Hackensack, NJ -- Oct. 20, 1998 --IDT (NASDAQ: IDTC) today announced that it has received high ranking by Boardwatch Magazine, the preeminent magazine on Internet access, in every ISP category in its September roundup of Internet backbone providers.

IDT was named #1 in median download time, ahead of nationwide ISPs such as MCI, DIGEX, Compuserve, and UUNet. Additionally, IDT was in the top 10 in the following categories: Average Download Time, 1.544 Mbps T-1 Average cost, and Performance Under Load.

As one of the leading national Internet providers, IDT currently has
approximately 80,000 dial-up Internet customers and hundreds of corporate
dedicated Internet and web hosting clients. The Company's robust DS3
backbone enables high-speed Internet connections and a more solidified
network infrastructure than other ISPs, and also allows for the rapid
transfer of text, video, audio and graphics over the same line. Additionally, customers' data traffic can be more directly routed, leading to a reduction in route mileage by as much as 50%, which minimizes network overhead. For more information about IDT's corporate Internet services, please call 1-800-392-9438 or send e-mail at bandwidth@idt.net

The Company's strong IP backbone is used both for Internet services as well as IDT's Net2Phone Direct, the first mass consumer Internet telephony
service bridging two telephones via the Internet.

As an added resource to IDT's Internet services, the company will now begin offering E-commerce solutions to its web hosting customers through a newly formed relationship with Club Web (which encompasses Microsoft, Compaq, INEX and Mpact Immedia), an innovative online community that enables secure e-commerce applications. In conjunction with INEX Commerce Court software, IDT customers will be able to create a user-friendly online shopping environment. With the help of specially created templates and help wizards, businesses can customize an online retail store to accommodate their customers.

"We are very pleased to be recognized for the variety and quality of
services we offer worldwide," said Michael Fischberger, Senior Vice
President of Domestic Telecommunications. "IDT continually strives to
advance the Internet to new levels of performance and usefulness to our
residential and business customers."

IDT is a leading emerging multinational carrier that combines its position
as an international telecommunications operator, its experience as an
Internet service provider and its leading position in Internet telephony to
provide a broad range of telecommunications services to its wholesale and
retail customers worldwide. The company provides its customers with
integrated and competitively priced international and domestic long
distance, pre-paid calling cards, Internet access and, through its Net2Phone product offerings, Internet telephony services including Net2Phone Direct, Net2Fax, and Click2Talk.

Except for historical information, all of the expectations and assumptions
contained in the foregoing are forward-looking statements involving risks
and uncertainties. Important factors that could cause actual results to
differ materially from such forward-looking statements, include, but are not
limited to, the competitive environment for Internet telephony, changes of
rates of all related telco rates and services, legislation that may affect
the Internet telephony industry, IDT's ability to operate the services
described on a large scale commercial level. For additional information
regarding these and other risks associated with the company's business refer to the company's reports filed with the SEC.