VocalTec to Launch magicTalk on Christmas

Technology News Thursday December 23, 2010 11:42 —Technology

  • Free Telephone Calls and the Best Voice Quality in the Business are an

Unbeatable Combination for Consumers and Business

  • Try It and You May Never Use Skype or Google Voice Again

VocalTec Communications Ltd. (Nasdaq:CALL), the company that invented voice over IP (VoIP) and sold over seven million magicJacks(R), will introduce a free version of its popular telephone service on December 25th to users worldwide. To make your first free call within seconds, go to www.magicTalk.com. magicTalk(TM) enables everybody (including companies) anywhere in the world to call numbers in the U.S., Canada, Puerto Rico and the Virgin Islands, as well as all other magicTalk and magicJack numbers in the world, for free. magicTalk users may also receive a free phone number. magicTalk can be used anywhere in the world, is very simple for anybody to install within 60 seconds, and offers the best voice quality we have ever heard.

The following chart comparing the features of magicTalk to Skype(TM) and Google Voice(TM) is available at http://media.globenewswire.com/cache/13047/file/9321.pdf.

Google

                           magicTalk(TM)       Skype(TM)      Voice(TM)
-----------------------  ------------------  -------------  ---------------

Ok, if call

  Voice Quality            Excellent           Good           completes
-----------------------  ------------------  -------------  ---------------

Grandparents

will turn

                           Grandparent easy                   into Great
  Ease of Installation      --                 Moderate       Grandparents
                           takes seconds                      before they get

it right ----------------------- ------------------ ------------- ---------------

Very

  Price for Now            FREE                 expensive     Free
-----------------------  ------------------  -------------  ---------------

  Free Phone Number        YES                 No             No
You Can Dial off Phone
Pad
-----------------------  ------------------  -------------  ---------------

  Many Millions of Users   YES (magicJack)     Yes            No
-----------------------  ------------------  -------------  ---------------

No -- no No -- no

  Owns* Largest            YES                  telephone     telephone
  Reaching Telecom                             company        company
Network in the US
-----------------------  ------------------  -------------  ---------------

  Live Customer Care       YES -- 24/7         No             No
-----------------------  ------------------  -------------  ---------------

*affiliate owns

If you never want to get a phone bill anymore, or you think Skype is too expensive with poor voice quality, or you have found that Google Voice does not measure up to Google Search, we invite you to try magicTalk (from the voice experts). In addition to the best voice experience available today, magicTalk may include a free phone number, voice mail, directory assistance, call waiting, caller ID and customer care. Instead of plugging in a traditional phone, magicTalk users communicate over their computer mic and speakers or by using wired headphones or wireless headsets (an increasingly common practice with smartphones, iPhones(R) and computers for talking, gaming and enjoying music and other media).

magicTalk is available for Beta download today at www.magicTalk.com. The company expects millions of downloads within 90 days of launch. A recent third party review of magicTalk is available at http://blog.tmcnet.com/blog/rich-tehrani/ip-communications/magictalk-from-magicjack-to-release-this-week.html.

This press release contains forward-looking statements that involve substantial risks and uncertainties. All statements, other than statements of historical facts, contained in this press release, including statements about our products, services, strategy, future operations, future financial position, future revenues, projected costs, prospects, plans and objectives of management, are forward-looking statements.

Many factors could cause our actual results, performance or achievements to be materially different from any future results, performance or achievements that may be expressed or implied by such forward-looking statements. These factors include, among other things: changes to our business resulting from increased competition; any operational or cultural difficulties associated with the integration of the businesses of VocalTec and Ymax; potential adverse reactions or changes to business relationships resulting from the announcement or completion of the merger; unexpected costs, charges or expenses resulting from the merger; the ability of the combined company to achieve the estimated potential synergies or the longer time it may take, and increased costs required, to achieve those synergies; our ability to develop, introduce and market innovative products, services and applications; our customer turnover rate and our customer acceptance rate; changes in general economic, business, political and regulatory conditions; availability and costs associated with operating our network; potential liability resulting from pending or future litigation, or from changes in the laws, regulations or policies; the degree of legal protection afforded to our products; changes in the composition or restructuring of us or our subsidiaries and the successful completion of acquisitions, divestitures and joint venture activities; and the various other factors discussed in the "Risk Factors" section of the Forms 6-K filed with the Securities and Exchange Commission. Such factors, among others, could have a material adverse effect upon our business, results of operations and financial condition.

We do not assume any obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

Skype(TM), associated trademarks and logos and the "S" symbol are trademarks of Skype Limited.

Google Voice(TM) and Android(TM) are trademarks of Google Inc. Use of this trademark is subject to Google Permissions .

iPhone(R) and iPad(TM) are registered trademarks of Apple Inc.

About VocalTec Communications Ltd.

VocalTec Communications Ltd. (Nasdaq:CALL), the inventor of VoIP including the softphone and magicjack, has the goal of becoming the leading international provider of global voice over many platforms. The company has achieved sales of over 7,000,000 of the easy-to-use, award-winning magicJack since the device's launch in 2008, and has the use of over 30 patents, some dating to when VocalTec invented VoIP. It is the largest reaching CLEC (Competitive Local Exchange Carrier) in the United States in terms of area codes available and certification in number of states, and the network has historically had uptime of over 99.99 percent.

The magicTalk logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=8514

CONTACT: INK Public Relations

Media Relations

Kari Hernandez

512-382-8988

vocaltec@ink-pr.com

VocalTec

Investor Relations

Andrew Albrecht

561-771-CALL

ir@vocaltec.com

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