Yak Communications Inc.

Yak Communications Inc.
Xten Networks, Inc.

January 12, 2005 08:35 ET

Yak Communications Licenses Xten's eyeBeam and X-PRO VoIP & Video SIP Softphones


NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR: YAK COMMUNICATIONS INC.

NASDAQ SYMBOL: YAKC

AND XTEN NETWORKS, INC.

OTC Bulletin Board SYMBOL: XNWK

JANUARY 12, 2005 - 08:35 ET

Yak Communications Licenses Xten's eyeBeam and X-PRO
VoIP & Video SIP Softphones

MIAMI, FLORIDA and TORONTO, ONTARIO--(CCNMatthews - Jan. 12, 2005) -

Features to be Used for Phase II of Yak WorldCity VoIP Product Offering

Yak Communications Inc. (NASDAQ:YAKC), a provider of telecommunication
services to residential and business customers, and Xten Networks, Inc.
(OTCBB:XNWK), a provider of VoIP (Voice over Internet Protocol), Video
over IP, Instant Messaging, and Presence SIP softphones, today announced
that Yak has entered into a software licensing agreement with Xten.
Under the terms of the agreement, Yak has licensed Xten's eyeBeam SIP
(Session Initiation Protocol) softphone, which delivers open standards
VoIP, Video, Instant Messaging and Presence, and Xten's X-PRO SIP
softphones.

"We are excited that Yak is bringing to the long distance market a new
world of VoIP services, using Xten's leading edge SIP terminals," said
Erik Lagerway, President and Chief Operating Officer of Xten Networks.
"Yak's co-branded Xten eyeBeam software will allow its customers to make
and receive phone calls or video phone calls directly on their personal
computers without the need for a regular analog phone. All that is
required is a personal computer or laptop running Microsoft Windows, a
sound card, and a headset. This is truly a plug-and-play VoIP product
bundled with a long distance program for the consumer markets".

Xten standards-based applications include the feature-rich FREE SIP
softphone, X-Lite, X-PRO, with all the features and functionality of a
small business phone system, and the new eyeBeam software SIP terminal,
a SIP softphone that includes advanced VoIP features, Video
Conferencing, Instant Messaging, and Presence features.

The eyeBeam feature set includes an array of robust SIP telephony
features also offered in Xten's award-winning X-PRO SIP softphone,
including call transfer/forward, caller ID, and 10-point conferencing.
eyeBeam enhances this feature set with the addition of video, instant
messaging and presence, acoustic echo cancellation, wide-band codec
selection, audio and video recording, voice activity detection, adaptive
jitter buffer and message waiting indicator. The eyeBeam SDK is
comprised of more than 30 low-level APIs including the following: Audio
Mixer, Video Mixer, HTTP, STUN, SIP Stack, SIP Call Control, SDP, RTP,
ICE, DNS.

"Yak's first principle is to deliver extraordinary value to our
customers, whose primary calling patterns are long distance calls in
North America and worldwide," said Charles Zwebner, Chairman and Chief
Executive Officer of Yak Communications. "The partnership with Xten
Networks is expected to provide our customers with benefits that
historically have been cost prohibitive to them. Now our high speed VoIP
customers, in addition to being able to make inexpensive calls to
anywhere in the world, will also be able to video-talk, free of charge
to any Yak VoIP customer globally. We see the use of VoIP technology as
the beginning of a global movement in 2005, where consumers and small
businesses will want to take advantage of a truly plug and play high
tech environment. Using our VoIP products and services, Yak customers
not only will receive more calling time, but also video calling time at
a low price point. Yak is on target to begin aggressively marketing our
VoIP products and services, and we are excited to commence this program
in the next few weeks," added Zwebner.

About Yak Communications Inc.: Yak Communications Inc. (the "Company")
(NASDAQ:YAKC) is an Integrated Communications Provider (ICP) offering a
full array of long distance (1+, toll free and dial-around), local
lines, travel cards, cellular long distance, data services, and
broadband voice (VoIP) to residential and small businesses in North
America over high speed internet access. Yak currently serves
approximately 860,000 customers for its traditional telecom services.
For more information, visit http://www.yak.com

About Xten Networks, Inc.

Xten is a developer of award-winning, high-quality, carrier-grade SIP
softphones for service providers, cable operators, Internet telephony
service providers, IP PBX manufacturers and OEMs. Xten's SIP softphones
are available either pre-configured or as a software development kit
(SDK), and provide VoIP (Voice over IP), Video over IP, IM (Instant
Messaging), and Presence functionality. Xten has a feature-rich FREE SIP
softphone dubbed X-Lite, in addition to the fully featured X-PRO
commercial softphone and eyeBeam, a SIP Video over IP softphone with IM
and Presence. Through its deployments with leading service providers,
Xten has more than 700,000 IP endpoints deployed worldwide. For more
information please visit www.xten.com.

Forward Looking Statements:

Statements contained in this news release which are not strictly
historical are forward looking within the meaning of the safe harbor
clause of the Private Securities Litigation Reform Act of 1995. The
Company makes these statements based on information available to it as
of the date of this news release and assumes no responsibility to update
or revise such forward-looking statements.
Editors and investors are cautioned that forward-looking statements
invoke risk and uncertainties that may cause the Company's actual
results to differ materially from such forward-looking statements.

Words such as "projects", "believe", "anticipates", "estimate", "plans",
"expect", "intends", and similar words and expressions are intended to
identify forward-looking statements and are based on our current
expectations, assumptions, and estimates about us and our industry. In
addition, any statements that refer to expectations, projections or
other characterizations of future events or circumstances are
forward-looking statements. Although the Company believes that such
forward-looking statements are reasonable, we cannot assure you that
such expectations will prove to be correct. Our actual results could
differ materially from those anticipated in such forward-looking
statements as a result of several factors, risks and uncertainties.
These factors, risks and uncertainties include, without limitation, the
Company's success in integrating the operations of its newly-acquired
businesses, and associated reduction in costs, the successful
implementation of its business plans including growth of existing
product offerings, strategic acquisitions and development of broadband
telephony products, the successful integration of new management team
members, continued and increased demand for its services, the successful
deployment of new equipment and realization of material savings there
from, competition from larger and/or more experienced telecommunications
providers, its ability to continue to develop its markets, general
economic conditions, changes in governmental regulation, and other
factors that may be more fully described in the Company's literature and
periodic filings with the Securities and Exchange Commission. You are
urged to carefully review and consider these disclosures which describe
certain factors which affect our business.

-30-

Contact Information

  • FOR FURTHER INFORMATION PLEASE CONTACT:
    Yak Communications, Inc.
    Larry Turel
    Investor Relations
    1-305-933-8322 ext 105
    larry@yak.com
    or
    The Anne McBride Company, Inc.
    Kathy Price
    Investor Relations
    1-212-983-1702 ext 212
    or
    Xten Networks, Inc.
    Todd Fromer
    1-212-896-1215
    tfromer@kcsa.com
    or
    Xten Networks, Inc.
    Michael Cimini
    1-212-896-1233
    mcimini@kcsa.com
    or
    S&S Public Relations, Inc.
    Heather Kelly
    1-847-955-0700
    heather@sspr.com