Great Lakes Data Systems and Net2Phone Bring Integrated VoIP to Independent Cable Operators.

Business Editors/High-Tech Writers

NEW ORLEANS--(BUSINESS WIRE)--May 4, 2004

Great Lakes Data Systems, Inc. and Net2Phone (NASDAQ: NTOP) today announced the first of several product integration initiatives aimed at providing turnkey VoIP solutions for the independent cable market. With the goal of providing operators with an easily adoptable, fully-integrated VoIP solution, Great Lakes and Net2Phone have teamed to provide consolidated, single source billing to Great Lakes' customers.

As a leading supplier of billing software to small cable operators, Great Lakes will also market Net2Phone's full-featured robust cable telephony solutions to its clients in more than 30 countries on five continents. In the U.S., Great Lakes currently has clients in 49 of the 50 states, plus Puerto Rico and the Virgin Islands.

Great Lakes Data Systems has successfully completed the import of Net2Phone call detail records and can now post summary-level detail on a customer invoice alongside video, data and other services for Great Lakes' customers. With this integration, operators have increased flexibility with bill presentment, and can chose to show call detail on the invoice or make it available online, driving additional traffic to the operator's web portal and reducing billing costs.

The next phase of integration will provide Customer Service Representatives with a single point of provisioning for both video and VoIP services.

"Too often, Triple Play is just smoke and mirrors. Our goal is to provide CSR's with one truly integrated system, and give customers the option of having all services on one bill." said Lon Rosado, President, Great Lakes Data Systems. "Our ability to produce an integrated voice, video and data bill is just the first step in fully integrating the VoIP service delivery process."

"We spent months evaluating VoIP vendors and believe Net2Phone offers a product and business model most consist with the needs of our existing customer base." said Garrick Russell, Director of Alliances at Great Lakes Data Systems. "Net2Phone supports both SIP and PacketCable platforms, and we're pleased to welcome them as a Preferred Solution Provider."

"The integration with Net2Phone will ultimately offer a scaled set of solutions to operators with a total voice, data, and video system. The real triple play here is increased revenues, lower costs, and greater customer satisfaction," Russell added.

"The synergies between Great Lakes and Net2Phone are apparent, with a synergistic target audience of small to mid-sized cable operators looking for reliable solutions to help service their customers," said Stephen Greenberg, CEO of Net2Phone. "As a leading provider of billing and subscriber management software, Great Lakes is a valuable partner with the experience and reputation to ensure the high level of quality and reliability that our customers have come to expect of Net2Phone."

About Great Lakes Data Systems

Great Lakes Data Systems provides the leading PC-based billing, subscriber management, and PPV software in the U.S. Cable Market. Privately held and profitable since 1980, the company also provides cable equipment provisioning, VOD, and cable modem authorization directly from the billing system. Currently serving small and mid-sized cable systems worldwide, GLDS has implemented its solutions for over 300 cable systems in 49 U.S. States and 34 countries. For more information, contact Laura Rosado of Great Lakes Data systems at 760-602-1900 or visit www.cablebilling.com http://www.cablebilling.com.

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

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.