[December 29, 2000]

NxGen Networks, Touch America Partner; Demonstrate Success Of VoIP Telephony Provider Business Strategy

NxGen Networks, Inc. and Touch America, the national broadband, fiber-optic and wireless network telecommunications subsidiary of the Montana Power Company, announced a strategic partnership that will allow both companies to compete more effectively in the origination and termination of global voice traffic by combining leading-edge switching and optical transport.

Through its high-speed, fiber-optic network, Touch America will provide NxGen Networks the ability to carry traffic for all of its customers both to and from domestic and international locations. In return, Touch America will be able to reduce its termination costs by utilizing NxGen's state-of-the-art gateway switches. This relationship also includes the opportunity for Touch America to provide additional broadband capacity to NxGen for both voice transport and IP requirements.

"Together, we will offer customers the best of each companies' voice technologies for speed, security, reliability and national reach between networks, thus allowing enhanced offerings to all of our customers," said Perry Cole, Senior Vice President of Sales for Touch America. "Combining the strengths of a leading bandwidth provider with a leading integrator of voice and data switched services, increases the ability for each company to economically and rapidly scale their networks to meet expanding customer needs in the most timely manner possible."

"Our strategic relationship enables next-generation applications and services for customers by bringing together the industry's leading network technology from both Touch America and NxGen Networks, Inc.," said Darren J. Dumba, Senior Vice President of Sales and Service Delivery for NxGen. "We can improve customers' financial performance and lower their costs, while providing one of the industry's most secure, highly scalable solutions."

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