iBasis Achieves Interoperability with VocalTec Equipment

Interoperability Connects Both Companies to New Revenue Opportunities

BURLINGTON, Mass. and FORT LEE, New Jersey - October 7, 2002 - iBasis, Inc., (NASDAQ: IBAS), the leader in Internet-based voice communications, and VocalTec Communications Ltd. (NASDAQ: VOCL), a leading telecom equipment provider offering packet voice solutions for carriers and service providers, today announced direct interoperability between The iBasis NetworkTM and packet voice solutions from VocalTec. Previously, carriers were only able to connect to The iBasis Network using TDM switches or Cisco gateways.

Interoperability with VocalTec expands iBasis' access to prospective carrier customers that originate international telephone traffic, as well as to terminating partners who can add new destinations or supplement existing points of presence to provide greater capacity and geographic coverage. Direct interoperability expands VocalTec's opportunity to capture revenue from terminating traffic and provides an additional VoIP network for outbound traffic.

"VocalTec has achieved a strong position in the global market with carrier customers in more than 100 countries and more than 20 percent of worldwide VoIP traffic going through its platforms," said Ofer Gneezy, president and CEO of iBasis. "Full interoperability with VocalTec allows more carriers to connect to The iBasis Network for high quality completion of their international calls and to receive traffic from us. It will also generate increased demand for VocalTec equipment."

"VocalTec and Cisco spearheaded the need for open standards and interoperability back in 1999," said Elon Ganor, CEO and Chairman of VocalTec. "Today, VocalTec is interoperable with 60 percent of the world's VoIP ports. iBasis is a very important addition to our list of interoperability partners, giving us the broadest range of VoIP connectivity."

Effective multi-vendor interoperability in large production VoIP networks, a long term goal for VocalTec, requires technical experts from both companies to participate in extensive lab and field trials. iBasis has successfully demonstrated full interoperability between the Cisco gateways in the iBasis network and VocalTec gateways, including the VGW 120, 480, and 2000, in lab tests and with customers who use VocalTec equipment.

"iBasis is an important carrier partner for us," said Siddhartha Ray, Managing Director, Data Access. "By interconnecting with the iBasis network, both companies are in a position to expand their respective carrier business in the Indian Long Distance market. We look forward to increased participation of iBasis in our international traffic by consolidating Indian traffic through their hugely successful network."

About The iBasis Network

iBasis is one of the 10 largest carriers of international voice traffic in the world1 with more than 13% share of international VoIP traffic2 and more than 160 carrier customers worldwide. iBasis has a global VoIP network that spans more than 650 points of presence and 85 countries and is carrying an annual run rate of more than 2.4 billion minutes of ordinary international telephone calls.  The iBasis Network architecture takes advantage of state-of-the-art VoIP technology as well as patent-pending routing and traffic management technology developed by iBasis to deliver significant financial and network performance advantages.

About VocalTec

VocalTec Communications Ltd. (VocalTec) is a leading telecom equipment provider of packet voice solutions for carriers and service providers. As an innovator and provider of Internet telephony solutions since 1995, VocalTec offers a highly evolved revenue-generating product line. With a customer base including the China Telecom PTAs, Deutsche Telekom, ITXC and NTT Communications, our multi-service solutions are commercially deployed in more than 100 countries, powering 20 percent of the world's revenue-generating international VoIP minutes.  Learn more about our products and solutions at www.vocaltec.com.

About Data Access

Incorporated in 1999, Data Access is one of the first ISP licensees in India to set up its own private internet gateways, thereby ending the monopoly of VSNL in international carrier business in the year 2000. Promoted by SPA enterprises Ltd., India, and partnered with PCCW Ltd., Hong Kong, Data Access is maintaining its monopoly-breaking track record in the Indian telecom market by being the first Indian private voice carrier to deliver large scale voice traffic on its own network. The company operates several telecommunications licenses in India, the United Kingdom and the United States for voice, data and broadcasting services.

Data Access is the only Indian carrier network, with its own footprint reaching all parts of the world and operating its own network centers in the United States, Europe and Asia Pacific and servicing not only the Indian consumer but the global telecom consumer through its global clearing house operations in London and New York. Please visit www.dataaccessindia.com for more details.

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Assured Quality Routing and iBasis are registered marks, The iBasis Network, Internet Central Office, Internet Branch Office, ConnectPoint Global Access, and IP CallCard are trademarks of iBasis, Inc. Cisco and Cisco Powered Network are registered trademarks of Cisco Systems, Inc. All other trademarks are the property of their respective owners.

Except for historical information, all of the expectations, projections and assumptions contained in the foregoing press release, including those relating to the company's current expectations regarding revenue growth, sources of revenue, margin improvement and future capital expenditures constitute forward-looking statements under the Private Securities Litigation Reform Act of 1995 and involve risks and uncertainties. Important factors that could cause actual results to differ materially from such forward-looking statements include, but are not limited to, (i) the extent of adoption of the company's services and the timing and amount of revenue generated by these services; (ii) fluctuations in the market for and pricing of these services; (iii) potential inability of the company to maintain its NASDAQ listing; and (iv) the other considerations described as "Risk Factors" in iBasis' Annual Report on Form 10-K for its fiscal year ended December 31, 2001, and the company's other SEC filings. We have no current intention to update any forward-looking statements.