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 Contact:

  STC Associates
  Carolyn Robertson
  212-725-1900 ext. 204
  [email protected]


FOR IMMEDIATE RELEASE

Arbinet-thexchange Completes Implementation of Full-Service, Dynamic Bandwidth Trading Solution

NEW YORK – August 10, 2000 – Arbinet-thexchange, the full service trading solution for buyers and sellers of telephony bandwidth, announced today it completed the implementation of the world’s first fully carrier-grade, full-service, dynamic bandwidth trading solution. Arbinet-thexchange worked with the leading hardware, software and service providers in the communications industry over the past 12 months to develop this robust and scalable infrastructure. This is the first platform that provides an integrated end-to end solution that automates the complete telephony bandwidth trading process.

Arbinet-thexchange estimates the total global market for telephony bandwidth measured in minutes at $706 Billion in 2000. This market is characterized by both falling prices and a high level of SG&A; expense, which at 25% of revenues is 9% higher than the U.S. corporate average. Use of Arbinet-thexchange’s full-service, automated trading solution helps members cut costs and maintain profitability by providing the opportunity to generate incremental revenues, as well as lowering the cost, risk and transaction time required to complete transactions for telephony bandwidth.

“We have implemented the world’s first solution that allows carriers to dynamically manage the flow of traffic across their networks based on their participation in a real-time online marketplace. We designed and built this system to make money for our members,” stated Anthony L. Craig, Arbinet-thexchange chairman and CEO. “It allows our members to improve their revenues and significantly reduce their costs of doing business with each other. On the quality side, we have adopted the Sun Microsystems objective of delivering WEB tone, along with traditional dial tone quality to our membership.”

Arbinet-thexchange has worked with these leaders in the communications industry to implement this carrier-grade solution:

  • Nortel Networks – provides the world-class DMS-GSP Global Switching Platform


  • Cisco Systems – delivers the switching and routing equipment along with VoIP technology


  • Sun Microsystems – furnishes a scalable, industrial-grade business system server platform


  • Oracle – provides scalable informational and transactional databases


  • Breakaway Solutions – provides the first-of-its-kind trading engine platform development


  • Architel – supplies thexchange with next-generation provisioning and switch activation technology


  • ECtel – brings non-intrusive quality of service and call quality measurement technology for voice and VoIP traffic


  • FiberNet Telecom Group – delivers carrier interconnect local access networking in the New York Metro area


  • PricewaterhouseCoopers – provides complete systems integration of trading and call processing modules


  • Hitachi – provides state-of-the-art data storage technology and equipment


  • 3Com – delivers thexchange an integrated VoIP telephony platform


  • Taylor McKenzie – delivers statistical validation of call quality measurements


About Arbinet-thexchange

Arbinet-thexchange is the full-service, online exchange for on-demand transactions, automated physical delivery and settlement of trades of telephony bandwidth. Thexchange is neutral, favoring neither buyers nor sellers, and allows participants to trade anonymously. Automated delivery is accomplished by employing advanced trading software and a set of patented processes to link the web-based trading platform with carrier-grade telecommunications switching equipment. Arbinet-thexchange handles all invoicing, collection and payment for trades effected on its exchange and provides continuous monitoring and online rating of the service quality of each seller’s network. For more information, visit Arbinet-thexchange at www.thexchange.com.

120 Albany St. Tower II, Suite 450, New Brunswick, NJ 08901
phone: 732-509-9100, fax: 732-509-9101, website: www.arbinet.com

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