iBasis, Inc., (Nasdaq:IBAS, news, msgs), the leader in advanced Internet-based communications,
today announced that China Netcom Corporation Ltd., (China Netcom or CNC) is the fourth major
Chinese carrier to have selected the iBasis Network(TM) for global Internet Telephony. Under the terms
of the agreement, China Netcom will be able to route international voice and fax calls over the global
iBasis Network, the world's largest international Cisco Powered Network for Internet Telephony. The
agreement also further extends iBasis' already significant footprint in China by enabling termination of
iBasis traffic onto China Netcom's network.
China Netcom, China's third fully licensed telecommunications carrier, was established in 1999 with
investments from the Chinese Academy of Science, the Ministry of Railways, the State Administration
at Radio, Film and Television and the Shanghai Municipal Government. China Netcom is a rapidly
growing, next generation carrier that provides open, IP-based communications services that integrate
voice, video, fax and data. China Netcom has recently deployed CNCnet - a fiber-optic, IP over DWDM
(Dense Wave Division Multiplexing) backbone network, which covers 17 cities in Southeast China.
"In the new information economy, it is essential that China build a world-class telecommunications
infrastructure based on the latest communications innovations," said Edward S. Tian, China Netcom's
chief executive officer. "China Netcom's choice of iBasis for Internet telephony was driven by their
unmatched expertise in international VoIP, extensive global footprint and proven, carrier-grade quality of
service."
The China Netcom/iBasis partnership adds to the growing list of leading Asian carriers already routing
traffic over the iBasis Network, including China Mobile, the world's largest wireless provider, China
Unicom, China's second largest carrier, JITONG Communications, China's third largest carrier, NTT,
Japan's national carrier, Telstra, the national carrier in Australia and The Communications Authority of
Thailand, that country's national carrier. Frost & Sullivan predicts that the Asian IP voice market will be
worth $48 billion by 2006.
"With four of the largest Chinese carriers as customers, China is an important and fast-growing market
for iBasis. Our continued success in China enabled us to increase our overall China traffic during the
second quarter by more than 65 percent over first quarter volume," said Ofer Gneezy, president and
CEO of iBasis. "Our partnership with China Netcom aligns us with a rapidly-growing regional and global communications leader and highlights the central role of IP-based services in China's communications growth strategy. |
