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XO Communications Expands Industry-Leading Business VoIP Services Bundle

Small and Medium-Sized Businesses with Larger Offices Can Now Leverage XOptions Flex for VoIP Cost-Savings Flexibility and Scalability

February 22, 2006 -- RESTON, VA - XO Communications, Inc. today announced enhancements to XOptions Flex, its industry-leading voice over Internet Protocol (VoIP) services bundle, that enable small and medium-sized businesses with larger offices to take advantage of the cost-savings and flexibility of VoIP.
XOptions Flex is the industrys first VoIP services bundle for businesses that combines unlimited local and long distance calling, dedicated Internet access and web hosting for a flat monthly price. XOptions Flex leverages the latest in VoIP technology to provide customers with advanced capabilities such as unlimited voice calling, dynamic bandwidth allocation, voice virtual private networking (VPN), and a simple Administrative Web Portal.

The new enhancements expand the market for XOptions Flex by extending its availability to include businesses with up to 160 employees at each location a market that spans more than 4 million businesses nationwide with an annual telecommunications spend of $50 billion. Mid-sized companies can now utilize XOptions Flex with their existing private branch exchange (PBX) or digital key systems that are connected to an Integrated Digital Services Network (ISDN) Primary Rate Interface (PRI) or digital trunk, allowing customers to take full advantage of XOptions Flexs IP-enabled capabilities and features without having to replace their existing phone systems.

XOptions Flex enables businesses to quickly and cost-effectively take advantage of the benefits of VoIP without having to invest in new equipment, said Charlie Cary, vice president of marketing at XO Communications. In less than one year, nearly 3,000 businesses have deployed XOptions Flex, and these enhancements will enable businesses with larger offices to enjoy the benefits XOptions Flex offers.

XOptions Flex Features
XOptions Flex includes more than twenty standard voice features for each phone line including call forward, three-way calling, and voice mail. Other key features of the service include:
Dedicated Internet Access up to 3 Mbps
Dynamic bandwidth allocation
Unlimited local calling
Unlimited inbound and outbound domestic long distance calling
Administrative Web Portal for making real-time changes to services
Web Hosting Package
Additional voice lines, hosting and other applications can also be added on an a la carte basis.

With a broadband connection on the XO IP network, XOptions Flex utilizes the XO national IP network and softswitch technology to carry customers voice calls more efficiently and cost-effectively than traditional services that rely on the public switched telephone network. As a business-class VoIP solution, XOptions Flex provides customers with full access to E911 emergency services.

The new enhancements are now available to customers in Chicago, Dallas, Ft. Lauderdale, Miami, Minneapolis/St. Paul, Orlando, San Francisco and Tampa/St. Petersburg/Sarasota. The enhancements will be made available to customers nationwide later in the first half of this year.

XOptions Flex is delivered using industry-leading integrated access devices, including the Cisco IAD 2400 Series Integrated Access Devices. The Cisco IAD2400 family has set the stage for migration from traditional to new architectures, by allowing XO to deliver toll-quality voice and data services over circuit- or packet-switched networks. With the Cisco IAD 2400 series, changes in the core XO network are transparent to end users. The Cisco IAD2400 derives local voice services from either soft switches with SIP and MGCP or from TDM-based Class 5 switches.

Among the first PBX systems to be certified to work with XOptions Flex includes Avaya IP Office, a secure, intelligent, and easy-to-use converged voice and data system for small and medium businesses and PARTNER Advanced Communications System, a telecommunication system that supports advanced telephony capabilities, including messaging and wireless applications to enhance business productivity. Avaya (NYSE:AV) is a leading global provider of business communications applications, systems and services. Avaya has sold more than 60,000 IP Office systems and more than one million Partner systems to small and medium businesses worldwide, through its global network of 2,300 resellers.

For more information about XOptions Flex visit www.xo.com/flex

About XO Communications
XO Communications is a leading provider of national and local telecommunications services to businesses, large enterprises and telecommunications companies. XO offers a complete portfolio of services, including local and long distance voice, dedicated Internet access, private networking, data transport, and Web hosting services as well as bundled voice and Internet solutions. XO provides these services over an advanced, national facilities-based IP network and serves more than 70 metropolitan markets across the United States. For more information, visit www.xo.com.

Source: XO Communications

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