Presents H.323 Forum 2002

Voice over Internet Presented by Galeal Zino ITXC Corp

Sponsored in part by: H.323 Forum – November 2002 – New York, NY, USA Internet telephony using H a carrier’s perspective Case study of an H.323 based network - ITXC.net SM The current H Voice + Internet equation The future H Voice + Internet equation

Sponsored in part by: H.323 Forum – November 2002 – New York, NY, USA H.323 Network Case Study - ITXC.net SM ITXC is the largest US-based dedicated wholesale carrier of international phone calls. Based on international minutes, ITXC ranks among top the 20 carriers of any kind in the world. Every VoIP minute has been carried using H.323

Sponsored in part by: H.323 Forum – November 2002 – New York, NY, USA Voice quality on H.323 based network iBasis ITXC AT&T MCI WorldCom Source Voice Quality Score

Sponsored in part by: H.323 Forum – November 2002 – New York, NY, USA ITXC Minute and Revenue Growth ($ in millions) Q1 99 Q2 99 Q3 99 Q4 99 Q1 00 Q2 00 Q3 00 Q4 00 Q1 01 Q2 01 Q3 01 Q4 01 Q1 02 (MOU in millions) Q1 99 Q2 99 Q3 99 Q4 99 Q1 00 Q2 00 Q3 00 Q4 00 Q1 01 Q2 01 Q3 01 Q4 01 Q1 02

Sponsored in part by: H.323 Forum – November 2002 – New York, NY, USA Network Growth Factors H.323 vendor interoperability –ITXC.net is vendor agnostic –Interop has enabled ITXC ’ s exponential minutes and revenue growth –Interop is a key to ITXC ’ s BVR™ technology Internet Economics

Sponsored in part by: H.323 Forum – November 2002 – New York, NY, USA 6 PoPs 6 cities with an E1 to each of the others. 15 E1s. $373,200 per month 7 PoPs 7 cities each with E1 to each of the others. 21 E1s $511,200 a month Fully Meshed TDM Network Sydney Tokyo New York London Los Angeles Frankfurt Based on actual and world composites figures from Band-X, 4/01 $138,000 to add new PoP; cost increases w/ each new PoP Amsterdam

Sponsored in part by: H.323 Forum – November 2002 – New York, NY, USA 6 PoPs 6 cities each with an 6 Mbps Internet connection $45,000 a month 7 PoPs 7 cities each with an 6 Mbps Internet connection $50,700 a month Fully Meshed Internet-based Network Sydney Tokyo New York London Los Angeles Source: UUNet Amsterdam Frankfurt ITXC.net Only $5,700 to add an IP PoP!

Sponsored in part by: H.323 Forum – November 2002 – New York, NY, USA Projected Internet Telephony Traffic Source: Piper Jaffray, Inc (2000)

Sponsored in part by: H.323 Forum – November 2002 – New York, NY, USA Network Dominance Factors H.323 Vendor Interop –323 devices need to become modems and TDM switches! –Carrier/vendor cooperation and commitment is only way this will happen Internet Economics Win now in deregulating countries

Sponsored in part by: H.323 Forum – November 2002 – New York, NY, USA Case Study - Bolivia Local Bolivian carrier, COTAS, allowed by deregulation to become a domestic and international long distance carrier COTAS outsources domestic and international network to ITXC Network built in less than one month, in time for day of deregulation

Sponsored in part by: H.323 Forum – November 2002 – New York, NY, USA Santa Cruz market share 60 days after deregulation ENTEL COTAS AES Estimated results as of January 25, 2002

Sponsored in part by: H.323 Forum – November 2002 – New York, NY, USA Bolivian Post Dial Delay ITXC averaged 25% faster ITXC averaged 67% faster Cotas-Teledata (ITXC) vs. Competitors

Sponsored in part by: H.323 Forum – November 2002 – New York, NY, USA Summary H.323 has enabled IP telephony carriers to be among to carriers of any kind in the world H.323 standards based interop is THE way that Internet telephony will WIN ITXC looks forward to working with you to make this happen

Sponsored in part by: H.323 Forum – November 2002 – New York, NY, USA ITXC Worldwide ATHENS DUBAI MIAMI, FL LONDON MANILA PRINCETON, NJ SINGAPORE