Leader in Media Delivery to Distribute IP Telephony Capabilities With Industry-Leading RealPlayer Software HACKENSACK, N.J. and SEATTLE, March 13 -- RealNetworks® (Nasdaq: RNWK - news), the recognized leader in media delivery on the Internet, and Net2Phone Inc. (Nasdaq: NTOP - news), the recognized leader in Internet telephony services, today announced an agreement to utilize the powerful distribution capabilities of the industry-leading RealPlayer®, providing the more than 95 million unique registered RealPlayer users access to Net2Phone's PC-based Internet telephony software and services. Net2Phone's software enables computer users to place telephone calls to any telephone or Internet-enabled PC in the world. Under the agreement, Net2Phone Inc. will gain valuable access to the vast RealPlayer user base, and the Net2Phone service will be promoted across the Real.com Network of Web sites.

RealPlayer users will be able to download Net2Phone's client software with RealPlayer 7 Update 1 from the Real.com(TM) Web site, and will also be able to seamlessly download and install Net2Phone's software using the AutoUpdate feature in RealPlayer 7. RealPlayer users in the U.S. who download and register for Net2Phone will also receive 100 free minutes of domestic usage and a complimentary headset.

"Our relationship with Net2Phone enables RealNetworks to provide our tens of millions of Internet media consumers an exciting new way to communicate in real-time with their friends and family anywhere on the Internet,'' said Tom Frank, Chief Operating Officer, RealNetworks, Inc. ``This agreement not only gives our users another unique way to experience media on the Internet, it further demonstrates the highly strategic value of our more than 95 million RealPlayer users and the Real.com Network of Web sites to RealNetworks partners." "We are excited to be working with RealNetworks, the leaders in Internet audio and video, and look forward to providing their tens of millions of users with best-of-breed IP Telephony services," said Jonathan Fram, President of Net2Phone. "This relationship is greatly synergistic as RealPlayer users are highly sophisticated and accustomed to using multimedia functionality for Internet applications. Bundling Net2Phone with RealPlayer -- the most popular media application on the Internet -- provides a powerful distribution channel that will enable Net2Phone to continue its role as the industry leader in IP Telephony."

About Net2Phone

Net2Phone's award-winning products include PC-to-phone, PC-to-fax, free PC-to-PC calling, and free voicemail capabilities. IDC recently named Net2Phone the leader in Internet telephony minutes routed in their August 1999 report on Voice over IP services with almost 40% market share.

Net2Phone is a leading provider of voice-enhanced Internet communications services to individuals and businesses worldwide. Net2Phone enables people to place low-cost high quality calls from their computer, telephone, or fax machine to any telephone or fax machine in the world. Net2Phone develops and markets technology and services for IP voice and e-commerce solutions for the web and other IP networks. For more information about Net2Phone's products and services, please visit www.net2phone.com .

About RealPlayer

RealPlayer 7 is the newest version of the industry-leading media player and gateway to the best audio and video programming on the Internet and the Real.com Network. RealPlayer 7 offers one button access to audio and video programming from more than 300 partners via Real.com Take5, Channels and Live Stations. RealPlayer 7 also includes the new Real.com Message Service, which enables users, at their option and free of charge, to be notified when entertainment or breaking news programming is available. Users can download RealPlayer 7 at http://www.real.com/player/.

About RealNetworks

RealNetworks, Inc., based in Seattle, is the recognized leader in media delivery on the Internet. It develops and markets software products and services designed to enable users of personal computers and other consumer electronic devices to send and receive audio, video and other multimedia services using the Web. Consumers can access and experience audio/video programming and download RealNetworks consumer software on the Internet at http://www.real.com . RealNetworks' systems and corporate information is located on the Internet at http://www.realnetworks.com .

RealNetworks continues to maintain a strong leadership share of the streaming media market. As of January 2000, there are more than 95 million unique registered users of RealPlayer and more than 85% of all streaming media Web pages on the Internet use industry leading RealAudio®, RealVideo®, RealFlash(TM), RealText® or RealPix(TM), and more than 350,000 hours of live RealAudio and RealVideo programming are available each week (Source: Hotbot).

RealNetworks, RealPlayer, Real.com, RealAudio, RealVideo, RealText and RealPix are trademarks or registered trademarks of RealNetworks, Inc. RealFlash is a trademark of RealNetworks and MacroMedia, Inc. Macromedia and Flash are registered trademarks of Macromedia, Inc. All other companies or products listed herein are trademarks or registered trademarks of their respective owners.

This press release contains forward-looking statements within the meaning ofSection 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Such forward-looking statements include, among other things, Net2Phone's expected operating performance for the three months ending January 31, 2000 and thereafter. Actual results could differ from those projected in any forward-looking statements due to numerous factors. Such factors include, among others, the inherent uncertainty of financial estimates and projections, the competitive environment for Internet telephony, changes of rates of all related telco rates and services, legislation that may affect the Internet telephony industry, and Net2Phone's ability to operate the services described on a large scale commercial level. The forward-looking statements are made as of the date of this press release, and Net2Phone assumes no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those projected in the forward-looking statements. Investors should consult all of the information set forth herein and the other information set forth from time to time in Net2Phone's reports filed with the Securities and Exchange Commission pursuant to the Securities Act of 1933 and the Securities Exchange Act of 1934.