Deltathree and UBIUS to Enhance Korea Train Express Family Card Program with Calling Capabilities


KTX Family Card to Advance Benefits of VoIP Technology Through deltathree's Hosted Consumer VoIP Solution and UBIUS Services

NEW YORK, Feb. 26 // -- deltathree, Inc. (NASDAQ:DDDC), a leading provider of SIP-based Voice over Internet Protocol (VoIP) solutions for service providers and end-users worldwide, today announced that it is collaborating with UBIUS, a partner of deltathree, to provide calling capabilities for the Family Card Program of the Korea Train Express (KTX), South Korea's high-speed rail system that transports over seven million riders a year. While KTX's Family Card Program, a frequent rider membership program, already offers benefits such as restaurant, hotel and rail discounts as well as the option to utilize the card as a debit for fare payments, the solutions of deltathree and UBIUS revolutionize this offering with VoIP calling capabilities.

"KTX is delighted to announce these new calling features for our Family Card Program," stated Song Hong Ha, Senior Executive Director of KTX. "We believe these innovative calling capabilities will be of great value to our members as it will allow them to conveniently stay connected both professionally and personally while traveling within South Korea and abroad."

In an effort to enhance the advantages of membership, the Program has embarked on an inventive plan to add calling features to Family Cards so that they can be used to make calls worldwide through the use of VoIP technology. Program members will be able to use their member numbers, printed on the cards, as calling access numbers. Call charges will be funded either by depositing a prepaid amount to the account by cash or credit card, or by transferring accumulated rail miles in return for call minutes.

In addition to the traditional usage of the calling capabilities via a home, public or mobile phone, the Program's preferred members will be given the unique and cost-effective opportunity to make calls through any computer with a broadband connection. They will be provided a USB drive embedded with a KTX branded PC Phone dialer that allows them to initiate calls via a computer at lower rates compared to the cost of conventional calling methods. This USB drive will be fitted with a sound card and allow the connection of a headset, so that once connected to any computer, it will allow the user to immediately call and converse with others. Preferred members will also be able to purchase an inbound phone number to receive calls through their computer.

deltathree's Hosted Consumer VoIP Solution, which enables service providers to introduce comprehensive VoIP products and services to their end- users, is the platform that facilitates this initiative. The Hosted Consumer VoIP Solution provides KTX with a comprehensive network foundation, including web and telephony functionality. While giving Family Card holders the freedom to use these calling features anywhere in the world, the Hosted Consumer VoIP Solution offers end-users valuable features such as A-pin validation, otherwise known as no-pin dialing, and multiple call, which allows users to make consecutive calls without disconnecting from the system.

"This service demonstrates how VoIP can be embedded in an industry where telephony is not the core competency, while providing an unprecedented value that can still be tied directly to an organization's primary goal," stated Gary Coben, deltathree's Director of Sales. "The rail mileage accumulated via the KTX Family Card can be used to make calls, which in turn, will provide an even greater incentive to accumulate more rail mileage. The possibilities associated with this type of marketing are endless."

UBIUS will oversee the development of this project, as well as the language translation services, in order to seamlessly integrate deltathree's customized Hosted Consumer VoIP Solution with the Program's existing infrastructure. Mr. Coben cited, "By partnering with UBIUS, deltathree has accelerated its ability to serve the Korean market via language, currency and web support."

UBIUS's Vice President, David Yearley, noted, "We are proud to be involved in this pioneering project to advance VoIP as a measure to support the core competency of a prominent membership and loyalty rewards program. UBIUS has long been a proponent of advancing VoIP to new markets to discover further roles for the technology. Working with KTX and deltathree allows us to expand on this vision."

deltathree, UBIUS and KTX have already begun the initial stages of planning and development for the Program's calling capabilities. All three companies are committed to bringing this breakthrough service to Family Card members by the end of the second quarter of 2007.

About deltathree

Founded in 1996, deltathree, Inc. is a leading provider of integrated Voice over Internet Protocol (VoIP) telephony services, products, hosted solutions, and infrastructure. deltathree offers high quality Internet telephony solutions that are viable and cost-effective alternatives to traditional telephone services. Supporting hundreds of thousands of active users around the world, deltathree serves customers through its two primary distribution channels: the Service Provider / Reseller channel and the iConnectHere direct-to-consumer channel. deltathree's advanced solutions offer service providers and resellers a full spectrum of private label VoIP products and services, as well as a back-office suite of services. Utilizing advanced Session Initiation Protocol (SIP) technology, deltathree provides all the components to support a complete VoIP service deployment including: project planning and implementation, network management, soft switch applications, a variety of VoIP hardware devices, web development, management tools and a full suite of back office services. iConnectHere, deltathree's direct-to-consumer offering, provides award-winning VoIP products directly to consumers and small businesses online using the same primary platform.

For more information about deltathree please visit our website: www.deltathree.com

About UBIUS

UBIUS is a leading provider of innovative VoIP Telephony Services and Solutions in Korea and the United States. Through its strategic relationship with Deltathree, UBIUS is able to provide advanced cost effective VoIP telephony solutions, offering a fast track entrance into the rapidly expanding VoIP Services market for both new and experienced telecom service providers. UBIUS offers a complete range of services to provide clients with a fully customized and integrated VoIP solution to fit their specific business requirements. UBIUS utilizes the Deltathree Outsourced Platform Solution components at the core of their VoIP solutions and has extensive expertise in integrating deltathree's robust suite of back office services, with the clients existing operations, through custom designed Extensible Markup Language (XML) application programming interfaces (API's). The resulting fully customized and integrated package provides UBIUS clients with a turnkey VoIP platform solution incorporating all the necessary components required to support and operate their new VoIP business model, such as billing, eCommerce, fraud management, soft-switch applications, Customer Premises Equipment (CPE) fulfillment, provisioning & configuration, network management and multi lingual web services.

For more information about UBIUS please visit: www.ubius.net

About Korea Train Express

Korea Train Express (KTX) is part of the Korea Rail Network Authority and was responsible for the construction and maintenance of the Gyeongbu high speed railway, one of the largest national projects embarked upon in Korea. Today KTX is committed to providing a safe and convenient rail transportation system and continues to gain a competitive advantage by implementing the latest in railroad technology and the development of innovative solutions to make transportation more convenient. Korail Networks Inc. (KN Inc.), a subsidiary company of KTX, was established to provide a complete range of customer oriented services for the $22 billion Korail Network infrastructure and the 7 million Korail members. After the establishment of KN Inc. the KTX Family Card Membership service was quickly launched, followed by the establishment of Family Card Member's Lounges at the main Rail stations in Korea and next was the E ticket service launch. Today KN Inc. supports the railroad customers through the core customer handling services such as web site operations, ticket sales, call-centers, and membership card services, with a 400 person Call Centre and a network of 200 Ticket Sales Windows as well as large team of I.T. professionals to manage their in-house systems and future development projects.

For more information about KTX please visit: ktx.korail.go.kr/

Source: deltathree

CONTACT: Erik Knettel of The Global Consulting Group, Investor Relations, +1-646-284-9415, ir@deltathree.com; Susan Park for deltathree, Inc., Media Relations, +1-212-500-4836, pr@deltathree.com

Web site: www.deltathree.com/
http://www.ubius.net/
http://ktx.korail.go.kr/

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