Bresnan Communications Selects Net2Phone as Provider for Cable Telephony Deployment.

Business Editors

NEW YORK--(BUSINESS WIRE)--May 13, 2004

Net2Phone (NASDAQ: NTOP) today announced that it has signed a Letter of Intent to provide cable voice services for Bresnan Communications, the 13th largest US cable operator, with more than 300,000 video subscribers and over 500,000 homes passed. The parties plan to begin deployment in Bresnan's first market immediately. Net2Phone's hosted telephony platform permits cable operators like Bresnan to deploy managed end-to-end local, long distance and international phone services easily via Net2Phone's fully outsourced VoIP solution. The companies made this announcement at Liberty Media's (NYSE: L, LMC.B) 2004 Investor's Meeting in New York City.

"Throughout our months of discussions, Net2Phone has proven to be a company with extensive VoIP experience, a knowledge of the cable world, and a proven end-to-end managed telephony solution," said Bill Bresnan, President and CEO of Bresnan Communications. "We identified a number of critical advantages in working with Net2Phone, including our ability to deploy voice services rapidly with minimal capital and operating expenses. In addition, Net2Phone's complete network management toolset allows us to guarantee quality at a level our customers expect."

Bresnan plans to offer its customers reliable digital phone service using Net2Phone as a bundle alongside its current cable TV and high-speed Internet access products. Net2Phone's Managed Telephony solution empowers cable operators like Bresnan to provide their subscribers with a primary line replacement service that is equivalent to traditional telephony services in terms of voice quality, features, functionality and reliability. Its accompanying network management toolset enables fully managed end-to-end cable telephony, guaranteeing quality from call inception through termination - the local hybrid-fiber coaxial (HFC) network, the inter-exchange carrier (IXC) segment and the local network. Net2Phone's complete network management tools will integrate with Bresnan's back-office billing and provisioning systems to provide Bresnan's customers with a unified bill for voice, video and broadband Internet services.

"Bill Bresnan and the Bresnan organization have long been viewed as visionaries. This is a technically advanced company, whose management team is among the pioneers of the cable industry. We at Net2Phone are proud that they have selected us to handle their telephony deployment, a robust service that will round out their valuable package of services for their customers," said Stephen Greenberg, Chief Executive Officer of Net2Phone. "This agreement underscores Net2Phone's opportunity for its outsourced cable telephony solutions among global cable operators."

The service will be branded as Bresnan's, ensuring brand consistency throughout its advanced product offerings. Net2Phone will assume the role of systems integrator, taking on full operational responsibility for telephony deployment, 24x7 service assurance and telecom administration, thereby ensuring the quality of Bresnan's telephony offering. Net2Phone will track and monitor voice quality and network performance metrics from start to finish and will provide Bresnan with a full view into telephone calls routed over its network.

About Net2Phone

Net2Phone provides PacketCable, SIP and wireless VoIP solutions around in the world. As leaders in enabling telecom service providers and cable operators with turn-key hosted VoIP telephony services, Net2Phone has routed billions of retail VoIP minutes globally, servicing more than 100,000 users in the US as well as hundreds of thousands of more overseas. Net2Phone's hosted SIP platform provides partners with residential broadband telephony, calling cards, prefix dialing and enterprise services in over 100 countries. Net2Phone's PacketCable platform provides cable operators with the ability to deliver a primary line replacement service with guaranteed QoS and features such as E911. Traded on the NASDAQ under the symbol NTOP, Net2Phone's strategic partners and investors include Liberty Media Corporation (NYSE: L; LMC.B) and IDT Corporation (NYSE: IDT; IDT.C). For more information about Net2Phone's products and services, please visit www.net2phone.com (http://www.net2phone.com).

About Bresnan Communications

Bresnan Communications is a broadband communications provider founded by Bill Bresnan in 1984. An early leader in the introduction of advanced services, Bresnan has operated in the United States, Chile and Poland, at one point serving over a million customers worldwide. Bresnan currently serves over 300,000 subscribers in Colorado, Montana, Wyoming and Utah. More information on Bresnan is available at www.bresnan.com (http://www.bresnan.com).

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward- looking statements involve risks and uncertainties and actual results could differ materially from those discussed in the forward-looking statements. For this purpose, any statements contained in this press release that are not statements of historical fact may be deemed to be forward-looking statements. Factors which may affect the Company's results include, but are not limited to, the Company's ability to expand its customer base, the Company's ability to develop additional and leverage its existing distribution channels for its products and solutions, dependence on strategic and channel partners including their ability to distribute the Company's products and meet or renew their financial commitments, the Company's ability to address international markets, the effectiveness of the Company's sales and marketing activities, the acceptance of the Company's products in the marketplace, the timing and scope of deployments of the Company's products by customers, fluctuations in customer sales cycles, customers' ability to obtain additional funding, technical difficulties with respect to the Company's products or products in development, the need for ongoing product development in an environment of rapid technological change, the emergence of new competitors in the marketplace, the Company's ability to compete successfully against established competitors with greater resources, the uncertainty of future governmental regulation, the Company's ability to manage growth, obtain patent protection, and obtain additional funds, general economic conditions and other risks discussed in this press release and in the Company's filings with the Securities and Exchange Commission. All forward-looking statements and risk factors included in this document are made as of the date hereof, based on information available to the Company as of the date thereof, and the Company assumes no obligation to update any forward-looking statement or risk factors.