Internet Telephone Service

XO Communications VoIP Traffic Exceeds More Than 1.6 Billion Minutes in Second Quarter of 2005

July 12, 2005

RESTON, Va., July 12 /PRNewswire-FirstCall/Press Release -- XO Communications, Inc. (OTC Bulletin Board: XOCM.OB - News) today announced that it carried more than 1.6 billion minutes of voice over Internet Protocol (VoIP) traffic across its national IP network in the second quarter of 2005. VoIP traffic grew by 15 percent during the second quarter due to an increased usage of XO's commercial and wholesale VoIP solutions, demonstrating the quality and reliability of delivering voice services over an all IP environment.

"XO has built one of the most advanced IP networks using a single platform to seamlessly support both traditional and IP-based voice services for business and carrier customers," said Carl Grivner, chief executive officer of XO Communications. "Our robust network enables us to deliver voice in an all IP environment with the same levels of quality and reliability as traditional phone networks. With this single IP infrastructure for both voice and data, we can offer a broad range solutions that meet our customers' current and emerging requirements."

"XO's VoIP platform provides deltathree the diversity of call routing and network scalability needed to support the wide range of high-quality VoIP services we offer our customers," said Paul White, chief financial officer of deltathree, a leading provider of hosted, Session Initiation Protocol (SIP)- based VoIP products and services to the service provider, reseller and consumer markets. "XO has provided deltathree with the service levels required to accommodate our future growth in key U.S. markets while maintaining the reliability and call quality our customers have come to expect."

XO offers a broad suite of commercial and wholesale voice solutions over an advanced softswitch network platform powered by Sonus Networks and Juniper Networks that routes both traditional circuit-switched voice traffic and packet-based VoIP traffic across XO's award-winning national IP network. With this infrastructure, XO can support customers that continue to use time division multiplexing (TDM) technology and customers that have migrated to more advanced, IP-based voice technology. By managing the VoIP platform over its private IP network, XO delivers customers' voice traffic of the same quality and reliability of traditional telephone networks by avoiding the congestion and delays of the public Internet.

For carriers and service providers, XO offers a suite of wholesale voice services including wholesale local voice, long distance termination, VoIP termination and multi-market local inbound calling services. For business customers, XO offers a wide range of voice services including local voice, dedicated and switched long distance, bundled VoIP solutions, interactive voice response, toll-free, conferencing, and calling card services. For more information about XO's services for businesses, carriers and service providers, contact an XO sales representative by calling (866) 963-9696.

About XO Communications: XO Communications is a leading provider of national and local telecommunications services to businesses, large enterprises and telecommunications companies. XO offers a complete portfolio of services, including local and long distance voice, dedicated Internet access, private networking, data transport, and Web hosting services as well as bundled voice and Internet solutions. XO provides these services over an advanced, national facilities-based IP network and serves more than 70 metropolitan markets across the United States

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