Purchases Patent From Intellectual Ventures, Gains License to
   Intellectual Ventures Patent Portfolio, and Becomes a Member
                   of Strategic Defense Program

WEST PALM BEACH, Fla., NETANYA, Israel and BELLEVUE, Wash., July 30,
2012 (GLOBE NEWSWIRE) -- magicJack VocalTec, Ltd. (Nasdaq:CALL) entered
into a multi-part invention rights agreement with Intellectual Ventures
(IV). The transaction strengthens magicJack VocalTec's patent position
and grants access to tens of thousands of patents from IV's portfolio.

In the transaction, IV is selling a voice-over-IP (VoIP) patent which
was originally invented by VocalTec and then sold to an IV company in
2008 (before magicJack merged with VocalTec). IV received cash and
common shares as part of the consideration for the transaction.

magicJack VocalTec has also become a member of IV's strategic defense
program, known as IP for Defense (IPFD). By subscribing to IPFD,
companies are able to access patents from Intellectual Ventures'
portfolio to defend themselves against threats of patent litigation.

"This new agreement extends a long and productive relationship between
IV and magicJack VocalTec. We are able to acquire an asset, previously
sold to an IV company, that is important to protecting technology at
the heart of our VoIP products and services," said Dan Borislow, CEO of
magicJack VocalTec. "By working with IV, we have fortified our
intellectual property foundation further protecting our business. Small
technology companies in our space often find it difficult to grow into
meaningful businesses without the help of companies like Intellectual
Ventures."

"We aim to work with innovative companies like magicJack VocalTec as
part of IV's program to help small- and medium-sized businesses access
IP to meet their invention needs," said Ken Lustig, vice president of
Global Licensing at Intellectual Ventures. "This agreement builds upon
an already successful relationship with magicJack VocalTec and Dan
Borislow, an early inventor in the VOIP space, and both companies are
well positioned in this rapidly growing industry."

About Intellectual Ventures

Founded in 2000, Intellectual Ventures (IV) is the global leader in the
business of invention. IV collaborates with leading inventors, partners
with pioneering companies and invests both expertise and capital in the
process of invention. IV's mission is to energize and streamline an
invention economy that will drive innovation around the world.
www.intellectualventures.com

About magicJack

magicJack VocalTec Ltd., the inventor of VoIP including the softphone
and magicJack(R), has the goal of becoming the leading international
provider of global voice over many platforms. The Company has achieved
sales of over nine million of the easy-to-use, award-winning magicJack
since the device's launch in 2008, and has the use of over 30 patents,
some dating to when the Company invented VoIP. It is the largest
reaching CLEC (Competitive Local Exchange Carrier) in the United States
in terms of area codes available and certification in number of states,
and the network has historically had uptime of over 99.99 percent.

The magicJack VocalTec Ltd. logo is available at
http://www.globenewswire.com/newsroom/prs/?pkgid=10116

For further information, contact:

Intellectual Ventures:

For press inquiries, please contact press@intven.com. For all other
inquiries, please contact info@intven.com or follow IV on Twitter at
@IVinvents.

magicJack:

For investor relations, please contact Andrew MacInnes at 561-749-2255
or IR@magicJack.com. For media inquiries, please contact Kari
Hernandez, INK Public Relations for magicJack at 512-382-8982 and
magicJack@ink-pr.com.