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Level 3 Named Network Partner for America Online Internet Phone Service

Posted on: Tuesday, 8 March 2005, 12:00 CST

SAN JOSE, Calif., March 8 /PRNewswire-FirstCall/ -- Level 3 Communications, Inc. today announced that America Online, Inc. has signed a multi-year agreement to use Level 3 as the underlying network provider for its new Internet phone service. Level 3 made the announcement at the Spring 2005 VON (Voice on the Net) Conference and Expo being held this week in San Jose, Calif.

"We have a long-standing relationship with America Online built on a firm foundation of partnership between the companies in which Level 3 has been one of AOL's key suppliers of network services for the past several years," said Level 3 CEO Jim Crowe. "We're very pleased that AOL selected Level 3 as its network partner for what promises to be an innovative Internet phone service for this rapidly emerging market."

"As a major player and pioneer in IP services, including Voice-over-IP, Level 3 Communications has been a great partner for AOL as we get ready to launch a new generation of Internet phone services to both our members and our partners in the cable and cellular industries," said John McKinley, President of AOL Digital Services and Chief Technology Officer of America Online, Inc. "Level 3 has provided us with the VoIP infrastructure we need to offer a fully-featured service with a solid nationwide footprint, E-911 capability and Local Number Portability."

The AOL service uses a customized version of Level 3's consumer-oriented VoIP services. Level 3 offers a broad portfolio of VoIP services that allow its customers to reduce or avoid some of the typical upfront investments required to build and manage a VoIP service.

"Level 3 is emerging as the category leader in the enablement of residential VoIP services, having been selected in 8 of 10 recent major VoIP contract awards in a consumer market that research shows is poised for mass market adoption," said Sureel Choksi, executive vice president of services for Level 3. "Emerging VoIP providers can benefit from Level 3's broad national coverage to dramatically accelerate their time to market and significantly reduce the required investment to add VoIP to their service portfolio."

"Level 3's consumer-oriented VoIP services are based on tested, reliable technology that is already being used to terminate more than 30 billion minutes of data and voice calls per month. That network offers the broadest national coverage, now reaching approximately 93 percent of the U.S. population," said Shirish Lal, senior vice president of Consumer Voice Services for Level 3. "Level 3 has the scale, experience and network coverage to deliver fully-featured phone services that deliver the safety of E-911, quality, and reliability that end users demand."

Level 3's consumer voice solutions offer E-911 (for "Enhanced 911"), which delivers address-specific information to public safety agencies whenever someone makes a 911 call, enabling first responders to be dispatched to the scene of an emergency even if the caller is unable to speak or if the call is suddenly disconnected.

About Level 3 Communications

Level 3 is an international communications and information services company. The company operates one of the largest Internet backbones in the world, is one of the largest providers of wholesale dial-up service to ISPs in North America and is the primary provider of Internet connectivity for millions of broadband subscribers, through its cable and DSL partners. The company offers a wide range of communications services over its 23,000 mile broadband fiber optic network including Internet Protocol (IP) services, broadband transport and infrastructure services, colocation services, and patented Softswitch managed modem and voice services. Its Web address is http://www.level3.com/.

The company offers information services through its subsidiaries, Software Spectrum and (i)Structure. For additional information, visit their respective Web sites at http://www.softwarespectrum.com/ and http://www.i-structure.com/.

The Level 3 logo is a registered service mark of Level 3 Communications, Inc. in the United States and/or other countries. The services referenced in this press release are provided by Level 3 Enhanced Services, LLC.

Forward Looking Statement

Some of the statements made by Level 3 in this press release are forward-looking in nature. Actual results may differ materially from those projected in forward-looking statements. Level 3 believes that its primary risk factors include, but are not limited to: changes in the overall economy relating to, among other things, the September 11 attacks and subsequent events, substantial capital requirements; development of effective internal processes and systems; the ability to attract and retain high quality employees; technology; the number and size of competitors in its markets; law and regulatory policy; and the mix of products and services offered in the company's target markets. Additional information concerning these and other important factors can be found within Level 3's filings with the Securities and Exchange Commission. Statements in this release should be evaluated in light of these important factors.

Photo: NewsCom: http://www.newscom.com/cgi-bin/prnh/19990721/LVLTLOGOPRN Photo Desk, photodesk@prnewswire.com

Level 3 Communications, Inc.

CONTACT: Media, Paul Lonnegren, +1-720-888-6099, or Arthur Hodges,+1-720-777-6184, or Investors, Robin Grey, +1-720-888-2518, or SandraCurlander, +1-720-888-2501, all of Level 3; or Media, Anne Bentley of AOL,+1-703-265-2825, Annebent@aol.com

Web site: http://www.level3.com/http://www.softwarespectrum.com/http://www.i-structure.com/

Source: PRNewswire-FirstCall

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