owned subsidiary of Net2Phone (NASDAQ: NTOP - News), and Altice One, a cable conglomerate and consolidator representing more than 500,000 homes passed, today announced that they have signed a binding term sheet, providing for the deployment of VoIP services by Altice over its existing cable infrastructure in Brussels, Belgium; Strasbourg area and Mulhouse, France; and Luxembourg, utilizing Net2Phone's outsourced cable telephony solution. Net2Phone's cable voice platform utilizes Cable Labs DOCSIS architecture and permits cable operators like Altice to deploy toll-quality residential telephone service over their existing cable infrastructure.

The parties are simultaneously working on a Definitive Agreement as well as systems engineering and planning. Altice will then deploy cable telephony service beginning in the fall of 2004 in all three markets (Belgium, France and Luxembourg).

"Partnering with Net2Phone for our telephony deployment will help us offer a strong triple-play service to key markets we serve: cable television plus high-speed Internet access plus phone service. In turn, that bundled offering will bring competitive advanced services to our customers," said Patrick Drahi, CEO of Altice.

"This agreement with Altice is the next big step for Net2Phone as we advance toward our goal of becoming the turnkey voice solution for cable operators worldwide," said Stephen Greenberg, CEO of Net2Phone. "We are extremely pleased that Altice has elected to partner with Net2Phone to provide telephony services to its customer base, and we look forward to additional growth in Europe, as we continue to grow our cable telephony business."

Greenberg continued, "We've seen enormous success in VoIP internationally over the years, and this deal is a testament to the demand for telephony options in Europe. The international opportunity for cable telephony is enormous, and nobody is better positioned to capitalize than Net2Phone."

Net2Phone Inc.