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Vtech® Premieres First Fully Integrated VOIP Phone At 2005 CES


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Vonage AT CES 2005


Vtech® Premieres First Fully Integrated Voip Phone At 2005 CES

VTech and Vonage® Deliver Quality Broadband Telephony Products Enabling Faster, Cheaper and Easier Telecommunications for Customers

Las Vegas, January 4, 2005 – VTech® Communications, Inc. (a subsidiary of VTech Holdings Ltd. SEHK: 303; London SE: VTH; ADR: VTKHY), today announced the first ever fully integrated Voice over Internet Protocol (VoIP) broadband cordless 5.8GHz telephone, expandable up to four handsets, configured with Vonage’s® leading broadband service.

The largest supplier of corded and cordless phones in North America, VTech is showcasing the new ip8100 5.8Ghz Voip integrated phone and the new 4106 Voip Terminal Adapter at the Consumer Electronics Show (CES), January 6 – 8, 2005 at Caesars Palace, Florentine Ballroom, Las Vegas. VTech’s innovative Voip products offer household and SOHO users all the benefits of regular cordless handsets with the added cost-savings, freedom and ease of talking over the Internet.


“VTech has introduced revolutionary products for more than 25 years, so we are excited to partner with them to drive the much anticipated era of broadband telephony,” said Jeffrey A. Citron, chairman and CEO of Vonage Holdings. “Together, we’re making it more convenient and economical to connect with people all over the world.”


Market research from IDC and TIA forecasts nearly half of PC households will adopt broadband by 2007, with 17M consumers using Voip services in 2008. As a leading telecommunications company and pioneer in cordless telephony since 1991, VTech is well positioned to drive this transformation.

“Consumer interest in Voip is increasing because it’s significantly less expensive than regular phone service, offers equal or better clarity and is simple to set up, as long as you have the right equipment,” said Donna Silbert, vice president of product management at VTech. “With VTech’s first integrated Voip telephone, we selected Vonage as the service provider because they have the experience, expertise and track record of offering premium service that is often better quality than the traditional landline. Vonage shares a similar vision with VTech, which is to migrate consumers seamlessly to Voip services, delivering the tools they need that are easy to use.”


VTech ip8100 Cordless Broadband Phone

VTech’s ip8100 cordless broadband phone is the first fully integrated Voip telephone, containing a terminal adapter built into the 5.8GHz model. It includes two handsets and one base station, and is expandable up to four handsets, which allows you to distribute the service through the home without additional wiring. The VTech ip8100 plug and play solution does not require a separate router and it works with either a broadband cable or DSL modem. VTech has partnered with leading broadband service provider Vonage, which will provide telephony services. The phone also features a compact vertical design, fitting easily on crowded desktops where space is at a premium. VTech’s ip8100 boasts 5.8 DSS technology, offering enhanced clarity and security. Other features include hands-free handset speakerphone, 50 name/number phonebook and 10 ringer melodies.

VTech 4106 Voip Terminal Adapter

The VTech Voip Terminal Adapter enables users to convert their current corded or cordless telephones into a Voip telephone system so they can take advantage of the new calling features and low rates that Voip service providers offer. The VTech 4106 connects to a cable or DSL modem and a wired or wireless broadband router, as well as to a corded telephone handset or a cordless telephone base station. Unlike many other TA’s in the market, the 4106 has both LAN and WAN ports which allow users to share their internet connection with a PC without the need to install a router. The 4106 also has a small form factor, enabling traveling executives and other consumers to take it with them on the road and save money on all calls. Other features include parental controls and firewall features. Like the ip8100, the VTech 4106 requires subscription to Vonage services.


VTech’s new Voip offerings will also be featured at Vonage’s Booth # 36163 at CES. VTech’s new Voip offerings will be available in all major retail outlets and online at www.vtechphones.com in the spring of 2005.

About Vonage®

Vonage is redefining communications by offering consumers and small businesses an affordable alternative to traditional telephone service. The fastest growing telephony company in North America, Vonage's service area encompasses more than 2000 active rate centers in over 150 global markets. Vonage is sold directly through Vonage and retail partners such as SAM’s Club, Amazon.com, RadioShack, Best Buy, Circuit City, Staples, Fry’s Electronics, Office Depot and CompUSA. Wholesale partners such as EarthLink, ARMSTRONG®, Advanced Cable Communications and the Coldwater Board of Public Utilities resell the Vonage broadband phone service under their own unique brands. With more than 400,000 lines in service, Vonage continues to add more than 30,000 lines per month to its network. Over 10 million calls per week are made using Vonage, the easy-to-use, feature-rich, flat rate phone service. Vonage is headquartered in Edison, New Jersey. For more information about Vonage's products and services, please visit Vonageor call 1-VONAGE-HELP. Vonage®, Vonage Digital VoiceTM, Toll Free PlusSM and Virtual Phone NumberSM are trademarks of Vonage Holdings Corp.

About VTech®

VTech is one of the largest suppliers of corded and cordless phones in North America and one of the world’s leading suppliers of electronic learning products. It also provides highly sought-after contract manufacturing services. VTech is a pioneer in the establishment of China-based manufacturing facilities and sells its products via a strong brand platform supported by a well-established distribution network in North America, Europe and Asia.



 
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†AK and HI residents pay $29.95 shipping. ††Limited time offer. Valid for residents of the United States (&DC), 18 years or older, who open new accounts. Offer good while supplies last and only on new account activations. One kit per account/household. Offer cannot be combined with any other discounts, promotions or plans and is not applicable to past purchases. Good while supplies last. Allow up to 2 weeks for shipping. Other restrictions may apply.

1Unlimited calling and other services for all residential plans are based on normal residential, personal, non-commercial use. A combination of factors is used to determine abnormal use, including but not limited to: the number of unique numbers called, calls forwarded, minutes used and other factors. Subject to our Reasonable Use Policy and Terms of Service.

2Shipping and activation fees waived with 1-year agreement. An Early Termination Fee (with periodic pro-rated reductions) applies if service is terminated before the end of the first 12 months. Additional restrictions may apply. See Terms of Service for details.

HIGH SPEED INTERNET REQUIRED. †VALID FOR NEW LINES ONLY. RATES EXCLUDE INTERNET SERVICE, SURCHARGES, FEES AND TAXES. DEVICE MAY BE REFURBISHED. If you subscribe to plans with monthly minutes allotments, all call minutes placed from both from your home and registered ExtensionsTM phones will count toward your monthly minutes allotment. ExtensionsTM calls made from mobiles use airtime and may incur surcharges, depending on your mobile plan. Alarms, TTY and other systems may not be compatible. Vonage 911 service operates differently than traditional 911. See www.vonage.com/911 for details.

** Certain call types excluded.

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