iBasis Unveils Expanded Portfolio Of Voice Products To Address Needs of All Segments of International Voice Industry

Carrier Marks Anniversary of Strategic KPN Transaction with Launch of Best-of-Breed Portfolio Serving all Segments of International Voice Market

BURLINGTON, Massachusetts – 11/02/2008 – iBasis (NASDAQ: IBAS), a KPN affiliate, today introduced its expanded portfolio of international voice products, designed to fully address the needs of all telecommunications market segments from cost-driven wholesale carriers to retail mobile operators worldwide. The new portfolio represents the integration of products and capabilities iBasis acquired through its October 2007 acquisition of KPN Global Carrier Services (KGCS) from Royal KPN N.V., the national carrier of the Netherlands. That transaction positioned iBasis as one of the largest carriers of international voice, expanded its global footprint and customer base, and gave the company the massive scale necessary to be a leading player in the ongoing consolidation of the international voice industry.

The best-of-breed portfolio includes international voice services that offer a range of code coverage, pricing and advanced features. It addresses the requirements of fixed carriers, mobile operators, consumer voice over broadband carriers, and prepaid calling card service providers that comprise the more than 1,000 iBasis carrier customers around the globe. The portfolio leverages the iBasis global VoIP network, as well as TDM infrastructure acquired in the KPN transaction, and iBasis’ patented quality monitoring and management technologies.

“This innovative portfolio underscores the strong strategic position iBasis holds in international wholesale,” said David James, wholesale telecoms principal analyst at Ovum, a global advisory and consulting firm. “Unlike many international wholesalers, iBasis’ business is focused on international voice and this portfolio provides all segments of the industry access to the cost efficiencies that result from the company’s scale, IP infrastructure and expertise.”

“We have made a great deal of progress on integration since our transaction with KPN last year,” said the President and CEO of iBasis, Ofer Gneezy. “Our ability to offer a comprehensive product portfolio that addresses the international voice requirements of virtually every segment of the industry is a significant competitive advantage. As more and more carriers seek ways to enhance the profitability of their international service, iBasis offers compelling solutions ranging from select destinations to total outsourcing of international voice.”

The iBasis International Voice Product Portfolio consists of the following:

  • Direct Voice: Provides wholesale carriers access to iBasis’ lowest-cost routes and direct pricing for highest possible savings. Providers are selected on cost and voice quality, while capacity and coverage are managed to minimize costs.
  • Value Voice: Expands on Direct Voice by adding select providers to increase coverage and reduce variation in the major metrics while maintaining competitive rates for wholesale, retail and calling card operators.
  • Certified Voice: Ideal for retail operators and consumer VoBB providers requiring full calling coverage, high route stability, call completion and capacity.
  • Premium Voice: Offers mobile and retail operators guaranteed features and exceptional voice quality using direct connections with incumbent carriers and qualified providers. Includes advanced features such as guaranteed CLI, fax and roaming.

Carriers from all segments of the international voice market utilize iBasis’ voice products to complete their customers’ phone calls to countries where they lack sufficient network capacity or direct connections of their own. iBasis offers solutions ranging from single destinations to full outsourcing of international voice services, which enables the carrier to focus resources on their higher margin retail voice and data services while still providing high quality international service.

In addition to the expanded International Voice Product Portfolio, iBasis has completed the integration of its Mobile Matrix collection of value added services for mobile operators, including messaging interworking, global mobile signaling, preferred roaming, roaming integrator services and GRX.

The expanded voice portfolio and value added mobile services are available now. Current iBasis customers are already being migrated to appropriate products in the new iBasis International Voice Product Portfolio, a process expected to be completed during Q4 of 2008.

About iBasis

Founded in 1996, iBasis (NASDAQ: IBAS) is a leading wholesale carrier of international long distance telephone calls and a provider of retail prepaid calling services and enhanced services for mobile operators. iBasis customers include KPN, KPN Mobile, E-Plus, BASE, TDC and many other large telecommunications carriers such as Verizon, Vodafone, China Mobile, China Unicom, IDT, Qwest, Skype, Telecom Italia, Telefonica, and Yahoo. In October 2007, iBasis acquired KPN Global Carrier Services to create one of the three largest carriers of international voice traffic in the world (1), and KPN became a majority stockholder of iBasis. On a pro forma basis, the combined company carried approximately 24 billion minutes of international voice traffic in 2007. The Company can be reached at its worldwide headquarters in Burlington, Mass., USA at +1 781-505-7500 or on the Internet atwww.ibasis.com.