MSN Is First National ISP to Offer Nortel Networks’ Internet Call Waiting Service

REDMOND, Wash., Oct. 28, 1999 — Microsoft Corp. and Nortel Networks TM Corp. today announced an agreement to provide MSN TM Internet Access subscribers across the country with Nortel Networks’ Internet call waiting (ICW) service. ICW alleviates the need for a second telephone line and enables consumers to quickly and easily receive and manage incoming telephone calls while remaining connected to the Internet. With MSN ICW, consumers can take advantage of traditional call waiting and caller ID services via the Internet, meaning while online they can identify who is calling and manage the call without losing their Internet connection.

“Microsoft is committed to delivering best-of-breed services like Internet call waiting to MSN Internet Access subscribers,”
said Yusuf Mehdi, director of marketing for Microsoft’s Consumer and Commerce Group.
“Teaming with an industry leader like Nortel Networks provides our customers with a reliable, easy and affordable Internet call waiting solution and advances our Everyday Web vision by helping customers to leverage the full power of the Internet.”

MSN ICW rollout began today in Atlanta, Seattle and San Diego, and there are plans to offer the service to MSN Internet Access subscribers in 50 major U.S. metro areas over the next several months. The service is aimed at delivering key ICW benefits, including incoming-call notification, call-management capabilities and cost savings as a result of the fact that MSN Internet Access subscribers at home or in small businesses don’t need a second telephone line. When online, Internet users will be notified immediately of incoming calls through a pop-up message on their computer screen with the name and number of the caller. They can then choose to either answer the call through their telephone or computer, without losing their Internet connection, or click on an icon to forward the call to another phone number or deliver a personalized or automated call-back message to the caller.

“As telecommunications and the Internet converge, Nortel Networks is combining its unique skills to deliver value-added services that enhance the Web experience for consumers,”
said Irving Ebert, vice president of Strategic Alliances, Nortel Networks.
“We are thrilled to work with Microsoft to deliver this exciting service to MSN Internet Access subscribers.”

International Data Corp. forecasts that 21.6 million households will subscribe to Internet call waiting services by 2003.
“Internet call waiting is an innovative service that will save customers from missing calls while on the Internet,”
said Dana Thorat, senior research analyst at IDC.
“It offers consumers a compelling alternative to purchasing a second telephone line.”

Availability and Pricing for MSN Internet Call Waiting

MSN ICW is available immediately to new and existing MSN Internet Access subscribers in Atlanta, Seattle and San Diego. There is no activation fee. The current monthly fee ranges from $4.95 to $5.95, depending on location. To use MSN ICW, users need the call forward busy service, which can be activated by local telephone companies for a small extra monthly charge; consumers also have the option to sign up for the call forward busy service as part of the online registration for MSN ICW.

About MSN Internet Access

MSN Internet Access (MSNIA) works with Microsoft® Windows® 95- or 98-based PCs to provide a fast, reliable Internet connection so users can make the most of their time online. At the heart of MSNIA is Internet Explorer 5 browser software. This powerful software delivers a cleaner, more intuitive interface that allows users to spend less time figuring out how to use the Internet – and more time getting things done online. MSNIA offers award-winning e-mail functionality with Microsoft Outlook® Express, local phone numbers across the United States, 24×7 toll-free technical support and a customizable home page. Customers can order a free* one-month trial of MSN Internet Access by visiting or by calling (800) FREE-MSN (373-3676).

About Nortel Networks

Nortel Networks (NYSE/TSE
) is a global leader in telephony, data, wireless and wireline solutions for the Internet. The company had 1998 revenues of $17.6 billion (U.S.) and serves carrier, service provider and enterprise customers globally. Today, Nortel Networks is creating a high-performance Internet that is more reliable and faster than ever before. It is redefining the economics and quality of networking and the Internet through Unified Networks TM that promise a new era of collaboration, communications and commerce. Nortel Networks can be visited online at .

About Microsoft

Founded in 1975, Microsoft (Nasdaq
) is the worldwide leader in software for personal and business computing. The company offers a wide range of products and services designed to empower people through great software – any time, any place and on any device.

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Microsoft, MSN, Windows and Outlook are either registered trademarks or trademarks of Microsoft Corp. in the United States and/or other countries.

Nortel Networks and Unified Networks are trademarks of Nortel Networks.

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