ITXC Closes $15M in 2nd Round of Funding

Business Wire, March 8, 1999

FLATIRON PARTNERS (www.flatironpartners.com), is the leading Internet-focused, early-stage venture capital firm in New York City. Flatiron Partners specializes in early-stage Internet software, services and media companies primarily in the New York metropolitan area and along the east coast.

SPECTRUM EQUITY INVESTORS (www.spectrumequity.com ) is a leading private equity firm focused on investing exclusively in the telecommunications and media industries. Spectrum manages more than $1 billion of capital from prominent institutional investors, including college and university endowments, foundations, pension funds and corporations. The firm has offices in Boston and Palo Alto, Calif.

VOCALTEC COMMUNICATIONS (www.vocaltec.com) develops and markets award-winning software that enables voice, fax, and multimedia communication over packetized (IP) networks, including both private networks and the public Internet. The Company is recognized as the founder and leader of the Voice-over-the-Internet market, for its ongoing technical innovations, and its leadership in setting industry standards and pursuing interoperability.

The company is a leader in developing innovative, open standards products that bridge the Internet and the traditional public switched telephone network (PSTN) and drive the convergence of computing and telephone technologies.

About ITXC Corp:

ITXC Corp(TM) is a Tier 1 carrier of Internet telephony. Its WweXchange(TM) Service provides wholesale call completion to any phone in the world using a combination of Internet telephony and traditional PSTN.

Its customers are traditional telephone companies, new competitive carriers, ISPs, prepaid calling card companies, call back companies, and newly formed Internet telephony service providers (ITSPs) - all of whom use the Internet telephony network with 132 PoPs worldwide. It serves as the connection point for diverse partners such as telephone companies Bell Atlantic 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 $30 million from an international group of venture investors and strategic partners.