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iBasis Regains Compliance with Nasdaq Marketplace Rules for Listing

BURLINGTON, MASS. - July 11, 2007 - iBasis (NASDAQ: IBAS), the global VoIP company,today announced that it has been informed by the Nasdaq Listing and Hearing Review Council that it is in compliance with all Nasdaq Marketplace Rules for continued listing on the Nasdaq Global Market and that the matter is now closed.

In June, the Company completed its previously announced financial restatement and filed its Annual Report on Form 10-K for the year ended December 31, 2006, its Quarterly Report on Form 10-Q for the quarter ended September 30, 2006, and its Quarterly Report on Form 10-Q for the quarter ended March 31, 2007, bringing the Company up to date on its periodic reports.

As previously announced, a Special Committee of independent directors appointed by the Board of Directors of the Company conducted an internal investigation relating to stock options granted to the employees of the Company, the timing of such grants and their related accounting and tax treatment. On October 20, 2006, the Company disclosed that the Special Committee had concluded that the appropriate measurement dates for determining the accounting treatment of certain stock option grants differ from the measurement dates used by the Company in preparing its financial statements.

As previously announced, the Company had received notice that it was not in compliance with Nasdaq listing requirements due to its failure to file its periodic reports. This was the result of discrepancies in measurement dates for determining the accounting treatment of certain stock option grants. On March 12, 2007, the Company was informed by The Nasdaq Stock Market that the Nasdaq Listing and Hearing Review Council had stayed the April 26, 2007 deadline for the delisting of the Company's securities, pending further action by the Listing Council. The Listing Council further informed the Company that it may submit additional written information for the Listing Council's consideration by June 1, 2007. In its June 1 submission to the Listing Council, the Company requested additional time to complete its delinquent periodic filings, which it did on June 25.

"Now that we have completed the restatement process and are once again compliant with all Nasdaq listing requirements, we are focused on finalizing the preparation of a preliminary proxy statement to seek shareholder approval of our previously announced transaction with Royal KPN N.V.," said Ofer Gneezy, president and CEO of iBasis.

About iBasis

Founded in 1996, iBasis (NASDAQ: IBAS) is a leading wholesale carrier of international long distance telephone calls and a provider of retail prepaid calling services, including the Pingo® web-based offering (www.pingo.com) and disposable calling cards that are sold through major distributors and available at retail stores throughout the U.S. iBasis customers include many of the largest telecommunications carriers, including AT&T, Verizon, China Mobile, China Unicom, IDT, Qwest, Skype, Telecom Italia, Telefonica, and Yahoo. iBasis carried more than 11 billion minutes of international voice over IP (VoIP) traffic in 2006, and is one of the largest carriers of international voice traffic in the world(1). The Company can be reached at its worldwide headquarters in Burlington, Massachusetts, USA at 781-505-7500 or on the Internet at www.ibasis.com.



1 Based on Telegeography 2007 and iBasis actual 2006 traffic.

iBasis and Pingo are registered marks, The iBasis Network and the global VoIP company are trademarks of iBasis, Inc. All other trademarks are the property of their respective owners.

Except for historical information, all of the expectations, plans and assumptions contained in the foregoing press release, including those relating to the Company's expectation that it will file its Form 10-Q for the first quarter of 2007 in June 2007 and regain compliance with the Nasdaq listing requirements., constitute forward-looking statements under Section 21E of the Securities Exchange Act of 1934 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 Company's inability to meet the requirements of the NASDAQ Stock Market for continued listing of the Company's shares, (ii) the Company's ability to execute its business plan; (iii) the extent of adoption of the Company's services and the timing and amount of revenue and gross profit generated by these services; (iv) fluctuations in the market for and pricing of these services; (v) the success of the Company's plans to contest the FCC ruling on prepaid calling cards; (vi) the ability of the Company and Royal KPN to consummate the proposed transaction due to regulatory restrictions, the failure to receive shareholder approval, the ability to successfully integrate their operations and employees, the ability to realize anticipated synergies, the emergence of new competitive initiatives resulting from rapid technological advances or changes in pricing in the market, business conditions and volatility and uncertainty in the markets that the Company and Royal KPN serve; and (vii) the other factors described in the Company's periodic and current reports, all of which are available at www.sec.gov. Such forward-looking statements are only as of the date they are made, and we have no current intention to update any forward-looking statements.