VIP Calling Hong Kong Limited Granted PublicNon-Exclusive Telecommunications Service PNETS...

HONG KONG--(BUSINESS WIRE)--Jan. 18, 1999--VIP Calling, Inc., the leading provider of wholesale international Internet telephony services, today announced that VIP Calling Hong Kong Limited has received its Public Non-exclusive Telecommunications Service (PNETS) license from Hong Kong's Office of

the Telecommunications Authority (OFTA). VIP Calling Hong Kong Ltd. is one of the first carriers to receive a PNETS license and will immediately begin delivering toll-quality inbound and outbound wholesale international IP telephony service to traditional carriers, Internet Service Providers (ISPs) and Internet Telephony Service Providers (ITSPs).

In anticipation of the January 1, 1999, deregulation of international telecommunications in Hong Kong, representatives from VIP Calling Hong Kong Ltd. participated in the bidding for Access Codes to Operators of external Telecommunications Services in December 1998. VIP Calling's bid for access code number 1668 was successful with the proceeds going to the Hong Kong Community Chest, the country's largest fund-raising organization for 140 charitable organizations.

"VIP Calling is one of the first ITSPs to receive a PNETS license," said Norman Chan, managing director of VIP Calling Hong Kong Ltd. "In the newly deregulated Hong Kong market, we are ready to provide high quality long distance telephone services at attractive prices."

"Deregulation of the Hong Kong telecommunications market opens new opportunities to introduce IP Telephony services into this untapped marketplace," said Jeff Pulver, president of Pulver.com. "As new and existing telecommunications companies jockey for a share of the market, they most certainly will opt to traffic more and more of their overall minutes via high quality, competitively priced IP telephony networks."

VIP Calling Hong Kong Ltd. is a joint venture of Burlington, Mass-based VIP Calling, Inc., the leading wholesale provider of international Internet telephony services, and Microworld Limited, a leader in the Asian marketplace in both advanced computer telephony applications and voice-over-IP (VoIP). VIP Calling Hong Kong Ltd. originates and terminates IP telephony minutes via the VIP Calling NetworkTM, a scalable end-to-end Cisco solution including gateways and switches for voice and real-time fax services. The company's proprietary Assured Quality RoutingTM methodology enables it to offer customers the cost advantage of IP technology while maintaining toll-quality service by proactively routing traffic between IP and PSTN networks as needed.

About VIP Calling

VIP Calling, Inc., based in Burlington, Mass., is a leading facilities-based carrier utilizing the Internet to provide wholesale international telecommunication services. Founded in 1996, the company has leveraged its engineering and telecommunications expertise to deploy the VIP Calling Network, a state-of-the-art IP telephony network providing PSTN-level quality. The VIP Calling Network has gateway and switching facilities in New York and Los Angeles, a Network Operations Center in Burlington, Mass., and high capacity points of presence (POP) in Asia, the Middle East, Europe and South America. VIP Calling enables carriers, prepaid card operators and telephony resellers to reduce costs and increase profit margins. The company can be reached at 781-229-0011 or at www.vipcalling.com.

About Microworld Limited

Microworld Limited is a leader in the Asian marketplace in advanced computer-telephony applications and a pioneer in the voice-over-IP (VoIP) marketplace. The company provides systems integration and support services on VoIP, fax over Internet, call center integration, conference bridging, telecommuter access, calling card and video. To help its customers make inroads in this burgeoning telecommunication market, Microworld has joined forces with several IP communications and telecommunications solution leaders such as VocalTec, Vienna, Cisco, Ericsson and Speechlink. Together with next generation telecommunications companies and Internet Telephony Service Providers (ITSP) around the world, Microworld provides complete new solutions and services for customers.

VIP Calling and The VIP Calling Network are registered trademarks of VIP Calling, Inc. All other brand names and trademarks are properties of their respective owners.