Moranet Inc., a joint venture between ITX Corporation and Usen Corp., in conjunction with U's Communications Corp. ("UCOM") and Fusion Communications Corporation, announced a new IP phone service, MoraPhone, to be launched on February 25, 2004. The new service, which uses a fiber optic broadband network, will allow customers to use their existing phone numbers (domestic fixed-line numbers with 03 or 06 prefixes--"0AB-J numbers").

The new service was made possible by using UCOM's high-quality, wide-bandwidth fiber optic broadband network, in combination with FUSION IP-Phone and dedicated-line IP telephone service provided by Fusion. The service offers a low-cost connection to a wide-bandwidth data communications network and the use of IP telephone service with existing fixed-line phone numbers.

IP telephone service uses phone numbers with a 050 prefix. However, there has been strong demand from business users for services using existing fixed-line numbers (0AB-J numbers). Until now, this issue had been resolved by installing high-cost, dedicated Ethernet access lines, but their use was generally limited to large corporations. Now MoraPhone allows small and medium-sized companies to easily install IP phones without the need to change existing phone numbers, by employing low-cost, 100-Mbps fiber optic broadband lines.

Moranet will continue to meet the needs of business users, and develop and expand its lineup of attractive broadband communications services.