Korea Telecom CORP. Joins the ITXC Network.

PRINCETON, N.J.--(BUSINESS WIRE)--March 17, 1999--ITXC(TM) Corp (www.itxc.com), the tier 1 carrier of Internet telephony, announced today that Korea Telecom has chosen to join the ITXC Corp network.

Korea Telecom is currently using ITXC's WWeXchange(SM) Service to route calls around the world and is providing IP termination in Korea to ITXC.

Korea Telecom joins major carriers such as Bell Atlantic and Japan Telecom as well as over 56 service providers in 27 countries who are members of the ITXC global Internet telephony network.

Korea Telecom, which is well known for its cooperation with foreign carriers in technological innovation, is using the ITXC Corp network to complete outbound calls from its Internet Phone Single Stage Service (00727). It is also terminating calls on its Lucent gateways that were originated by other carriers and service providers around the world which are also affiliated with ITXC.

Sung-Oh Min, Managing Director of the Korea Telecom Internet Service Planning Team, says, "ITXC offers competitive settlement rates and has best met our requirements in reliability, quality, and value among our partners."

Tom Evslin, President and CEO of ITXC Corp, says, "Forward-looking major carriers like Korea Telecom are adding Internet telephony to their portfolio of services. We are proud they chose to do this by using ITXC's WWeXchange Service and look forward to a robust bilateral traffic flow."

"We are glad customers such as Korea Telecom are expanding their IP telephony networks with toll-grade quality voice over IP gateways," said Lov Kher, General Manager for Lucent Technologies' PacketStar IP Telephony Solutions. "Working with ITXC, Korea Telecom can increase its revenues right away."

"ITXC is successfully knitting together a worldwide network for Internet telephony. The extent of their footprint and their ability to provide consistent service on the Internet through management of redundancy is attractive to prepaid calling card companies, resellers, and major telephone companies like Korea Telecom worldwide. Internet telephony is moving beyond arbitrage and becoming an industry based on Internet economics," said Edward Jackson, Senior Analyst at Piper Jaffray and co-author with Andrew Schroepfer of a recent report on IP telephony.

About ITXC Corp:

ITXC Corp(TM) is the tier 1 carrier of Internet telephony. ITXC's Internet telephony network, which operates in more than 50 international cities, is the largest in the industry.

Its WWeXchange(SM) Service provides wholesale call completion at exceptional prices and with consistent quality to any phone in the world using a combination of Internet telephony and traditional PSTN.

Its customers and affiliates are traditional telephone companies, new competitive carriers, ISPs, prepaid calling card companies, call back companies, and newly formed Internet telephony service providers. Announced carrier affiliates include Bell Atlantic, Korea Telecom and Japan Telecom.

ITXC was founded by Tom Evslin in 1997 following his departure from AT&T where he developed the concept for and built AT&T's WorldNet ISP. Evslin joined AT&T from Microsoft where he was responsible for the "BackOffice" products. ITXC was founded with seed money from AT&T and VocalTec. ITXC has since been capitalized with over $33 million from an international group of venture investors and strategic partners.

About Korea Telecom:

Korea Telecom delivers South Korea-wide local and long distance calling services, overseas calling services, Multimedia Services, and Satellite communications services. KT is 28.9% owned by private shareholders and institutions; and 71.1% by the Korean Government with total Assets US$16,768 million, and Total Annual Revenue US$8,517 million.

Korea Telecom has 24 million telephone lines installed; 20 million telephone subscribers; and 60,000 employees. For further information, call [phone] or visit KT Web site at http://www.kt.co.kr and http://www.kornet21.net.

ITXC(TM) and WWeXchange(SM) are trademarks and service marks of ITXC Corp.