Data Access Plans Aggressive Network Expansion in 2003; Strengthens Partnership with VocalTec via Global Framework Agreement to Support Global Strategy.

Business/Technology Editors

FORT LEE, N.J. & NEW DELHI, India--(BUSINESS WIRE)--Jan. 7, 2003

VocalTec Communications Ltd. (Nasdaq: VOCL), and Data Access, Ltd., one of India's leading long distance carriers, announced today that they have finalized a strategic global framework agreement in which Data Access has committed to place purchase orders for VocalTec equipment and related services in the estimated amount of $8 million over the next 15 months. The purchase will provide Data Access with an additional 2.5 billion minutes a year of switching capacity.

Additional VocalTec equipment will be deployed as part of Data Access' major network expansion during 2003. Data Access plans to expand its Points of Presence (POPs) in the United Kingdom and Hong Kong, and to deploy a new POP in New York.

"VocalTec's carrier-class platform has proven its ability to generate revenues and provide fast return on investment," said Siddhartha Ray, CEO of Data Access. "Our partnership with VocalTec, as enhanced through our new global framework agreement, is a key component of our strategy to become a leading international player in the VoIP space."

Data Access' planned expansion will support up to 20 million minutes per day, a significant increase from the network's current capacity of four million minutes per day. Data Access has a total of eight switch centers and network operating centers (NOCs) -- five located within India with overseas centers in New York, London, and Hong Kong. The company has an additional 20 points of interconnect (POI) to link to other carrier networks.

"VocalTec is fully committed to its strategic partnership with Data Access, which is undoubtedly one of the industry's outstanding success stories," said Dr. Elon Ganor, CEO and Chairman of VocalTec. "Our global framework agreement with Data Access demonstrates the ability of our packet telephony solutions to meet the demands of carriers and service providers in deregulating and global markets."

Using VocalTec's packet tandem switching architecture, Data Access is presently carrying approximately 3.5 million minutes per day of ILD traffic, representing an estimated 30 percent share of total international long distance call traffic in India. This success can be attributed to the carrier-grade network quality and unsurpassed SS7 connectivity of the VocalTec-driven network, as well as the attractive rates offered by Data Access.

Nirvan Group, a provider of professional services for the Indian telecom market, played an instrumental role in facilitating the deal between the parties. "The unprecedented success of Data Access' packet telephony network since ILD deregulation in April 2002 is a testament to the fruitful cooperation between Data Access, VocalTec and Nirvan," noted Rajiv K. Gupta, President and CEO of Nirvan. "We believe that their success will encourage additional Indian carriers to implement packet telephony solutions in the coming year."

About Data Access

Incorporated in 1999, Data Access is one of the first ISP licensees in India to set up its own private internet gateways, thereby ending the monopoly of VSNL in international carrier business in the year 2000. Promoted by SPA enterprises Ltd., India, and partnered with PCCW Ltd., Hong Kong, Data Access is maintaining its monopoly-breaking track record in the Indian telecom market by being the first Indian private voice carrier to deliver large scale voice traffic on its own network. The company operates several telecommunications licenses in India, the United Kingdom and the United States for voice, data and broadcasting services.

Data Access is the only Indian carrier network with its own footprint reaching all parts of the world and operating its own network centers in the United States, Europe and Asia Pacific, and servicing not only the Indian consumer but the global telecom consumer through its global clearing house operations in London and New York. Please visit www.dataaccessindia.com for more details.

About VocalTec

VocalTec Communications Ltd. (VocalTec) is a leading telecom equipment provider offering packet voice solutions for carriers and service providers. As an innovator and provider of packetized telephony solutions since 1995, VocalTec offers a highly evolved revenue-generating product line to the market. With a customer base including the China Telecom PTAs, Deutsche Telekom, ITXC, Communication Authority of Thailand (CAT), and Data Access in India, our multi-service solutions are commercially deployed in more than 100 countries, powering 25% of the world's revenue-generating international VoIP minutes.

VocalTec's field-proven solutions support carrier services including international/long distance calling, packet tandem switching and exchange carrier services, as well as hosted global business services including VoIP VPN, conferencing, global call center and calling card services. The VocalTec Softswitch Architecture is a modular, carrier-grade, standards-based multi-protocol platform that integrates the benefits of SIP, MGCP and H.323 technologies.

Learn more about our products and solutions at www.vocaltec.com.

NOTE: VocalTec is a registered trademark of VocalTec Communications Ltd. Other trademarks are the property of their respective holders. Certain statements contained in this release may contain forward-looking information with respect to plans, projections or the future performance of VocalTec Communications or any of its subsidiaries or businesses or any of its customers, the occurrence of which involves certain risks and uncertainties, including, but not limited to, product and market acceptance risks, the impact of competitive pricing, competitive products, fluctuations in market and customer demand, estimated market shares, order fulfillment, product development, commercialization and technological difficulties, and other risks detailed in the Company's reports filed from time to time with the Securities and Exchange Commission. VocalTec Communications is under no obligation to (and expressly disclaims any such obligation to) update or alter its forward-looking statements whether as a result of new information, future events or otherwise.

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