Wave Issue 2043 8/15/00 Article 1-03

***NetSpeak Receives $1.9 Million Contract to Deploy VoIP Virtual
Private Network Solution for China Unicom
(August 15)

NetSpeak Corporation, a provider of advanced telephony solutions
for Internet Protocol (IP) networks, announced that it has been
awarded a $1.9 million contract to support China Unicom's
deployment of a VoIP Virtual Private Network (VPN) solution in
China.

China Unicom, a competitive carrier in China, will deploy the
NetSpeak Voice over IP (VoIP) Virtual Private Network (VPN)
solution as part of the carrier's initial rollout of its 311-city
nationwide plan. The network will allow China Unicom to provide
business customers in China with a VoIP telecommunications
service at lower rates than those offered by traditional telecom
carriers.

NetSpeak received the contract through Datacraft Asia, a member
of its worldwide Solutions Partner Program and a communications
and networking systems integrator in the Asia-Pacific region.
Datacraft Asia is providing network installation services, end-
to-end networking systems integration and ongoing local support
to China Unicom.

NetSpeak's Voice VPN solution will allow service providers to
offer their enterprise customers calling features including
domestic private dial plans (four or five-digit dialing), which
allow enterprises to eliminate Public Switched Telephone Network
(PSTN) services between their branch offices and thus achieve
savings on interoffice communications. In addition, it provides
off-net calling, which will enable access to low-cost, long-
distance call termination worldwide. In China Unicom's case, the
VPN will also integrate with the Unicom prepaid VoIP and GSM
networks and offer other business features such as voice remote
access and 800 number translation services.

VoIP services in China are expected to account for 15 to 20
percent of all global packet telephony traffic worldwide by the
year 2005, according to Probe Research. In per-minute terms,
Probe estimates that the mainland China packet telephony market
is projected to reach at least 60 billion minutes of use annually
by 2005, generating roughly $1.75 billion in revenues - more than
Japan or Germany.