Neutral Tandem Deploys Voice Soft-Switch in Telehouse UK

Chicago, IL August 2, 2011 – Neutral Tandem, Inc., (Nasdaq: TNDM ), a leading provider of global interconnection services, announced today the expansion of its global network through the deployment of a PSX voice soft-switch from Sonus Networks in one of the world's largest interconnection hubs, the Telehouse Docklands North location in London. The new location offers Neutral Tandem's international carrier customers the ability to interconnect via TDM or SIP/IP. The added flexibility makes it easier for carriers to interconnect and take advantage of Neutral Tandem's innovative voice termination services such as CommonPoint ^® , which helps international carriers complete calls to tens of millions of wireless and wireline telephony end points in the United States. In addition, customers can directly interconnect with the Neutral Tandem global voice network via SIP\IP in Austria, Belgium, Denmark, France, Germany, Ireland, Italy, Netherlands, Poland, Spain, Sweden, Switzerland, Hong Kong, Singapore, Canada, and the United States.

"Deploying a voice soft switch in Telehouse's facility in London reinforces our ongoing commitment to expand our International Voice Services, and provides scalable, high quality, direct termination for our carrier customers," said Edward Evans , CEO of Neutral Tandem. "This deployment is yet another milestone attained by Neutral Tandem as we expand globally and strengthen our fully meshed, all-IP, MPLS network, and streamline how competitive carriers route traffic between one another."

"The Telehouse world-class data center in London provides an ideal location for Neutral Tandem's European customers to interconnect and route their traffic to the U.S.," stated Michelle Reid, Director of Telehouse UK. "Additionally, our data center in London provides a neutral point of interconnection and is a major hub for companies that operate in the European markets."

To learn more about Neutral Tandem's products and services, visit http://www.neutraltandem.com/prodServices/index.htm .

For interconnection opportunities, please contact Telehouse UK at www.telehouseuk.com .

Cautions Concerning Forward Looking Statements

This press release contains forward-looking statements that involve substantial risks and uncertainties. All statements, other than statements of historical fact, included in this press release regarding Neutral Tandem's strategy, future operations, future financial position, future revenues, projected costs, prospects, plans and objectives of management are forward-looking statements. The words "anticipates," "believes," "expects," "estimates," "projects," "plans," "intends," "may," "will," "would," and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. Actual results or events could differ materially from the plans, intentions and expectations disclosed in the forward‑looking statements Neutral Tandem makes. Factors that might cause such differences include, but are not limited to: risks associated with our ability to successfully develop and market international voice services, including but not limited to identifying, obtaining, operating and maintaining attractive network switch sites, equipment, software and business support systems; our inability to interconnect with third parties or obtain necessary third party rights or permits on a timely basis, if at all; cost estimation errors or overruns; material delays or shortages; and other factors, many of which are beyond our control and all of which could delay or negatively affect our ability to offer international voice services; and other important factors included in our reports filed with the Securities and Exchange Commission, particularly in the "Risk Factors" section of Neutral Tandem's Annual Report on Form 10-K for the period ended December 31, 2010 and Quarterly Report on Form 10-Q for the period ended March 31, 2011 , as such Risk Factors may be updated from time to time in subsequent reports. Furthermore, such forward-looking statements speak only as of the date of this press release. Neutral Tandem does not assume any obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise.

About Neutral Tandem, Inc.

Headquartered in Chicago, Neutral Tandem, Inc. provides voice, data and video interconnection services worldwide. Neutral Tandem recently acquired Tinet, a global carrier focused on the IP Transit and Ethernet wholesale market. The acquisition combines Neutral Tandem's interconnection services for wireless, wireline, cable and broadband companies with Tinet's global IP backbone. Collectively, Neutral Tandem provides voice, IP Transit and Ethernet solutions to carriers, service providers, and content management firms worldwide. With over 100 Ethernet sites, the company is now the largest global Ethernet interconnection provider, a top 10 global IPv4 backbone provider and has a leading IPv6 network. Please visit Neutral Tandem's website at www.neutraltandem.com and follow us on Twitter@NeutralTandem.

About Telehouse

Telehouse offers data centre facilities and connectivity, providing a secure and resilient platform for mission critical IT systems. Established in 1988, Telehouse became Europe's first purpose-built neutral colocation provider. Today, the company is at the heart of the Internet and telecommunications infrastructure, serving over 1,000 major customers worldwide, from small start-ups to multinationals across a wide range of industries. It is a subsidiary of Japanese corporation KDDI, a Global 300 company and, with its sister company Telehouse America, is able to offer a global network covering Europe, America and Asia. Visit Telehouse online at www.telehouse.net .

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