Net2Phone Acquires Aplio
Leading Internet telephony service provider acquires technology
integrator for Voice over IP
Hackensack, NJ - July 19, 2000 --- Net2Phone Inc. (NASDAQ: NTOP),
a leading provider of voice-enhanced communications services, today
announced that it has acquired Aplio, S.A., a leading integrator
of Voice over IP (VoIP) technologies, strengthening Net2Phone's
ability to quickly deliver highly integrated, cost-effective voice
enabled Internet solutions to consumers and businesses worldwide.
Aplio’s technology enables VoIP devices to access Net2Phone’s
network, including designs for chips, boards, and casings that all
specialize in VoIP software for devices. Aplio’s technology will
further enable Net2Phone to support a wide range of business and
consumer products to optimize the Net2Phone network and its growing
communications services. For example, Net2Phone has been working
with many OEMs to integrate its technology into their equipment.
Aplio’s expertise in technology integration can help the company
in voice enabling hardware.
Aplio uses embedded Linux as its technology platform, enabling
Net2Phone to benefit from both Aplio’s Linux capabilities on top
of Net2Phone’s Unix capabilities. Additionally Aplio has in-progress
relationships with recognized worldwide hardware manufacturers that
can also add the Net2Phone services into their IP devices.
"Integrating Aplio’s unique technology with our suite of products
and services will help Net2Phone aggressively bring quality offerings
to the marketplace. We view this acquisition as Net2Phone’s foothold
into the growing use of devices other than the PC to access our
communications network. Aplio’s management team combined with its
technology experts make this relationship both sensible and valuable,"
said Howie Balter, Chief Executive Officer of Net2Phone.
"We are very excited about Aplio's device technologies that will
allow Net2Phone network to become the IP standard by being adapted
into many IP devices worldwide including major partners and Net2Phone’s
Yap line," said Jonathan Rand, Executive Vice President of Net2Phone.
"Aplio gives us very strong flexibility to support a number of parallel
efforts in the exploding IP device market, all with the goal to
dramatically continue to increase our world wide usage."
Founded in September 1996, Aplio is a privately held company based
in Paris, France with offices in California and Israel. Net2Phone
acquired Aplio for an undisclosed amount of stock and cash. Aplio
executives have extensive experience in the telecom and networking
industry. Net2Phone expects all 35 Aplio employees to join Net2Phone’s
"We believe we’re now working with the world’s leader in IP telephony
and are excited about changing the paradigm of voice communications
around the world. We’re very enthusiastic about joining Net2Phone’s
team, and look forward to working on executing multiple projects
with them," said Henri Tebeka, Chairman and CTO of Aplio.
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
This press release contains forward-looking statements within
the meaning of Section 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 July 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.