Company Contact:
InnoMedia Incorporated
Amine Haoui (408) 432-5433
ahaoui@innomedia.com



FOR IMMEDIATE RELEASE

INNOMEDIA ANNOUNCES STRATEGIC AGREEMENT WITH ITAUTEC

Leading Brazilian PC Supplier To Market InfoAccel VoIP PCI Card

SAN JOSE, CA -- November 9, 1999 -- Further expanding its leadership position in the international
Internet telephony marketplace, InnoMedia, Inc., a leading supplier of Voice-over-IP (VoIP) appliances
and business solutions, today announced it has signed an agreement with Itautec, one of Brazil's leading
PC suppliers. Under the terms of the agreement Itautec will market co-branded InfoAccel™ PCI cards to
the Brazilian marketplace.

The latest addition to the award-winning InnoMedia family of VoIP products, the plug-and-play InfoAcce
l combines the ease-of-use and voice quality of conventional telephones with the cost savings of Internet
telephony. Based on InnoMedia's advanced patent-pending hardware-based DSP technology, InfoAccel
provides a dramatic improvement over conventional Internet telephony solutions. InfoAccel brings digital
voice quality to the Internet, minimizing the latency and echoes usually associated with VoIP telephony.
Users simply plug their conventional telephone into the card to place and receive calls with their telephone
just as they normally would on the standard telephone network.

InfoAccel users may place Internet calls free of charge to other InfoAccel users. In addition, users can
call standard telephones in the United States and around the world at very low rates, through InnoSphere™, InnoMedia's global communications network .

"InfoAccel is among the most advanced VoIP products on the market today, delivering superior voice
quality across the Internet," stated Gabriel Antonio Marão, vice president of Itautec Philco S.A. "With
the increased awareness of the substantial cost savings associated with Voice-over-IP and the
InfoAccel's advanced features and voice quality, I expect the InfoAccel to make a significant contribution
to our product line."

"InnoMedia is thrilled to be working with Itautec, the largest IT and consumer electronics company in
Brazil," stated Dr. Nan-Sheng Lin, president and co-founder of InnoMedia, Inc. "As one of Brazil's top
PC suppliers, they will have a significant impact in addressing the very promising Brazilian VoIP market.
With Brazil's increasing participation in international markets, I believe Internet telephony to have
explosive potential."


About Itautec Philco S.A.

Itautec Philco is a leading manufacturer of personal computers and the leading ATM and retail automation
manufacturer in Brazil. A subsidiary of the Itausa Group, the company also makes audio equipment,
copiers, fax machines, printers, televisions and VCRs. Additionally, Itautec Philco provides consulting
services, hardware and software to the Brazilian banking and retail industries. The result of a 1994 merger
between Itautec and Philco, the company has five factories in Brazil. It markets its products domestically.
The company's 1997 sales were in excess of $923 million. For more information, please access the
company's Web site at
http://www.itautec.com.br.


About InnoMedia

Founded in 1995, InnoMedia is a privately held multinational organization with operations in the United
States, Singapore, Taiwan and China. InnoMedia is leading the IP telephony revolution by developing,
manufacturing, and marketing next generation Internet enabled communication devices and providing a
global IP telephony service through the InnoSphere network. These products and services incorporate
InnoMedia's expertise in IP telephony, videoconferencing, and wireless networking technologies and are
targeted for consumers, enterprises, service providers, and OEM customers. Visit InnoMedia on the Web
at www.innomedia.com.


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InnoMedia, InfoAccel, InnoSphere and the InnoMedia logo are trademarks of InnoMedia Incorporated.


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