Net2Phone Successfully Defends Patent Lawsuit

NEWARK, NJ - February 4, 2004 -- Net2Phone (NASDAQ: NTOP) today announced the successful decision affirming the dismissal of Multi-Tech’s lawsuit against Net2Phone. The United States Court of Appeals for the Federal Circuit has affirmed the US District Court’s favorable ruling on the construction of the patent claims.

The appellate judgment follows an earlier Order of the District Court dated August 16, 2002, which construed the claims in the Multi-Tech patents in such a manner as to eliminate the basis for Multi-Tech’s claims of infringement against Net2Phone.

"I’m always pleased to put litigation behind us, so we can continue to focus on delivering valuable VoIP services to our customers,” said Stephen Greenberg, CEO of Net2Phone.

About Net2Phone
Founded in 1995, Net2Phone is a leading provider of retail VoIP services globally, comprised of two wholly owned subsidiaries. Net2Phone Global Services ("NGS") provides consumers and small businesses globally with bundled voice and enhanced services either directly or via partners. Net2Phone Cable Telephony ("NCT") provides cable operators with a turn-key solution to deliver residential phone service to their subscribers. While the opportunities for each unit differ, each division relies on quality partners for distribution and each utilizes a centralized platform to deliver retail services at a low incremental cost. Traded on the NASDAQ under the symbol NTOP, Net2Phone's strategic partners and investors include Liberty Media Corporation (NYSE: L; LMC.B) and IDT Corporation (NYSE: IDT; IDT.C). For more information about Net2Phone's products and services, please visit www.net2phone.com.

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