Skype Extends Carrier Agreements; Cable & Wireless and B3G Telecom to Terminate SkypeOut Calls

LUXEMBOURG--(BUSINESS WIRE)--Dec. 21, 2004--Skype Technologies S.A., the Global Internet Telephony Company(TM) that offers consumers the ability to make superior quality voice calls over the Internet, today announced new call termination agreements for its premium SkypeOut service.

Cable & Wireless and B3G Telecom join previously announced carriers, including iBasis, Level3 and Teleglobe, in providing global termination services.

“These partners will enhance the level of service globally as we innovate by developing the base free offering and deliver the additional premium enhancements our customers seek.”

SkypeOut has attracted more than 400,000 consumers who have pre-paid to enhance the free Skype experience with the ability to interconnect to the traditional phone network.

"We're pleased to expand our partnerships with world class providers in order to deliver SkypeOut services," said Niklas Zennstrom, Skype CEO and co-founder. "These partners will enhance the level of service globally as we innovate by developing the base free offering and deliver the additional premium enhancements our customers seek."

"Skype and Cable & Wireless share a vision for enhanced global communications," said Alan Whelan, managing director, Carrier Services, Cable & Wireless. "We will push the boundaries of global Internet telephony services now and into the future."

Skype also today announces that it has expanded the payment options for consumers wishing to purchase SkypeOut by enabling Moneybookers Ltd, a UK money transmitter, to assist with online pre-payments. Moneybookers marks the first opportunity for SkypeOut users to make a purchase without a credit card.

Terms of the agreements were not disclosed.

About Skype Technologies S. A.

Skype, the Global Internet Telephony Company(TM), allows people everywhere to make free, unlimited, superior quality voice calls via its award-winning innovative peer-to-peer software for Windows, Linux, Mac OS X, and Pocket PC platforms. Skype is available in 20 languages and is the fastest growing voice communications offering worldwide. Since its launch in August 2003, Skype has been downloaded more than 44 million times. Skype Technologies S.A. is headquartered in Luxembourg and is growing its offices in London and Tallinn. Skype Technologies is privately held and backed by top-tier international venture capital firms, including Bessemer Venture Partners, Draper Fisher Jurvetson, Index Ventures, and Mangrove Capital Partners. www.skype.com

About Cable & Wireless

Cable & Wireless is one of the world's leading international communications companies. It provides voice, data and IP (Internet Protocol) services to business and residential customers, as well as services to other telecoms carriers, mobile operators and providers of content, applications and internet services.

Cable & Wireless' principal operations are in the United Kingdom, continental Europe, Asia, the Caribbean, Panama and the Middle East.

For more information about Cable & Wireless, go to www.cw.com

About B3G Telecom, the European Broadband Telephony Operator

Founded in 2001, B3G Telecom is a leading European telecommunications company specialized in offering Broadband Telephony services. B3G customers are telecommunications services providers (Telco's, ISP's, Multimedia Platform, Call Centers, PBX resellers etc.) and corporates addressed through resellers and agents. B3G supplies its telecommunications services providers customers with call termination, white labeled VoIP services and value added voice routing services ; B3G supplies its corporate customers with CPS, Broadband Telephony Services and IP Centrex. B3G which posted 36 MEUR turn over rand 4.5 MEUR EBIT in 2003 and estimates 50 MEUR turnover and 4.5 MEUR EBIT for 2004, has 300 clients and employs 50 people. www.b3g-telecom.com