News Release

PSINet Selects Cisco Systems to Extend PSIVoice Services

Cisco Will Provide Dialup Voice Connectivity, Optical
Feb 01, 1999

Cisco Will Provide Dialup Voice Connectivity, Optical Equipment and Services for PSINet's Core Backbone Network

HERNDON, VA and SAN JOSE, Calif. -- February 1, 1999 -- PSINet Inc. (NASDAQ: PSIX), the first and largest independent commercial Internet Service Provider (ISP), today announced an agreement with Cisco Systems, Inc. (NASDAQ: CSCO), the worldwide leader in networking for the Internet, to build upon and expand dialup services and PSIVoice - PSINet's Internet voice service. The alliance focuses on three initial areas of business and includes joint marketing of each other's products and services with provisions to expand the relationship.

For dialup Internet connectivity, Cisco will provide its AS5800 access equipment and related services throughout PSINet's core backbone network. These dial-in technologies will support PSINet's wholesale Internet analog and ISDN dialup customers - typically other ISPs, telecommunications carriers, and affinity groups looking to offer Internet services to an established community of members or consumers. Each AS5800 will allow simultaneous access for multiple individual users supporting more than 180 megabits per second (Mbps) of data throughput on the PSINet network.

PSINet also has certified and will deploy Cisco's AS5300 technology featuring voice/fax capabilities. Initially, these products will support PSINet IntraNet and PSIVoice customers - addressing strategic network enhancements for PSINet's previously announced First Phase development of a market for Internet Voice. In the first half of 1999, Cisco will be one of many key contributors as PSINet rolls out the next phases of its PSIVoice strategy. PSINet extends the ability of current or new PSINet customers to integrate voice and data Internet access via a single connection to the PSINet network. Beyond the technology, PSINet and Cisco Systems have also agreed to launch a comprehensive joint marketing agreement to address the Internet voice marketplace inside the U.S. and internationally before the end of 1999.

"PSINet has aggressively extended its Internet presence worldwide and is now positioned as the only independent ISP with a continuous data network that circles the globe," said Larry Lang, Cisco's vice president of marketing for the service provider line of business. "Joining in this market leadership role, Cisco is committed to providing our carrier customers with the right solution to help advance them to the new-world platform. Leveraging our broad array of products and solutions, PSINet continues to enhance network scalability, increase business, and extend its complete line of services including the innovative PSIVoice solution for business.

"Although we have always embraced a multi-vendor model for network equipment, management, and growth, Cisco has done a great job in ensuring that their technologies meet all criteria tested in our certification laboratories," said Mark Fedor, vice president of engineering for PSINet Inc. "Cisco's commitment to quality shows in their ability to work with our needs which often include innovative features and capabilities that relate to the way we have constructed our global network," Fedor added.

Under the terms of the agreement, both companies have formed a strategic alliance to maintain and build upon PSINet's leadership position in the Internet networking business through growth and expansion of its backbone. By utilizing a variety of Cisco technologies, PSINet's backbone has the ability to accommodate both pure IP (Internet Protocol) routing and Frame Relay switching at SONET speeds - a unique performance capability that only PSINet can claim. These enhancements, combined with PSINet's internal network operations expertise, are allowing PSINet to integrate new SONET fiber optic capacity from multiple providers with PSINet's existing DS-3, OC-3 and OC-12 capacity. This activation and integration strategy has allowed PSINet to quickly build the premier, Internet network for business that circles the globe.

About PSINet

Headquartered in Herndon, VA, PSINet is a global facilities-based Internet data communications carrier focused on the business marketplace. PSINet offers a broad set of high-speed corporate LAN/WAN connectivity services supporting managed security and guaranteed Internet, intranet, electronic commerce, Web hosting services, and Virtual ISP services for other carriers and Internet providers. PSINet operates an international state-of-the-art Frame Relay and ATM-based network serving primary markets in Belgium, Canada, France, Germany, Hong Kong, Italy, Japan, the Netherlands, Republic of Korea, Switzerland, the United States, and the United Kingdom. PSINet information can be obtained by e-mail at, by accessing the Web site at or by calling toll free 1-800-799-0675.

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PSINet and PSINet IntraNet are registered trademarks of PSINet Inc. PSIVoice is a service mark of PSINet Inc. All other trademarks mentioned in this document are the property of their respective owners.

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