Vonage Continues Its Ontario Expansion, Providing 235,000 More Ontarians With An Alternative To Traditional Home Phone Servic

Residents of Ancaster, Dundas, Grimsby, Sudbury, Espanola and Sarnia can now save up to 50 per cent on their phone bill by switching to Vonage home phone service

Mississauga, ON, November 23, 2006 - Vonage Canada, an innovative provider of home phone service that leverages the power of the Internet, today announced a further expansion of its flat-rate, full-featured phone service across Ontario with availability in six additional communities.

The company's expanded coverage area in Ontario means that almost 235,000 residents in Ancaster, Dundas, Grimsby, Sudbury, Espanola and Sarnia can now access one of the most competitive and innovative phone service offerings in Canada. This latest expansion is part of the company's aggressive growth strategy to provide Ontarians with an alternative to the current choices available for home phone service.

Vonage recently commissioned a survey to gauge consumer attitudes towards current Internet, telephone and cable bundle packages. The results showed that over sixty-five per cent of Ontario residents feel they are forced to purchase services they don't need to simply get a discount on services they want. According to Joe Parent, vice president, marketing and business development, Vonage Canada, "this research demonstrates that consumers want more options when it comes to choosing a phone service. Consumers continue to subscribe to bundles not because they are the better choice, but because they feel they have no other options. Today, Vonage answers Ontario's call and is offering more residents an alternative to traditional phone service vendors."

The Vonage service works by transmitting phone calls over the Internet rather than a dedicated phone network. Customers simply plug their existing touch tone phone and any high-speed Internet connection into a small telephone adapter, and can begin making calls.

Vonage provides consumers with unlimited local and long distance calling anywhere in North America and five major European countries for less than $40 each month. Plus, along with the standard phone features such as voice mail and call waiting, all of Vonage's phone packages include enhanced services such as the ability to choose your own area code, have voicemail transferred to email, and the ability to take your phone number with you when you travel.

For those people who want something different in a phone, Vonage also offers a number of innovative communication devices. Vonage's Wi-Fi phone allows Vonage customers to make and receive phone calls from their home wireless network or free public wireless hotspots. Customers can also try the Vonage V-Phone, which turns any Windows-based PC into a fully functioning Vonage telephone, or the VTech cordless broadband phone, which allows customers to use Vonage phone service throughout the house without additional wiring.

Customers can choose from the following flat-rate, feature-rich residential plans to fit their lifestyle and budget:*

$19.99/month - Residential Basic Plan - 500 minutes of local, toll and long distance calling throughout the 50 United States, Canada and Puerto Rico.

$39.99/month - Residential Premium Unlimited Plan - unlimited calling throughout the 50 United States, Canada, Puerto Rico, France, Ireland, Italy, Spain and the U.K., anytime, anywhere.

* Voip 9-1-1 service has certain limitations versus traditional 9-1-1. See vonage.ca for details. Monthly rates exclude fees for premium services and taxes. International calls are billed per minute. Credit card & high-speed Internet required. Other restrictions may apply. See www.vonage.ca for complete Terms of Service & details. (vg-i)

About the Survey

The survey was carried out on behalf of Vonage Canada by Decima Research (September 28 - October 3, 3006) as part of a Decima Televox National Telephone Omnibus survey. Decima Research questioned 1,026 randomly selected Canadian adults more than 18 years of age. With a sample size of 1,000, the survey data is accurate +/- 3.1%, 19 times out of 20.

About Vonage Canada

Vonage Canada is a subsidiary of Vonage Holdings Corp. traded on the NYSE under the symbol VG. Vonage Canada is an early pioneer of the Canadian Internet phone industry, setting the standard for pricing, features, call quality and reliability for the entire Voip category. Vonage's award winning service is sold on the web at www.vonage.ca and through national retailers like Best Buy, Future Shop, London Drugs, The Source by Circuit City, Staples Business Depot/ BUREAU EN GROS, Office Depot, CompuSmart, Visions Electronics, Telephone Booth and WirelessWave. Vonage Canada is headquartered in Mississauga, ON. For more information about Vonage's products and services, please visit http://www.vonage.ca or call 1-877-272-0528. Vonage® is a registered trademark of Vonage Marketing. VoIP 9-1-1 service has certain limitations versus traditional 9-1-1. See vonage.ca for details.