8x8 And Magellan Network Systems Demonstrate MGCP Interoperability; Symphony Media Hub and Mariner SoftSwitch Demonstrated Together at Voice-on-the-Net Conference.

ATLANTA--(BUSINESS WIRE)--Sept. 30, 1999--

8x8, Inc. (Nasdaq:EGHT) -- a leading supplier of multimedia communication technology and systems -- announced today at the VON Conference that its Symphony Media Hub is being used by Magellan Network Systems to demonstrate the residential calling features of its Mariner SoftSwitch call control software.

Symphony and Mariner each adhere to the Multimedia Gateway Control Protocol (MGCP), which provides a feature-rich, efficient protocol for establishing voice connections between gateways and endpoints connected over Internet protocol (IP) networks.

Standardized signaling protocols are a key prerequisite for the growth of IP telephony products and services. By allowing products from multiple vendors to interoperate in a networked environment, standards allow providers to configure optimum solutions for their applications by choosing precisely the right equipment from a number of vendors.

This ability to choose fosters price, feature and time-to-market competition between vendors, which in turn accelerates the service provider's ability to offer advanced services at reasonable prices. It is these elements that drive broad, rapid acceptance of new products and services such as IP telephony. Magellan's use of the Symphony Media Hub is an example of the benefits achieved when vendors closely adhere to standards.

"Inexpensive CPE (customer premise equipment) is key to the deployment of IP telephone systems," said Jeffery Paine, Magellan's vice president of marketing. "With its low cost per line, 8x8's Symphony Media Hub is an ideal complement to our Mariner product, and 8x8's implementation of the MGCP protocol made it simple to bring up a complete end-to-end demonstration of the Mariner system."

"Magellan's selection of our Symphony Media Hub reconfirms its position as the industry's most proven and cost-effective CPE for business and residential applications," said Chris McNiffe, 8x8 senior vice president of sales and marketing. "Magellan's class-5 functionality -- call waiting, call hold, call transfer, conferencing and caller ID -- fully exercise the capability of the Symphony Media Hub."

About Symphony

The Symphony Media Hub is a four-line, voice over Internet protocol (VoIP) telephone adapter that delivers four independent voice telephone lines over broadband IP networks. It connects the incoming broadband network (via Ethernet) to the twisted pair wires that lead to the various telephone extensions on the premises.

Symphony supports the industry standard G.711, G.722, G.723 and G.728 audio codecs. Any codec can be used on any line, and the codecs can be changed dynamically during a call. Symphony also provides full-duplex acoustic echo cancellation on each line, and it supports both the MGCP and H.323 signaling protocols.

About 8x8

8x8, Inc. is a leading manufacturer of digital telecommunications technology, including IP telephony gateways, software and semiconductors. By leveraging its technology expertise in audio and video compression and communication protocols, the company is providing systems and software to network and telecommunications equipment providers, cable television system operators and local exchange carriers. For more information, visit 8x8's web site at http://www.8x8.com.

This press release contains forward-looking statements. 8x8's actual results may differ materially from the results discussed, implied or forecasted in the forward-looking statements due to factors including in particular a history of losses, uncertainty of future profitability, potential fluctuation in future operating results, dependence on key customers, the uncertainty of market acceptance of IP telephony, the limits of existing IP telephony technology, rapid technological change, compliance with industry standards, dependence on key personnel, dependence on new product introduction, current and potential competition and the need for additional capital. Further information on these and other factors that could affect the actual results of 8x8 are included in 8x8's Report on Form 10-Q for the quarter ended June 30, 1999, which is on file with the Securities and Exchange Commission. 8x8 assumes no obligation to revise or update any forward-looking statements contained in this press release.