XO IP Network Experiences 22 Percent Increase in VoIP Traffic Over Prior Quarter RESTON, Va., Jan. 19 /PRNewswire-FirstCall/ -- XO Communications, Inc. (OTC:XOCM.OB) (BULLETIN BOARD: XOCM.OB) today announced that it carried more than 2.2 billion minutes of voice over Internet Protocol (VoIP) traffic across its national IP network in the fourth quarter of 2005, a 22 percent increase over the previous quarter. The increase was driven by greater deployment of XO's VoIP solutions by businesses and service providers, demonstrating the increasing acceptance and growth of delivering voice services over an all IP environment. "Over the past year, we introduced new VoIP offerings for businesses and service providers, and the response has been phenomenal," said Carl Grivner, CEO of XO Communications. "As we continue to unlock the power of IP and expand our service offerings, we anticipate ongoing interest and growth as more customers migrate from traditional networks to IP-based networks to take advantage of the opportunities and benefits." XO's broad suite of commercial and wholesale VoIP solutions runs over an advanced softswitch IP network platform powered by Sonus Networks and Juniper Networks. The XO national IP network handles both traditional circuit- switched voice traffic and packet-based VoIP traffic, allowing XO to support customers that continue to rely on time division multiplexing (TDM) technology and those that have migrated to more advanced, IP-based voice technology. By managing the VoIP platform over its private IP network, XO avoids the congestion and delays introduced by the public Internet -- ensuring customers that their voice traffic is delivered with the same quality and reliability of traditional telephone networks. For carriers and service providers, XO offers a suite of wholesale voice services, including wholesale local voice, long distance termination, multi- market local inbound calling, and VoIP termination services. For business customers of all sizes, XO offers a wide range of voice services including local voice, dedicated and switched long distance, interactive voice response, and its award-winning VoIP services bundle, XOptions Flex. Since its introduction in April 2005, more than 2,500 businesses have seamlessly moved into the IP world by taking advantage of XOptions Flex's fixed price, high performance service package. For more information about XO's services for businesses, carriers and service providers, contact an XO sales representative by calling (866) 963-9696. About XO Communications XO Communications is a leading provider of national and local telecommunications services to businesses, large enterprises and telecommunications companies. XO offers a complete portfolio of services, including local and long distance voice, dedicated Internet access, private networking, data transport, and Web hosting services as well as bundled voice and Internet solutions. XO provides these services over an advanced, national facilities-based IP network and serves more than 70 metropolitan markets across the United States. For more information, visit http://www.xo.com/. THE STATEMENTS CONTAINED IN THIS RELEASE THAT ARE NOT HISTORICAL FACTS ARE "FORWARD-LOOKING STATEMENTS" (AS SUCH TERM IS DEFINED IN THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995). THESE STATEMENTS INCLUDE THOSE DESCRIBING XO'S EXPECTED FUTURE BUSINESS AND NETWORK OPERATIONS AND RESULTS OF OPERATIONS, XO'S ABILITY TO CONTINUE TO ACHIEVE PROJECTED SYNERGIES AND REVENUE FROM THE ACQUISITION OF ALLEGIANCE'S ASSETS, XO'S ABILITY TO INCREASE SALES, XO'S ABILITY TO CONTINUE TO IMPLEMENT EFFECTIVE COST CONTAINMENT MEASURES, AND XO'S ABILITY TO MITIGATE THE EFFECTS OF REGULATIONS RECENTLY ADOPTED BY THE FEDERAL COMMUNICATIONS COMMISSION. SUCH STATEMENTS ARE BASED ON CURRENT EXPECTATIONS BUT ARE SUBJECT TO A NUMBER OF BOTH KNOWN AND UNKNOWN RISKS AND UNCERTAINTIES THAT COULD CAUSE ACTUAL RESULTS, PERFORMANCE, AND/OR ACHIEVEMENTS OF XO TO DIFFER MATERIALLY FROM ANY FUTURE RESULTS, PERFORMANCE, AND/OR ACHIEVEMENTS EXPRESSED OR IMPLIED BY THE FORWARD-LOOKING STATEMENTS. MANAGEMENT CAUTIONS THE READER THAT THESE FORWARD-LOOKING STATEMENTS ARE ONLY PREDICTIONS AND ARE SUBJECT TO RISKS AND UNCERTAINTIES AND ACTUAL RESULTS MAY DIFFER MATERIALLY FROM THOSE INDICATED IN THE FORWARD-LOOKING STATEMENTS AS A RESULT OF A NUMBER OF FACTORS. THESE FACTORS INCLUDE, WITHOUT LIMITATION, THOSE RISKS AND UNCERTAINTIES DESCRIBED FROM TIME TO TIME IN THE REPORTS FILED BY XO COMMUNICATIONS, INC. WITH THE SECURITIES AND EXCHANGE COMMISSION, INCLUDING ITS ANNUAL REPORT ON FORM 10-K FOR THE YEAR ENDED DECEMBER 31, 2004 AND ITS QUARTERLY REPORTS ON FORM 10-Q. XO UNDERTAKES NO OBLIGATION TO UPDATE ANY FORWARD-LOOKING STATEMENTS. First Call Analyst: FCMN Contact: DATASOURCE: XO Communications, Inc. CONTACT: Chad Couser of XO Communications, +1-703-547-2746, or Web site: http://www.xo.com/

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