NEWARK, N.J. - April 5, 2000 - IDT Corporation (NASDAQ: IDTC) today announced its partnership with electronics retailer Datavision to sell IDT's Digital Subscriber Line (DSL) services to both the business and consumer markets. IDT Corp. is a leading facilities-based multinational carrier, telephone company and Internet Service Provider. Datavision is a multi-million dollar mail order and retail outfit specializing in computers and computer peripherals.
The agreement with Datavision is significant in that it marks the first time IDT will offer consumer-based Asymmetric Digital Subscriber Line (ADSL) service, a technology which provides residential customers with dedicated Internet access at affordable prices and at speeds significantly higher than dial-up service. Data Vision will also resell IDT's traditional Symmetric Digital Subscriber Line (SDSL) service, a product designed to meet the bandwidth and applications needs of the small and mid-sized business communities.
"The addition of ADSL to IDT's Internet product offerings is a significant move," said Howard Jonas, IDT's Chairman and CEO. "Residential consumers are demanding greater bandwidth with higher quality, ?always-on,' affordable connections. IDT is pleased to be able to provide this service to what we believe is a very untapped marketplace."
IDT will offer consumer ADSL through Datavision to residential customers in the New York and New Jersey areas by mid-April, with plans to introduce the service within 60 days in key cities in California, including San Francisco, San Jose and Los Angeles.
Digital Subscriber Line service uses standard copper telephone lines to deliver high-speed, dedicated Internet access. IDT entered the SDSL business in June of 1999 and has since built a solid base of over 1,500 business subscribers. IDT's SDSL service provides its business customers with Internet connectivity at speeds up to 1.5 Mbps for both upload and download applications.
IDT anticipates its ADSL service will attract 75 to 100 new residential customers a month. ADSL is well suited for the retail consumer as it provides high-speed, "always on" Internet connectivity for download applications only, a feature that enables it to be sold at a much lower price point.
"The addition of ADSL is a natural progression for IDT," said Jim Courter, President of IDT. "It's another clear example of our commitment to providing our customers with the types of technologically advanced communications products and services they need to survive and prosper in today's connected world."
IDT's relationship with Datavision marks the first time the company will distribute its DSL products through a retail operation. IDT will maintain a sales kiosk in Datavision's flagship store, located on Fifth Avenue in New York City. Customers can also subscribe to IDT's DSL service through Datavision's online retail operations located on its Web site at www.datavis.com.
IDT is a leading facilities-based multinational carrier that combines its position as an international telecommunications operator with its experience as an Internet Service Provider to provide a broad range of telecommunications services to its wholesale and retail customers worldwide.
Through its own telecommunications backbone and network infrastructure IDT provides its customers with integrated and competitively priced international and domestic long distance telephony, prepaid calling cards, Internet access and Digital Subscriber Line (DSL) service. The Company's Ventures business is developing several innovative telecom and Internet related businesses.
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Act of 1934. Except for historical information, all of the expectations and assumptions contained in the foregoing are forward-looking statements involving risks and uncertainties.
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