[December 9, 2004]

Vonage to Do Video

BY JOHANNE TORRES

Vonage (news - alert) users will soon be able to see each other through video feeds. The company announced today that it partnered with Viseon (news - alert), a provider of broadband video telephones, to combine both services and enable Vonage users to place and receive live video phone calls. Viseon’s video phones will be sold through Vonage’s Web site, enabling Vonage users to communicate via video.

Vonage will retail Viseon’s VisiFone, a consumer broadband videophone currently in use by corporate clients, government agencies and educational institutions in the U.S. and abroad. Viseon's VisiFone II, which will launch in Q1 of 2005, is a consumer communication device, which provides multiple features now made possible by the widespread availability of broadband access.

John Harris, president and CEO of Viseon Inc., commented: "This relationship will finally provide consumers with a next generation telephone that can take full advantage of the features available from broadband phone service. The phone we will be offering in partnership with Vonage is different from anything else available today."

Both companies are also trying to connect with small and medium-sized companies, who would benefit from the technology by enabling them to perform live video conferencing phone calls, visually communicating with anyone, anywhere in the world. In addition to video, the development deal will allow Vonage to provide a set of features never before available to consumers.

The phones are expected to be offered at Vonage’s Web site and at over 7,000 retail/e-tail locations nationwide. Vonage is also sold through retail partners such as SAM's Club, Amazon.com, RadioShack, Best Buy, Circuit City, Staples, Fry's Electronics and Office Depot. Wholesale partners such as EarthLink, ARMSTRONG, Advanced Cable Communications and the Coldwater Board of Public Utilities resell the Vonage broadband phone service under their own unique brands.

"Vonage is pleased to partner with Viseon to develop this first-of-a-kind videophone service. Our ability to offer both consumers and small businesses the opportunity to make video calls is another enhancement to the way people make phone calls," stated Jeffrey A. Citron, chairman and CEO of Vonage Holdings Corp. "More importantly, this service will allow Vonage Small Business customers to benefit from corporate quality videoconferencing and will make calls more meaningful when friends, family and relatives can communicate in real time, whether they are across town or across the country."

Vonage Holdings Co.
www.vonage.com

Viseon
www.viseon.com