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XFONE COMMUNICATION LTD., AN XFONE SUBSIDIARY, TO
HOST FORMAL PRESS CONFERENCE IN ISRAEL LAUNCHING
NEW INTERNATIONAL TELECOM SERVICES


December 8, 2004

LONDON & ISRAEL – (BUSINESS WIRE) – December 8, 2004 – XFONE, Inc. (OTCBB:XFNE) (“XFONE” or “the Company”) today announced its majority-owned, Israel-based subsidiary, XFONE Communication Ltd., will host a formal press conference with the media to unveil and officially launch its new international telecom services, marketed under three-digit calling code “018”. XFONE executives, along with government officials and other Israeli VIPs, will be present.

WHAT: XFONE Communication Ltd. invites all interested media professionals to attend a press conference highlighting operational strategies and key marketing initiatives related to the launch of the Company’s new international telecom services.
WHEN: Tuesday, December 14, 2004 at 10:00 a.m.
WHERE: Press House ("Beith Sokolov") located at 4 Kaplan Street, Tel Aviv, Israel.

HOW TO COVER THE NEWS: Credentialed media representatives can schedule face-to-face interviews with Company executives by contacting Mr. Rafi Dick via email at rafi@018.co.il.



About XFONE, Inc.
A U.S.-domiciled corporation, XFONE, Inc. is an international voice, video and data communications services provider with operations in the United Kingdom, the United States and Israel that offers a wide range of services, which include: local, long distance and international telephony services; prepaid and postpaid calling cards; cellular services; Internet services; messaging services (Email/Fax Broadcast, Email2Fax and Cyber-Number); and reselling opportunities. The Company serves customers across Europe, Asia, North, Central and South America, Australia and Africa.



This press release contains forward-looking statements. The words or phrases "should," "would be," "will allow," "intends to," "will likely result," "are expected to," "will continue," "is anticipated," "estimate," "project," or similar expressions are intended to identify "forward-looking statements." The Company's financial results reflected above should not be construed by any means as representative of the current or future value of its common stock. All information set forth in this press release, except historical and factual information, represents forward-looking statements. This includes all statements about the company's plans, beliefs, estimates and expectations. These statements are based on current estimates and projections, which involve certain risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements. These risks and uncertainties include issues related to rapidly changing technology and evolving standards in the industries in which the Company and its subsidiaries operate; the ability to obtain sufficient funding to continue operations, maintain adequate cash flow, profitably exploit new business, and license and sign new agreements; the unpredictable nature of consumer preferences; and other factors set forth in the Company's most recently filed annual report and registration statement. Readers are cautioned not to place undue reliance on these forward-looking statements, which reflect management's analysis only as of the date hereof. The Company undertakes no obligation to publicly revise these forward-looking statements to reflect events or circumstances that arise after the date hereof. Readers should carefully review the risks and uncertainties described in other documents that the Company files from time to time with the Securities and Exchange Commission.

For More Information, Please Contact:
U.S. IR Contact Israel IR Contact

John Nesbett/Jennifer Beloeau
Institutional Marketing Services (IMS)
Phone: 1.203.972.9200.
E-mail: jnesbett@institutionalms.com

Zvi Rabin
Kwan Communications
Tel: (Israel) +972 50 560 0140
E-mail: zvi@kwan.co.il
Xfone Contact  

Niv Krikov
Chief Financial Officer
Phone:  + 972.39254446 (Israel)
E-mail: E-mail: niv@xfone.com
 




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