Document:

<PAGE>

                                                                    EXHIBIT 10.1

GENUITY                                                               Quotation
                                                  DiaLinx Services (Version 3.0)
                                                          Oct. 1999 Rev. 7-28-00

                         Quotation for DiaLinx Service

TO:  Netpliance, Inc                           Quote Date:      7-1-00
     ---------------

     7600A North Capital of Texas Highway      Quote Valid To:  8-1-00
     ------------------------------------

     Austin, TX  78731                         Quote Number:    netpliance70100
     -----------------

Quotation for DiaLinx Service
This Quotation is for DiaLinx Services Version 3.0, and sets forth the pricing
and volume commitments agreed to under the DiaLinx Service Schedule.

PRIOR AGREEMENTS SUPERSEDED AND TERMINATED:  This Quotation, together with the
------------------------------------------
Service Schedule - DiaLinx Services and Master Agreement, represents the final
agreement of the parties with respect to the subject matter hereof.  Upon
acceptance of this Quotation by Genuity, this Quotation will supersede and
terminate all prior quotations and agreements including those from GTECC and GTE
Internetworking Incorporated, provided, however, that any obligations which have
accrued under the preceding quotations prior to their termination (e.g. payments
due) shall survive such termination, other than any applicable termination fees.

1.   Commencement Date:  The Commencement Date is the day on which we notify you
     -----------------
     that we have completed our installation and configuration responsibilities
     to allow your users to use the DiaLinx service, or the day on which you or
     a user first uses any DiaLinx service, whichever is earlier.

2.   Service Level Agreement.  Genuity will provide Services hereunder pursuant
     -----------------------
     to the terms of Service Level Agreement for DiaLinx Services (Corporate
     SLA), a copy of which is attached hereto and forms part of the Agreement,
     with the following modifications: We shall offer you the following Service
     Level Agreement (SLA) coverage., based on Inverse testing of our network:
     95% Busy Free Dial, 93% Call Success and 43K Initial Modem Connect. Inverse
     reports these metrics monthly as an average of all test calls to the U.S.
     DiaLinx Network. If we fail to meet any of these metrics over a period of
     two (2) consecutive months, we will credit you the standard Credit outlined
     therein for those two (2) months. If we have not rectified the problem
     after an additional ninety (90) days, you may cancel this Agreement,
     without penalty, upon five (5) business days written notice to us.

3.   Service Period: The Service Period shall be: [X] thirty-six (36) full
     --------------
     calendar months plus an initial period consisting of one (1) partial
     calendar month. Month zero (0) means the partial calendar month beginning
     on the Commencement Date. Month one (1) means the full calendar month
     immediately following the Commencement Date, etc.

4.   Minimum Customer Commitment:  During the Service Period, in return for
     ---------------------------
     discounts inherent in the pricing outlined herein, you have agreed to use a
     minimum dollar volume of network access, after discounts, in each month of
     the agreement ("Minimum Customer Commitment"). In the event that Network
     access charges do not meet the Minimum Customer Commitment you will be
     billed for the difference between the amount actually charged within the
     given month and the Minimum Customer Commitment

     Minimum Customer Commitment: $200,000.00 per month.

-------------------
     Portions of this agreement have been omitted pursuant to a confidential
     treatment request. The omitted portions are indicated by [*****]. The
     omitted information has been filed separately with the Securities and
     Exchange Commission.

                                                                          Page 1
<PAGE>

GENUITY                                                               Quotation
                                                  DiaLinx Services (Version 3.0)
                                                          Oct. 1999 Rev. 7-28-00

5.   Rates and Charges:  All rates and charges for the services defined within
     -----------------
     this contract are in effect. Please check the boxes beside all services
     that you wish to have installed. If you choose to add services at a later
     date, you can do so by sending a request to ops@genuity.com. All Network
                                                 ---------------
     connect time is rounded up to the next highest minute and billed in one-
     minute increments. Invoices are issued monthly, and are due net 30 days.
     All pricing is listed as U.S. dollars.

     For a complete listing of the all DiaLinx Access Numbers and associated
     rates, a list of all access numbers can be obtained from your local account
     representative, or downloaded from the following URL:
     http://www.genuity.com/support/DiaLinx.htm.
     ------------------------------------------

          [X]  5.1  North American Rates:  In any month where the number of
                    --------------------
               Users accessing the DiaLinx Network exceeds the thresholds in the
               table below, the applicable Rates for that month will be reduced
               to the corresponding Rates.

               The DiaLinx North American Per User (150 Hour Individual) Plan
               covers access from any of the DiaLinx U.S. and Canadian Local
               Access Numbers via analog and/or ISDN connections.

<TABLE>
<CAPTION>
                    North American Rates
                    --------------------------------------------------------------------------------------

                         # Users         Per User       Overage       800/888          800/888
                                           N.A.           N.A.        Canadian            US
                                         150 Hour       (per hr)
                                          Plan                        (per hr)         (per hr)
                                        _______                        (CA8A)        (US8A, US8B)
                                        -------
                    --------------------------------------------------------------------------------------
                    <S>                 <C>             <C>            <C>           <C>
                        0-50,000        (*****)
                    -------------------------------
                          50,000+       (*****)
                    -------------------------------
                         100,000+       (*****)
                    -------------------------------
                         175,000+       (*****)          (*****)         (*****)        (*****)
                    -------------------------------
                         250,000+       (*****)
                    -------------------------------
                         500,000+       (*****)
                    --------------------------------------------------------------------------------------
</TABLE>

               5.1.1  Overage Rates:  The 150 hour plan represents individual
                                          -------------            ----------
                      user activity, (i.e., the overage fee is applied when any
                      ----
                      individual user exceeds 150 hours). If the total hours of
                      access by each individual Base Rate User exceeds one-
                      hundred-fifty (150) hours/user, then the Base Rate for
                      that user will be adjusted upwards by the corresponding
                      rate listed above for each hour, or partial hour, that the
                      user exceeds 150 hours / user. Overage usage is billed to
                      the customer, not end user, on a calendar month.

                      The 150 Hour plan is based on individual user hours. The
                      number of users using 150 hours or more of network access
                      must not exceed [*****] of the customer's active user
                      base. In the event the number of users utilizing 150 or
                      greater hours within a calendar month exceeds [*****] of
                      the customer's active user base, Genuity will surcharge
                      the customer an additional [*****] of the total monthly
                      invoice for each percent, or fraction thereof, that the
                      percentage of such users exceeds [*****].

                      [For example, if 150 users out of a total 1000 valid
                      registered users accesses the DiaLinx Network for 160
                      hours, under this plan, the total invoice for the month
                      would be [*****] Calculations: Base Rates would be
                                       ------------
                      [*****]. Overage Rates would be [*****]. The invoice sub-
                      total is [*****]. This example assumes no other charges
                      are incurred (ie No 800 or International charges). Since
                      [*****] of the user base used more than 100 hours, and
                      Genuity charges an additional [*****] of the invoice, for
                      each [*****] the surcharge on the invoice will be [*****].
                      Thus, the total invoice will be [*****].

               5.1.2  800/888 Charge: In addition to any other applicable
                      --------------
                      charges under section 4.0, you will be charged the 800/888
                      charge for each hour that an End User accesses the Network
                      via the 800/888 access number. You may request that the
                      800/888 service be disabled at any time.

[*****=information that has been omitted and filed separately with the
       Securities and Exchange Commission. Confidential Treatment has been
       requested with respect to the omitted portions.]

                                                                          Page 2
<PAGE>

GENUITY                                                               Quotation
                                                  DiaLinx Services (Version 3.0)
                                                          Oct. 1999 Rev. 7-28-00

          [_]  5.2  International Surcharges:  In addition to any other
               ------------------------
               applicable, charges, access users to the Network via any DiaLinx
               International Access Number will incur an additional charge per
               hour per user as detailed in the International Rate table below.

<TABLE>
<CAPTION>
               DiaLinx International Rates
               ------------------------------------------------------------------------------------------------------

                    UK       Europe/     Australia/NZ    Mexico       Asia       Mexico 800   Freephone   Caribbean/
                           Puerto Rico                                          /Puerto Rico   Access      Thailand
                                                                                   800
                  Zone 1      Zone 2        Zone 3       Zone 4      Zone 5       Zone 6       Zone 7      Zone 8
                  (IDEM)*    (_____)*       (_____)*     (_____)*    (_____)*     (_____)*     (_____)*    (_____)*
               ------------------------------------------------------------------------------------------------------
               <S>         <C>              <C>          <C>         <C>        <C>           <C>         <C>
                  (*****)     (*****)        (*****)      (*****)     (*****)      (*****)      (*****)      (*****)
               ------------------------------------------------------------------------------------------------------
</TABLE>

<TABLE>
<CAPTION>
               DiaLinx International Rates
               ---------------------------------------------------------------------------------------
                  Code A       Code B     Code C      Code D       Code E      Code F        Code G
                 (IPAA)*       (IPAB)*    (IPAC)*     (IPAD)*      (IPAE)*     (IPAF)*       (IPAG)*
               ---------------------------------------------------------------------------------------
               <S>             <C>        <C>         <C>          <C>        <C>           <C>
                  (*****)      (*****)    (*****)     (*****)        (*****)   (*****)       (*****)
               ---------------------------------------------------------------------------------------
               *Genuity Bill Codes.
</TABLE>

               DiaLinx - International: Worldwide Dial-Up Networking services
               -----------------------
               are provided by the DiaLinx International Network according to
               specific Regional Zones. The Zones are defined below:

<TABLE>
               <S>        <C>                            <C>
               *Zone 1:   United Kingdom                 England, Scotland, Wales, Northern Ireland
               *Zone 2:   Europe                         Austria, Belgium, Denmark, Finland, France,
                                                         Germany, Hungary, Ireland, Italy, Luxembourg,
                                                         Netherlands, Norway, Puerto Rico, Spain, Sweden,
                                                         Switzerland
               *Zone 3:   Australia/New Zealand          Australia, New Zealand
               *Zone 4:   Mexico                         Mexico
               *Zone 5:   Asia                           Hong Kong, Japan, Singapore, Taiwan
               *Zone 6:   Mexico 800/Puerto Rico 800     Mexico 800 and Puerto Rico 800 Access
               *Zone 7:   Free Phone Access              Free Phone access in France, Germany, Italy,
                                                         Netherlands, Sweden, and United Kingdom
               *Zone 8:   Caribbean/Thailand             Anguilla, Antigua, Barbuda, Barbados, Bermuda,
                                                         Cayman Islands, Dominica, Dominican Republic,
                                                         Grenada, Guam, Jamaica, Montserrat, St. Kitts &
                                                         Nevis, Thailand, Tobago, Trinidad, Turks and Caicos
                                                         Islands
</TABLE>

               The GENUITY provided (dailer/phone book contains the modem speeds
               for each location, along with a price code, which correlate to
               the International rate table above

     [_]  5.3  RADIUS Hosting:  Genuity can setup and host a RADIUS
          -------------------
          authentication server at a physically secure and redundant server
          farm. Genuity also provides a secure Web-based administration tool for
          easy username administration. You will be charged the rates in
          accordance with the rates below

<TABLE>
<CAPTION>
                Service       Fee for greater than 1,000 Users           Under 1,000 Users Fees
           ------------------------------------------------------------------------------------
           <S>                <C>                                        <C>
            RADIUS Hosting    (*****)                                             (*****)
           ------------------------------------------------------------------------------------
</TABLE>

6.   Spamming.  Genuity reserves the right, at our discretion, to prohibit
     --------
     incidences of unacceptable use of electronic mail (as defined in our
     Acceptable Use Policy) by restricting all outbound IP data packets using
     port 25 to a single IP address. This IP address would be an SMTP mail
     relay/post office controlled by the customer.

[*****=information that has been omitted and filed separately with the
       Securities and Exchange Commission. Confidential treatment has been
       requested with respect to the omitted portions.]

                                                                          Page 3
<PAGE>

GENUITY                                                               Quotation
                                                  DiaLinx Services (Version 3.0)
                                                          Oct. 1999 Rev. 7-28-00

7.   Credit Policy:  Our acceptance of the pricing and commitments set forth in
     -------------
     this Quotation is subject to Genuity's current credit approval policy. We
     reserve the right to modify the terms of this Quotation, require additional
     assurances, or reject the Quotation following credit review if terms
     satisfactory to both parties cannot be agreed upon.

8.   Additional Realms:  Genuity will support five (5) RADIUS authentication
     -----------------
     realms to you. Customers who require additional realms will be charged a
     monthly fee of $500.00 for a block of five (5) additional realms.

9.   [_]  Level 1 Vanity Number:  Genuity will provision, as an additional
          ---------------------
     service, a separate and unique vanity 800/877/888 number for the customer's
     access to DiaLinx Level 1 Help Desk Services.

     Genuity will charge the customer the appropriate rates for one (1) Unique
     US 800/888 Number as defined in below.  The customer will be required to
     provide a minimum of five (5) vanity number options.  If a number is taken,
     Genuity will provision based upon the first available number within the
     list.

          Vanity 800/888 Number Installation:      $500.00 one-time installation
          Vanity 800/888 Number Rate:              $100.00 per month

10.  Confidentiality Clause:  This document represents confidential information.
     ----------------------
     You shall not disclose the terms or pricing of this agreement without our
     prior written permission except pursuant to a valid legal requirement.

--------------------------------------------------------------------------------
Please sign below to indicate your understanding and acceptance of the terms of
this Quotation.

Company (Type or Print Full Customer Name):  NETPLIANCE, INC.

Signature:                                   Date:
          ---------------------------        ------------------------------

Print Name:                                  Title:
           --------------------------         -----------------------------

--------------------------------------------------------------------------------

Please sign below to indicate your understanding and acceptance of the terms of
this Quotation.

Company (Type or Print Full Customer Name): GENUITY SOLUTIONS INC.

Signature:___________________________   Date:______________________________

Print Name:__________________________   Title:_____________________________

--------------------------------------------------------------------------------

                                                                          Page 4
<PAGE>

GENUITY                                                     Master Agreement for
                                                        Internetworking Services

                                                                   Rev. May 2000

This Master Agreement between Genuity Solutions Inc. ("we") and the Customer
identified below ("you") includes the attached Service Schedules and Service
Quotations (collectively "Schedules") together with any additional Schedules
mutually agreed in writing in the future.

1.  Services. We will provide you the Internetworking services ("Services")
specified in the Schedule(s) and Quotations. Our commencement of providing any
of the Services shall constitute our acceptance of this Master Agreement.

2.   Prices. Prices are stated in the Schedules and are guaranteed for the Term
stated in the Schedules. If any of the Services are on a mouth-to-mouth basis,
we will give you at least thirty (30) days notice of a price change. In
addition, you are responsible for applicable taxes, tariffs, telecommunications
surcharges or other governmental charges due on account of the Services.

3.   Payment. Unless otherwise stated in a Schedule, we will invoice you
monthly. You agree to pay within thirty (30) days from receipt of invoice. For
overdue invoices, you will pay interest of 1.5% for each month or part of a
month (or the maximum allowed by law, whichever is less).

4.   Our Responsibility. We are responsible for providing the Services by
qualified personnel in a professional manner. WE DISCLAIM ALL OTHER WARRANTIES,
EXPRESS OR IMPLIED, INCLUDING THE WARRANTIES OF MERCHANTABILITY AND FITNESS FOR
A PARTICULAR PURPOSE.

5.   Your Responsibility. You are responsible for the manner in which you use
the Services, including the maintenance and security of your data, computer
network and other facilities; your choice of equipment, software and online
content; and all other matters related to how you use the Services. Unless
expressly permitted by a Schedule or separate reseller agreement with us, you
shall not resell Services, or access to Services, directly or indirectly to
third parties.

6.   Indemnification. We will indemnify you for damages, costs and attorneys
fees you incur from any claim that our design of the Services infringes any U.S.
patent, copyright, trademark, trade secret or other intellectual property right.
You will indemnify us for damages, costs and attorneys fees we incur from any
claim arising from your manner of using of the Services, your combination of the
Services with other products or services not provided by us, or your
modification of the Services. The indemnifying party shall conduct the defense
and shall have control of the litigation; the other party shall give prompt
notice of claims and shall cooperate in defending against the claim. THE PARTIES
DISCLAIM THE IMPLIED WARRANTY OF NON-INFRINGEMENT, RELYING INSTEAD ON THE TERMS
OF THIS SECTION.

7.   IP Addresses. Upon expiration, cancellation or termination of the Agreement
or applicable Schedule, you shall relinquish any IP addresses or address blocks
assigned to you by us.

8.   Acknowledgment. You agree that we may include your name in listings of our
customers.

9.   Compliance with Laws. You shall not use or permit your end users to use the
Services in ways that violate laws or our acceptable use policy which is
published on our web site at http://www.genuity.com/aup/, infringe the rights of
others, or interfere with users of our network or other networks. For example,
you shall not distribute chain letters or unsolicited bulk electronic mail
("spamming"); propagate computer worms or viruses; use a false identity; attempt
to gain unauthorized entry to any site or network; distribute child pornography,
obscenity or defamatory material over the Internet; or infringe copyrights,
trademarks or other intellectual property rights. You further agree to comply
with U.S. export laws concerning the transmission of technical data and other
regulated materials via the Services.

10.  Termination. Either party may terminate or cancel this Agreement if the
other fails to cure a material breach of the Agreement within thirty (30) days
after receiving written notice of the breach. We reserve the right but assume no
obligation, to suspend performance immediately if you are more than thirty (30)
days overdue in payments or if, in our reasonable judgment, you have violated
Section 9.

11.  Limitation of Liability. EXCEPT FOR (A) INDEMNIFICATIONS PURSUANT TO
SECTION 6, (B) BREACH OF ANY CONFIDENTIALITY OBLIGATIONS STATED IN A SERVICE
SCHEDULE, AND (C) BREACHES BY YOU OF LICENSE TERMS APPLICABLE TO GENUITY-
PROVIDED SOFTWARE, NEITHER PARTY (NOR ITS SUPPLIERS OR CUSTOMERS) SHALL BE
LIABLE TO THE OTHER PARTY FOR PUNITIVE, SPECIAL, CONSEQUENTIAL, INCIDENTAL OR
INDIRECT DAMAGES INCLUDING WITHOUT LIMITATION, LOST PROFITS OR LOSS OR DAMAGE TO
DATA ARISING OUT OF THE USE OR INABILITY TO USE SERVICES, EVEN IF THE PARTY HAS
BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES.

12.  Limitation of Damages. OUR AGGREGATE LIABILITY TO YOU RELATING TO OR
ARISING OUT OF THIS AGREEMENT, WHETHER IN CONTRACT, TORT OR OTHERWISE, SHALL NOT
EXCEED (a) THE TOTAL AMOUNTS PAID BY YOU TO US FOR THE SERVICE IN QUESTION,
DURING THE ONE-YEAR PERIOD IMMEDIATELY PRECEDING THE EVENT WHICH GAVE RISE TO
YOUR CLAIMS OR (b) $100,000, WHICHEVER IS LESS.

13.  Miscellaneous. The terms and conditions of this Agreement supersede all
previous agreements, proposals or representations related to the Services.
Except for assignments to Genuity affiliates or to any entity that succeeds to
the business of Genuity in connection with a merger or acquisition, neither
party may assign this Agreement without the prior written consent of the other
party. This Agreement shall be governed by the substantive laws of the
Commonwealth of Massachusetts. Any changes to this Agreement, or any additional
or different terms in your purchase orders, acknowledgments or other documents,
will not be effective unless expressly agreed to in writing by us.

GENUITY SOLUTIONS INC.                                      NETPLIANCE, INC.

Genuity Solutions Inc.                  1 of 2                                MA
<PAGE>

GENUITY                                                     Master Agreement for
                                                        Internetworking Services

                                                                   Rev. May 2000

By:___________________________                By: NETPLIANCE - Valerie Walden

Name:_________________________                Name:
                                                   -----------------------------

Title:________________________                Title:
                                                    ----------------------------

Date:_________________________                Date:
                                                    ---------------------------

Genuity Solutions Inc.                  2 of 2                               MA
<PAGE>

                                AMENDMENT NO. 1
                                      TO
                 MASTER AGREEMENT FOR INTERNETWORKING SERVICES

The Master Agreement for Internetworking Services ("Master Agreement") by and
between Genuity Solutions Inc. ("we") and Netpliance, Inc. ("you") dated
_________________________ is hereby modified as set forth below. To the extent
that there are any conflicts between the terms of this Amendment No. 1 and the
terms of the Master Agreement, this Amendment No. 1 shall control.

Section 10. Termination. The last sentence in Section 10 is deleted and replaced
with the following provisions: "We reserve the right, but assume no obligation,
to suspend performance if you are more than 30 days overdue in payments or if,
in our reasonable judgment, you have violated Section 9, provided, however, we
will not suspend performance for non-payment unless you have failed to cure such
delinquency within 5 business days after receiving written notification from us,
identifying the amount overdue. In the event of a violation of Section 9, we
will exercise the right to suspend performance only as to the end-user(s) in
violation, and not as to you, unless we reasonably believe you are a knowing
participant in the violation."

Section 13. Miscellaneous. The words "Commonwealth of Massachusetts" are changed
to "State of New York".

Section 14. Order of Precedence. A new Section is added, entitled "Order of
Precedence," which reads as follows: "To the extent that any Service Schedule
specifically conflicts with the Master Agreement, the Service Schedule will
control. To the extent that any Service Quotation specifically conflicts with
the Service Schedule or the Master Agreement, the Service Schedule or Master
Agreement, as the case may be, will control, unless the Service Quotation
specifically refers to the conflicting verbiage in the Service Schedule or
Master Agreement, and specifically states that as to such verbiage the Service
Quotation will supersede and control."

Each individual executing this Amendment No. 1 for and on behalf of a party
represents that he or she is fully authorized to do so.

GENUITY SOLUTIONS INC.                       NETPLIANCE, INC.

By:______________________________            By:
                                                --------------------------------

Name:____________________________            Name:
                                                  ------------------------------

Title:___________________________            Title:
                                                   -----------------------------

Date:____________________________            Date:
                                                  ------------------------------
<PAGE>

GENUITY                                                     Master Agreement for
                                                        Internetworking Services

                                                                   Rev. May 2000

This Service Schedule is part of and is governed by the Master Agreement for
Internetworking Services ("Master Agreement"). The terms and conditions of the
Master Agreement are incorporated herein by reference.

1.   Covered Services. We will provide you with the DiaLinx(R) Basic Services
and Enhanced Services ("DiaLinx Service") indicated in the applicable Genuity
Service Quotation ("Quotation") which is attached hereto or which we may provide
to you in the future for additional DiaLinx Service. The term of the Service
Period is one year or longer, as selected by you, and the corresponding fees are
described in the Quotation. Our commencement of providing DiaLinx Services to
you under the Quotation shall constitute our acceptance of the Agreement in
respect of such DiaLinx Service.

2.   Service Description. DiaLinx Service provides you with dial-up Internet
access service, plus available enhanced services. Further details of the DiaLinx
Service are set forth in the applicable Service Description. Service
Descriptions are available from your Genuity sales representative

3.   Renewal. We encourage you to contact us by sending an inquiry via email to:
renew@genuity.com prior to the expiration of the then-current Service Period to
renew the DiaLinx Service for an additional term of one (1) year or greater. If
the Service Period expires without being renewed in writing or cancelled, then
the Service Period will automatically be renewed for additional Service Periods
equal in duration to the initial Service Period. Renewal will be at your
existing pricing and Minimum Customer Commitment, unless we provide you with
notice of a price increase at least seventy-five (75) days prior to the
expiration of the then-current Service Period. Volume commitment ramps apply
only to the initial Service Period.

4.   Minimum Customer Commitment. You agree to the Minimum Customer
Commitment(s) for each period as set forth in the Quotation. You agree that you
are obligated to pay the greater of your actual usage or the Minimum Customer
Commitment for the corresponding commitment period (e g monthly). In the event
that you terminate your use of the DiaLinx Service, the Minimum Customer
Commitment(s) due for the remaining term will be accelerated to be immediately
due in full.

5.   Third Party Access. Subject to the terms and conditions of this Service
Schedule, you have the non-exclusive right to authorize access to DiaLinx
Services to your employees and/or to any third party (including the right to
sell such DiaLinx Service). You agree that if you offer DiaLinx Service other
than to your bona fide employees, you will do so only pursuant to a binding
agreement incorporating terms substantially similar to those gated in Section 18
(Mandatory Flow-down Terms) of this Service Schedule.

6.   Responsibility for End Users. You agree to be responsible for all billing
and collection from end users and that you will pay us on a timely basis,
regardless of whether you collect payment from end users. You agree to be
responsible for all communications to and business relations with end users.
Unless you have purchased optional help desk services from us, you shall be
responsible for providing all technical support related to DiaLinx Service
access for end users, including but not limited to responding to inquiries and
questions, hot-line support, problem resolution, providing system configuration,
installation and support, as applicable and other such services and shall
maintain an organization which is highly trained and qualified to provide such
support. You are responsible for authenticating and authorizing access by your
end users to DiaLinx. Service. Unless you have purchased optional RADIUS hosting
services from us, you shall install, operate, and maintain a dedicated RADIUS
server meeting the RADIUS specifications published in Internet RFC 2138 and 2139
and all published derivative RFC's. Our RADIUS server will prompt each end user
for the end user's identification and password, and poll your RADIUS server for
access information. Unless otherwise provided for in the Quotation, we will
support up to a maximum of five (5) authentication realms (e.g.
companyname.com).

7.   Equipment and Telephone Service. You are solely responsible for obtaining
and providing the telephone services and user modems necessary to access DiaLinx
Service. In no event will we be responsible for end user telephone charges.

8.   Network Access Availability. ACCESS TO THE DIALINX NETWORK CANNOT BE
GUARANTEED TO YOU OR YOUR END USERS. END USERS MAY BE UNABLE TO ACCESS THE
DIALINX SERVICE AT ANY GIVEN TIME, AND DISCONNECTIONS MAY OCCUR FROM TIME TO
TIME. YOU AGREE THAT WE WILL NOT BE LIABLE FOR ANY DAMAGES THAT YOU OR YOUR END
USERS MAY INCUR ARISING OUT OF THE USE OR INABILITY TO USE THE DIALINX SERVICE.
THIS DISCLAIMER IS IN ADDITION TO, NOT INSTEAD OF, THE DISCLAIMER, LIMITATION OF
LIABILITY AND LIMITATION OF DAMAGES CONTAINED IN THE MASTER AGREEMENT.

9.   Regulatory Changes. We shall flow through to you any local exchange carrier
(LEC) price changes (a) that are attributable to changes in Federal or state
regulation, or (b) for Federally regulated services, that are treated as
exogenous regulatory cost changes by the Federal Communications Commission (the
"FCC") under its price caps regulations as defined in the FCC Rules, 47 C.F.R.
Section 61.45. For purposes of this paragraph, price changes attributable to
changes in regulation include, but are not necessarily limited to, price changes
reflecting total or partial elimination of any enhanced services provider
exemption from payment of interexchange access charges or any regulatory
decision which results in application of multiple Subscriber Line Charges to
ISDN Primary Rate interface circuits or channelized T1 circuits.

10.  Compliance with Laws and Content Responsibility. You shall not use or
permit the DiaLinx Service to be used (a) in violation of any applicable export
laws (including without limitation any U.S. export laws); (b) in violation of
any applicable national, state, or local laws or regulations, including without
limitation any laws governing the import of the DiaLinx Service, or governing
the content which may be available via the DiaLinx Service; (c) in violation of
our acceptable use policy which is published on our web site at
http://www.genuity.com/aup/ ; or (d) in ways that infringe the rights of others,
or interfere with other users of our network or other networks. For example, you
shall not distribute chain letter or unsolicited bulk electronic mail
("spamming"); propagate computer worms or viruses; use a false identity; attempt
to gain unauthorized entry to any site or network; distribute child pornography,
obscenity or defamatory material over the Internet; or infringe copyrights,
trademarks or other intellectual property rights. We reserve the right to
suspend or terminate the DiaLinx Service (or any portion thereof) without notice
in the event that we believe that your use (or any of your end user's use) of
the DiaLinx Service maybe in violation of this section. We reserve the right to
prohibit incidences of unacceptable use of e-mail (as defined in do section) by
restricting all outbound IP data packets using port 25 to a single

Genuity Solutions Inc.                  1 of 13         DiaLinx (Global Service)
<PAGE>

GENUITY                                                         Service Schedule
                                                                Dialinx Services
                                                                (Global Service)

                                                                   Rev. May 2000

IP address equating to an SMTP mail relay/post office controlled by you. You
acknowledge that we have no control over or liability for the actions of local
jurisdictions, which may restrict or block the DiaLinx Service.

11.  Century Compliance Limited Warranty.  Genuity warrants that the Warranted
Services will be Century Compliant, pursuant to the terms of the Century
compliance Limited Warranty which is available on our Web Site,
http://www.genuity.com:8001/centurycompliance/limitedwarranty.htm.  THIS CENTURY
COMPLIANCE LIMITED WARRANTY AND/OR REMEDIES DESCRIBED IN THE CENTURY COMPLIANCE
LIMITED WARRANTY FOR THE WARRANTED SERVICES PROVIDES GENUITY'S ENTIRE WARRANTY
AND OBLIGATION TO CUSTOMER RELATING TO CENTURY COMPLIANCE, AND CUSTOMER'S SOLE
AND EXCLUSIVE REMEDY FOR CENTURY COMPLIANCE RELATED CLAIMS.

12.  Currency and Taxes.  All payments shall be in U.S. Dollars.  You are
responsible for the payment of all taxes (including without limitation
applicable VAT or withholding taxes but excluding taxes based solely on our net
income), import duties, or other applicable telecommunications or regulatory
fees (collectively, "Taxes").  You shall not deduct any such Taxes from the
amounts owed to us.  In the event you are required to withhold Taxes from any
payment due to us, then the amount of such payment shall be automatically
increased to totally offset such Taxes, so that the amount actually remitted to
us, net of all Taxes, equals the amount invoiced or otherwise due.

13.  Disputes.  Any dispute arising out of or in connection with the DiaLinx
Service in a country other than the United States, shall be referred to and
finally resolved by arbitration in accordance with the Rules of the
International Chamber of Commerce then in force; provided, however, that either
party may, at its sole discretion, seek injunctive relief in the courts of any
jurisdiction as may be necessary and appropriate to protect its proprietary or
confidential information.  The language used in the arbitral proceedings, and
the governing language of this agreement, shall be English.  Unless otherwise
mutually agreed upon in writing by the parties, the site of the arbitration
shall be Boston, Massachusetts, USA.  Judgment upon the award of the arbitration
may be entered in any court having jurisdiction thereof.

14.  Governing Law.  The governing law in any dispute shall be the substantive
law of the Commonwealth of Massachusetts, U.S.A. without regard to conflicts of
law.  The parties expressly agree that the U.N. Convention on Contracts for the
International Sale of Goods shall not apply to the Agreement.

15.  Local Access Numbers.  We expect the DiaLinx network to change over time in
order to meet the needs of our customers.  We reserve the right to add to,
delete or change the dial-in access numbers associated with a specified service
category from time to time.  You will be notified of changes to the DiaLinx
network or access numbers via periodic e-mail updates.  We may periodically add
additional dial up access service categories as the DiaLinx network evolves.
These additional services and respective prices will be made available on an on-
going basis, via e-mail updates notifying you of the additional service.  Use of
such additional services by you or your end users will be deemed your acceptance
of the updated service and pricing.  For a current list of services, pricing,
and dial up access numbers associated with each service, please consult our Web
page as listed in your DiaLinx Service Description or contact your Genuity
representative.

16.  Credit Policy.  Our acceptance of the pricing and commitments set forth in
the Quotation is subject to Genuity current credit approval policy.  We reserve
the right to modify the terms of the Quotation, require additional assurances,
or reject the Quotation following credit review if terms satisfactory to both
parties cannot be agreed upon.

17.  Force Majeure.  If the performance of any obligation hereunder is
interfered with by reason of any circumstances beyond Genuity's reasonable
control, including but not limited to acts of God, labor strikes and other labor
disturbances, power surges or failures, or shall be excused from such
performance to the extent necessary, provided that Genuity shall use reasonable
efforts to remove such causes of nonperformance.

18.  Mandatory Flow-down Terms.  You agree to include terms substantially
similar to the following minimum terms in legally binding agreements with end
users who are not your bona fide employees.  For the purpose of this section,
"Network Services Supplier" shall mean us, "Company" shall mean you, "User"
shall mean the non-employee end user, and "Network" shall mean the dig-up
network operated and maintained by us; and "Services" shall mean the DiaLinx
Service:

      No Right of Resale.  User may not resell or redistribute any Services.
      ------------------

      Content Responsibility. User understands that neither Company nor its
      ----------------------
      Network Services Supplier is responsible for the content of the
      transmissions which may pass through the Network. User agrees that it will
      NOT use the Services in ways that violate laws, infringe the rights of
      others, or interfere with the users, services, or equipment of other
      networks. For example, you shall not distribute unsolicited advertising,
      chain letters, or commercial electronic mail ("spamming"); propagate
      computer worms or viruses; attempt to gain unauthorized entry to other
      computers, data or networks; distribute child pornography, obscenity, or
      defamatory material over the Internet; or infringe copyrights, trademarks,
      or other intellectual property rights.

      Warranty and Liability Limitations.  COMPANY DOES NOT WARRANT THAT THE
      ----------------------------------
     SERVICES WILL BE AVAILABLE ON A SPECIFIED DATE OR TIME OR THAT THE NETWORK
     WILL HAVE THE CAPACITY TO MEET THE DEMAND OF END USERS DURING SPECIFIC
     HOURS. USER MAY BE UNABLE TO ACCESS THE NETWORK AT ANY TIME, AND
     DISCONNECTION FROM THE NETWORK MAY OCCUR FROM TIME TO TIME. NEITHER COMPANY
     NOR ITS NETWORK SERVICES SUPPLIER WILL BE LIABLE FOR UNAUTHORIZED ACCESS TO
     COMPANY'S OR USER'S TRANSMISSION FACILITIES OR PREMISES EQUIPMENT OR FOR
     UNAUTHORIZED ACCESS TO OR ALTERATION, THEFT OR DESTRUCTION OF USER'S DATA
     FILES, PROGRAMS, PROCEDURES OR INFORMATION THROUGH ACCIDENT, FRAUDULENT
     MEANS OR DEVICES, OR ANY OTHER METHOD, REGARDLESS OF WHETHER SUCH DAMAGE
     OCCURS AS A RESULT OF COMPANY'S OR ITS NETWORK

Genuity Solutions Inc.            Page 2 of 3          DialLink (Global Service)
<PAGE>

GENUITY                                                         Service Schedule
                                                                Dialinx Services
                                                                (Global Service)

                                                                   Rev. May 2000

      SERVICE SUPPLIERS NEGLIGENCE IN NO EVENT WILL COMPANY OR ITS NETWORK
      SERVICES SUPPLIERS BE LIABLE FOR ANY DAMAGES, INCLUDING BUT NOT LIMITED TO
      LOSS OF DATA, LOSS OF REVENUE OR PROFITS, OR FOR ANY OTHER SPECIAL,
      INCIDENTAL, INDIRECT OR CONSEQUENTIAL DAMAGES, ARISING OUT OF OR IN
      CONNECTION WITH THE USE OF OR INABILITY TO USE SERVICES OR PRODUCTS
      PROVIDED HEREUNDER.

      ---------------------------------------------------------------
        Please sign below to indicate your acceptance of the
                    terms of this Service Schedule.

      NETPLIANCE INC.

      Signature:
                -----------------------------------------------
      Name:
           ----------------------------------------------------
      Title:
            ---------------------------------------------------
      Date:
           ----------------------------------------------------

      GENUITY SOLUTIONS INC.

      Signature:_______________________________________________

      Name:____________________________________________________

      Title:___________________________________________________

      Date:____________________________________________________

      ---------------------------------------------------------------

Genuity Solutions Inc.            Page 3 of 3          DialLink (Global Service)
<PAGE>

                                AMENDMENT NO. 1
                                      TO
                     SERVICE SCHEDULE FOR DIALINX SERVICES

The Service Schedule for DiaLinx Services "(Service Schedule") by and between
Genuity Solutions Inc. ("we") and Netpliance, Inc. ("you") dated 7/31/00 is
hereby modified as set forth below. To the extent that there are any conflicts
between the terms of this Amendment No. 1 and the terms of the Service Schedule,
this Amendment No. 1 shall control.

Section 3.   Renewal.  The verbiage in the Service Schedule is deleted in its
entirety and replaced with the following:  "We encourage you to contact us by
sending an inquiry via email to: renew@genuity.com prior to the expiration of
                                 -----------------
the then-current Service Period to renew the DiaLinx Service for an additional
term of one (1) year or greater.  If we notify you of upcoming expiration at
least thirty (30) days prior to the end of the Service Period, and you take no
action to renew or cancel your Service, your Service Period will automatically
be renewed for one (1) year.  If we fail to notify you of upcoming expiration at
least thirty (30) days prior to the end of the Service Period, and you take no
action to renew or cancel your Service, your Service Period will automatically
be renewed on a mouth-to-month basis, cancelable by either party on thirty (30)
days prior written notice.  Renewal will be at your existing pricing and Minimum
Customer Commitment, unless we provide you with notice of a price increase at
least ninety (90) days prior to the expiration of the then-current Service
Period.  Volume commitment ramps apply only to the initial Service Period."

Section 4.   Minimum Customer Commitment. The last sentence of this section is
deleted and replaced with the following: "In the event that you terminate your
use of the DiaLinx Service, the following liquidated damages will become
immediately and payable:  fifty percent (50%) of your Minimum Customer
Commitment for the next twelve (12) months of your remaining Service Period, and
twenty-five percent (25%) of your Minimum Customer Commitment for any additional
Service Period remaining."

Section 9.   Regulatory Changes.  The following provision is added after the end
of the first sentence of this Section:  "If allowed by applicable federal or
state regulations, and if such price changes are wholly within the control of
Genuity Solutions, Inc., we will provide you with thirty (30) days advance
written notice before any such price changes go into effect."

Section 10.  Compliance with Laws and Content Responsibility.  In the first
sentence, second line, the word "knowingly" is inserted between "not" and "use."
In the third sentence, beginning in line 16, is deleted and replaced with the
following provisions:  "We reserve the right to suspend or terminate the DiaLinx
Service (or any portion thereof) in the event that we believe that your use (or
any of your end user's use) of the DiaLinx Service may be in violation of this
section, provided, however, we will exercise said right only as to the end-
user(s) in violation, and not as to you, unless we reasonably believe you are a
knowing participant in the violation.  Notwithstanding the foregoing, we reserve
the right to suspend or terminate the DiaLinx Service immediately for violations
of this section if required to do so by law enforcement or regulatory
authorities."

Section 13.  Disputes.  This section is deleted in its entirety.

Genuity/Netpliance Service Schedule          1                   Amendment No. 1
                                                                    Rev. 7-28-00
<PAGE>

Section 14.  Governing Law.  The words "Commonwealth of Massachusetts" are
deleted and replaced by "State of New York".

Section 19.  Assignment.  A new section entitled "19.  Assignment" is added, to
read as follows:  "Neither party may assign this Service Schedule without the
prior written consent of the other party, which consent will not be unreasonably
withheld or delayed.  Notwithstanding the foregoing, we may, without your prior
written consent, assign this Service Schedule, to a Genuity affiliate or to any
entity that succeeds to the business of Genuity in connection with a merger or
acquisition.  With regard to any assignment that requires the other's consent,
if consent is refused, then at your request Genuity will continue to provide
Services hereunder during a ninety (90) day transition period.  If Genuity
refuses to consent to your assignment, you will be excused from paying any
termination charges, but you will be liable for any charges that have accrued
under the Agreement prior to the effective date of the termination."

Each individual executing this Amendment No. 1 for and on behalf of a party
represents that he or she is fully authorized to do so.

GENUITY SOLUTIONS INC.              NETPLIANCE, INC.

By:_______________________________  By:
                                       -------------------------------------
Name:_____________________________  Name:
                                         -----------------------------------
Title:____________________________  Title:
                                          ----------------------------------
Date:_____________________________  Date:
                                         -----------------------------------

Genuity/Netpliance Service Schedule    2                         Amendment No. 1
                                                                    Rev. 7-28-00<PAGE>

                                                                    EXHIBIT 10.2
                               MASTER AGREEMENT
                          AT&T MA Reference No. 11761

<TABLE>
<S>                                                           <C>
---------------------------------------------------------------------------------------------------------------------------
CUSTOMER Legal Name ("Customer")                              AT&T Corp. ("AT&T")
---------------------------------------------------------------------------------------------------------------------------
Netpliance, Inc.                                              AT&T Corp.

---------------------------------------------------------------------------------------------------------------------------
CUSTOMER Address                                              AT&T Address
---------------------------------------------------------------------------------------------------------------------------
7600A Capital of Texas Highway                                55 Corporate Drive
Austin                                                        Room 32B15
Texas    78731                                                Bridgewater, New Jersey 08807
---------------------------------------------------------------------------------------------------------------------------
CUSTOMER Contact                                              AT&T Contact
---------------------------------------------------------------------------------------------------------------------------
Name:  Valerie Walden                                         AT&T Internet Services Contract Management
                                                              Fax Number 800-235-7527
Title:  C.O.O.
Telephone:  512.681.8170
Fax:  512.493.8399
Email:  vwalden@netpliance.net
---------------------------------------------------------------------------------------------------------------------------
CUSTOMER Billing Address
---------------------------------------------------------------------------------------------------------------------------
7600A Capital of Texas Highway
Austin
Texas    78731
---------------------------------------------------------------------------------------------------------------------------
</TABLE>

This Agreement consists of this Cover Page, the attached General Terms and
Conditions and all Service Attachments ("Attachments") attached hereto or
subsequently signed by the parties (collectively, this "Agreement").
Attachments shall include AT&T Service Order Attachments that reference this
Agreement and the relevant information in the AT&T Service Guide at
http://www.att.com/abs/serviceguide.  In the event of conflict between the
-----------------------------------
General Terms and Conditions and any Attachment, the Attachment shall take
precedence.

This Agreement shall become effective when signed by both parties and shall
continue in effect for as long as any Attachment remains in effect, unless
earlier terminated in accordance with the provisions of the Agreement.  The term
of each Attachment is stated in the Attachment.

As of the effective date of this Agreement, the Attachments are as follows:

<TABLE>
<CAPTION>
==================================================================================================================================
                                                        SERVICE(S) ORDERED
----------------------------------------------------------------------------------------------------------------------------------
<S>                                             <C>                                          <C>
[_] AT&T Asynchronous Transfer Mode ("ATM")     [_] AT&T Intrastate Services Agreement       [_] Local Services
Services (Domestic & International)             [_] AT&T Managed Network Solution ("MNS")        [_] AT&T - Single State
[_] AT&T Contract Tariff                            Services                                     [_] AT&T - Multi-State
[_] AT&T Enhanced Announcement Services             [_] Managed Router    [_] FRAD               [_] TCG - Single State
[_] AT&T Frame Relay Plus Service               [_] AT&T Teleconference Service Options          [_] TCG - Multi-State
[_] AT&T International Services (Concert)       [_] AT&T Tariffed Pricing Plan                   [_] TCG-Tariffed Pricing Plan
[X] AT&T Internet Services                      [_] AT&T Wireless Services
==================================================================================================================================
</TABLE>

--------------------------------------------------------------------------------
 CUSTOMER'S SIGNATURE BELOW ACKNOWLEDGES THAT CUSTOMER HAS READ AND UNDERSTANDS
  EACH OF THE TERMS AND CONDITIONS OF THIS AGREEMENT AND AGREES TO BE BOUND BY
                                     THEM.
--------------------------------------------------------------------------------

CUSTOMER:  Netpliance, Inc.           AT&T CORP.

By:                                   By:
   ----------------------------          -----------------------------
     (Authorized Signature)                (Authorized Signature)

-------------------------------       -------------------------------
(Typed or Printed Name)               (Typed or Printed Name)

Chief Operations Officer
-------------------------------       -------------------------------
(Title)                               (Title)

-------------------------------       -------------------------------
(Date)                                (Date)

--------------------
Portions of this agreement have been omitted pursuant to a confidential
treatment request. The omitted portions are indicated by [*****]. The omitted
information has been filed separately with the Securities and Exchange
Commission.

<PAGE>

<TABLE>
<S>                                               <C>
----------------------------------------------------------------------------------------------------------------------------------
                                                  CPNI Customer Notice and Consent

 You can help us offer you products and services tailored to your needs with a one-stop shopping experience.  If you consent
 below, we could share your CPNI with groups within AT&T, its affiliates, and third parties to bring to your attention products
 and services that might interest you.  CPNI (Customer Proprietary Network Information) includes telecommunications services
 information from your telephone bills or network services records related to the quantity, technical configuration, type,
 destination and amount, whether long distance, local, and/or wireless.  Under federal law, you have a right and AT&T a duty to
 protect the confidentiality of CPNI.  You may refuse to allow such use of your CPNI.  This refusal will not affect the services
 that AT&T provides to you.

 Your signature below approves AT&T's use of your CPNI as described above.  It is valid until revoked.  You may revoke approval at
 any time by providing written notice to AT&T at the address above.  Your signature acknowledges that you are authorized to sign
 this consent.

 Customer Signature: ______________________________    Title: ______________________    Date: __________________
==================================================================================================================================
                                                     For AT&T Internal Use Only
Global Strata
-------------
Branch Code:                       Account Group Code:
==================================================================================================================================
Global Strata
-------------
Branch PID:                        Branch Manager:                    Customer ID (CID):
==================================================================================================================================
</TABLE>

                         GENERAL TERMS AND CONDITIONS

The following terms and conditions shall apply to the provision and use of the
products and services (individually a "Service" and collectively the "Services")
provided pursuant to the Attachments.

1.0       DEFINITIONS
1.1       "Affiliate" of a party means any entity that controls, is controlled
by or is under common control with such party and, in the case of AT&T, it also
means any entity which AT&T has authorized to offer any Service or part of any
Service.
1.2       "Content" means information made available, displayed or transmitted
in connection with a Service (including, without limitation, information made
available by means of an HTML "hot link", a third party posting or similar
means) including all trademarks, service marks and domain names contained
therein as well as the contents of any bulletin boards or chat forums, and, all
updates, upgrades, modifications and other versions of any of the foregoing.
1.3       "User" means anyone who uses or accesses any Service purchased by
CUSTOMER under this Agreement.

2.0       CHARGES AND BILLING
2.1       CUSTOMER shall pay AT&T for its and Users' use of the Services at the
rates and charges specified in the Attachments, without deduction, setoff or
delay for any reason, including circumstances arising under any other
Attachment. Charges set forth in the Attachments are exclusive of any applicable
taxes. CUSTOMER may be required at any time to pay a deposit if AT&T determines
that CUSTOMER is not creditworthy or as specified in Section 10.1.
2.2       CUSTOMER shall pay all shipping charges, taxes (excluding those on
AT&T's net income) and other similar charges (and any related interest and
penalties) relating to the sale, transfer of ownership, installation, license,
use or provision of the Services, except to the extent a valid tax exemption
certificate is provided by CUSTOMER to AT&T prior to the delivery of Services.
2.3       Payment is due within thirty (30) days after the date of invoice and
shall refer to the invoice number. Restrictive endorsements or other statements
on checks accepted by AT&T will not apply. CUSTOMER shall reimburse AT&T for all
costs (including reasonable attorney fees) associated with collecting delinquent
or dishonored payments. At AT&T's option, interest charges may be added to any
past due amounts at the lower of 1.5% per month or the maximum rate allowed by
law.

3.0       RESPONSIBILITIES OF THE PARTIES
3.1       AT&T shall provide Services to CUSTOMER in accordance with the terms
and conditions, and at the charges specified in this Agreement consistent with
all applicable laws and regulations.
3.2       CUSTOMER shall assure that its and Users' use of the Services and the
Content will at all times comply with all applicable laws, regulations and
written and electronic Instructions for use.  AT&T reserves the right to
terminate affected Attachments, suspend affected Services and/or remove CUSTOMER
or Users' Content from the Services if AT&T determines that such use or Content
does not conform with the requirements set forth in this Agreement or receives
notice from anyone that CUSTOMER's or Users' use or Content may violate any laws
or regulations.  AT&T's actions or inaction under this Section shall not
constitute review or approval of CUSTOMER's or Users' use or Content.  AT&T will
use reasonable efforts to provide notice to CUSTOMER of any violation or
threatened violation of this Section 3.2 when reasonably practicable under the
circumstances.

4.0       USE OF INFORMATION
4.1       All documentation, technical information, Software, business
information, or other materials that are disclosed by either party to the other
in the course of performing this Agreement shall be considered proprietary
information ("INFORMATION") of the disclosing party, provided such information
is in written or other tangible form that is clearly marked as "proprietary" or
"confidential", or is disclosed orally and is both identified as proprietary or
confidential at the time of disclosure and summarized in a writing so marked
within fifteen (15) business days following the oral disclosure. This Agreement
shall be deemed to be AT&T and CUSTOMER INFORMATION. CUSTOMER Content shall be
deemed to be CUSTOMER INFORMATION.
4.2       Each party's INFORMATION shall, for a period of three (3) years
following its disclosure (except in the case of Software, for an indefinite
period): (i) be held in confidence; (ii) be used only for purposes of performing
this Agreement (including in the case of AT&T, the ability to monitor and record
CUSTOMER transmissions in order to detect fraud, check quality, and to operate,
maintain and repair the Services) and using the Services; and (iii) not be
disclosed except to the receiving party's employees, agents and contractors
having a need-to-know (provided that such agents and contractors are not direct
competitors of either party and agree in writing to use and disclosure
restrictions as restrictive as this Article 4), or to the extent required by law
(provided that prompt advance notice is provided to the disclosing party to the
extent practicable).
4.3       The restrictions in Section 4.2 shall not apply to any information
that: (i) is independently developed by the receiving party; or (ii) is lawfully
received by the receiving party free of any obligation to keep it confidential;
or (iii) becomes generally available to the public other than by breach of this
Agreement.

5.0       PUBLICITY AND MARKS
5.1       No public statements or announcements relating to this Agreement shall
be issued by either party without the prior written consent of the other party.
5.2  Each party agrees not to display or use, in advertising or otherwise, any
of the other party's trade names, logos, trademarks, service marks or other
indicia of origin (collectively "Marks") without the other party's prior written
consent, provided that such consent may be revoked at any time.

6.0       SOFTWARE
6.1       AT&T grants CUSTOMER a personal, non-transferable and non-exclusive
license (without the right to sublicense) to use, in object code form, all
software and associated written and electronic documentation and data furnished
pursuant to the Attachments (collectively, the "Software"), solely in connection
with the Services and solely in accordance with applicable written and
electronic documentation. CUSTOMER will refrain from taking any steps to reverse
assemble, reverse compile or otherwise derive a source code version of the
Software. The Software shall at all times remain the sole and exclusive property
of AT&T or its suppliers. "Third-Party Software" means Software that bears a
copyright notice of a third party. "AT&T Software" means all Software other than
Third-Party Software.
6.2       CUSTOMER shall not copy or download the Software, except to the extent
expressly provided otherwise in the applicable documentation for the Service or
in a writing signed by AT&T.  Any copy must contain the same copyright notices
and proprietary markings as the original Software.
6.3       CUSTOMER shall assure that its Users comply with the terms and
conditions of this Article 6.
6.4       The term of the license granted hereunder shall be coterminous with
the Attachment which covers the Software.
6.5       CUSTOMER agrees to comply with any additional restrictions that are
provided with any Third-Party Software.
6.6       AT&T warrants that all AT&T Software will perform substantially in
accordance with its applicable published specifications during a warranty period
of ninety (90) days beginning on the date of delivery of the AT&T Software to
CUSTOMER.  If CUSTOMER returns to AT&T, within the ninety (90) day warranty
period, any AT&T Software that does not comply with this warranty, then AT&T, at
its option, will either repair or replace the portion of the AT&T Software that
does not comply or refund the amount paid by CUSTOMER for such failed or
defective AT&T Software.  This warranty will apply only if the AT&T Software is
used in accordance with the terms of this Agreement and is not altered, modified
or tampered with by CUSTOMER or Users.

7.0       DISPUTE RESOLUTION
Disputes under this Agreement shall be submitted to binding arbitration, subject
to the exceptions and in accordance with the procedures set forth in the AT&T
Service Guide.
<PAGE>

8.0       FORCE MAJEURE
Neither AT&T nor CUSTOMER shall be liable for any delay, failure in performance,
loss or damage due to:  fire, explosion, power blackout, earthquake, flood, the
elements, strike, embargo, labor disputes, acts of civil or military authority,
war, acts of God, acts or omissions of carriers or suppliers, acts of regulatory
or governmental agencies, or other causes beyond such party's reasonable
control, whether or not similar to the foregoing, except that CUSTOMER's
obligation to pay for charges incurred for Services received by CUSTOMER shall
not be excused.

9.0       LIMITATIONS OF LIABILITY
9.1       For purposes of Articles 8, 9 and 11 and all other exclusive remedies
and limitations of liability set forth in this Agreement or any Attachment
"AT&T" shall be defined as AT&T, its Affiliates, and its and their employees,
directors, officers, agents, representatives, subcontractors, interconnection
service providers and suppliers; and "CUSTOMER" shall be defined as CUSTOMER,
its Affiliates, and its and their employees, directors, officers, agents, and
representatives; and "Damages" will refer collectively to all injury, damage,
liability, loss, penalty, interest and expense incurred.
9.2       EITHER PARTY'S ENTIRE LIABILITY AND THE OTHER PARTY'S EXCLUSIVE
REMEDIES, FOR ANY DAMAGES CAUSED BY ANY SERVICE DEFECT OR FAILURE, OR FOR OTHER
CLAIMS ARISING IN CONNECTION WITH ANY SERVICE OR PERFORMANCE OR NON-PERFORMANCE
OF OBLIGATIONS UNDER THIS AGREEMENT SHALL BE:
(i)       FOR BODILY INJURY OR DEATH TO ANY PERSON, OR REAL OR TANGIBLE PROPERTY
DAMAGE, NEGLIGENTLY CAUSED BY A PARTY, OR DAMAGES ARISING FROM THE WILLFUL
MISCONDUCT OF A PARTY OR A BREACH OF THE PROVISIONS OF ARTICLES 4 OR 5, THE
OTHER, PARTY'S RIGHT TO PROVEN DIRECT DAMAGES;
(ii)      FOR DEFECTS OR FAILURES OF SOFTWARE, THE REMEDIES SET FORTH IN SECTION
6.6;
(iii)     FOR INDEMNITY, THE REMEDIES SET FORTH IN ARTICLE 11;
(iv)      FOR DAMAGES OTHER THAN THOSE SET FORTH ABOVE AND NOT EXCLUDED UNDER
THIS AGREEMENT OR ANY ATTACHMENT, EACH PARTY'S LIABILITY SHALL BE LIMITED TO
PROVEN DIRECT DAMAGES NOT TO EXCEED PER CLAIM (OR IN THE AGGREGATE DURING ANY
TWELVE (12) -MONTH PERIOD) AN AMOUNT EQUAL TO THE TOTAL NET PAYMENTS PAYABLE BY
CUSTOMER FOR THE APPLICABLE SERVICE UNDER THE APPLICABLE ATTACHMENT DURING THE
TWELVE (12) MONTHS PRECEDING THE MONTH IN WHICH THE DAMAGE OCCURRED. THIS
SECTION 9.2(iv) SHALL NOT LIMIT CUSTOMER'S RESPONSIBILITY FOR THE PAYMENT OF ANY
AND ALL PROPERLY DUE CHARGES UNDER THIS AGREEMENT.

9.3       EXCEPT FOR THE PARTIES' ARTICLE 11 INDEMNIFICATION OBLIGATIONS,
NEITHER PARTY SHALL BE LIABLE TO THE OTHER PARTY FOR ANY INDIRECT, INCIDENTAL,
CONSEQUENTIAL, PUNITIVE, RELIANCE OR SPECIAL DAMAGES, INCLUDING WITHOUT
LIMITATION, DAMAGES FOR LOST PROFITS, ADVANTAGE, SAVINGS OR REVENUES OF ANY KIND
OR INCREASED COST OF OPERATIONS, WHETHER OR NOT SUCH PARTY HAS BEEN ADVISED OF
THE POSSIBILITY OF SUCH DAMAGES.
9.4       AT&T ALSO SHALL NOT BE LIABLE FOR ANY DAMAGES ARISING OUT OF OR
RELATING TO: INTEROPERABILITY, INTERACTION, ACCESS OR INTERCONNECTION PROBLEMS
WITH APPLICATIONS, EQUIPMENT, SERVICES, CONTENT OR NETWORKS PROVIDED BY CUSTOMER
OR THIRD PARTIES; SERVICE INTERRUPTIONS OR LOST OR ALTERED MESSAGES OR
TRANSMISSIONS, EXCEPT AS OTHERWISE PROVIDED IN AN ATTACHMENT OR TARIFF; OR,
UNAUTHORIZED ACCESS TO OR THEFT, ALTERATION, LOSS OR DESTRUCTION OF CUSTOMER'S,
USERS' OR THIRD PARTIES' APPLICATIONS, CONTENT, DATA, PROGRAMS, INFORMATION,
NETWORK OR SYSTEMS.
9.5       EXCEPT AS EXPRESSLY PROVIDED IN THIS AGREEMENT, AT&T MAKES NO
WARRANTIES, EXPRESS OR IMPLIED, AND SPECIFICALLY DISCLAIMS ANY WARRANTY OF
MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE, TITLE OR NON-INFRINGEMENT OR
ANY WARRANTY ARISING BY USAGE OF TRADE, COURSE OF DEALING OR COURSE OF
PERFORMANCE. AT&T DOES NOT WARRANT THAT THE SERVICES WILL BE UNINTERRUPTED OR
ERROR-FREE, OR THAT THE SERVICES WILL MEET CUSTOMER'S REQUIREMENTS OR THAT THE
SERVICES WILL PREVENT UNAUTHORIZED ACCESS BY THIRD PARTIES. EQUIPMENT PROVIDED
BY AT&T IN CONJUNCTION WITH A SERVICE IS PROVIDED ON AN "AS IS" BASIS. AT&T DOES
NOT AUTHORIZE ANYONE TO MAKE A WARRANTY OF ANY KIND ON ITS BEHALF AND CUSTOMER
SHOULD NOT RELY ON ANYONE MAKING SUCH STATEMENTS.
9.6       THE LIMITATIONS OF LIABILITY SET FORTH IN THIS ARTICLE 9 AND IN ANY
ATTACHMENT SHALL APPLY:  (i) REGARDLESS OF THE FORM OF ACTION, WHETHER IN
CONTRACT, TORT, STRICT LIABILITY OR OTHERWISE; AND (ii) WHETHER OR NOT DAMAGES
WERE FORESEEABLE.  THESE LIMITATIONS OF LIABILITY SHALL SURVIVE FAILURE OF ANY
EXCLUSIVE REMEDIES PROVIDED IN THIS AGREEMENT.
9.7       This Agreement does not. expressly or implicitly provide any third
party (including Users) with any remedy, claim, liability, reimbursement cause
of action or other right or privilege.

10.0      TERMINATION
10.1      If a party fails to perform or observe any material term or condition
of this Agreement and the failure continues unremedied for thirty (30) days
after receipt of written notice, (i) the other party may terminate for cause any
Attachment affected by the breach, or (ii) where the failure is a non-payment by
CUSTOMER of any charge when due, AT&T may, at its option, terminate affected
Attachments, suspend Service under affected Attachments, require a deposit under
any or all Attachments as a condition of continuing to provide Services and/or
terminate this entire Agreement.
10.2      An Attachment may be terminated immediately upon written notice by:
(i) either party if the other party has violated the other party's Marks,
becomes insolvent or involved in a liquidation or termination of its business,
files a bankruptcy petition, has an involuntary bankruptcy petition filed
against it (if not dismissed within thirty (30) days of filing), becomes
adjudicated bankrupt or becomes involved in an assignment for the benefit of its
creditors; or (ii) either party due to a material breach of any provision of
Article 4, or AT&T pursuant to Section 3.2 or due to a material breach by
CUSTOMER of any provision of Article 6.
10.3      CUSTOMER shall be responsible for payment of all charges under a
terminated Attachment incurred as of the effective date of termination.
CUSTOMER shall also be liable to AT&T for Termination Charges, if specified in a
terminated Attachment, in the event that AT&T terminates under Section 10.1 or
10.2, or CUSTOMER terminates without cause.
10.4      Termination by either party of an Attachment does not waive any other
rights or remedies it may have under this Agreement
10.5      Except as provided under Section 10.1, termination or suspension of an
Attachment shall not affect the Services provided or the rights and obligations
of the parties under any other Attachment

11.0      INDEMNITY
11.1      AT&T agrees to defend or settle, at its own expense, any third party
claim or suit against CUSTOMER alleging that a Service furnished under this
Agreement infringes any United States patent, trademark, copyright or trade
secret except where the claim or suit arises out of or results from: CUSTOMER's
or User's Content in connection with the Service; modifications to the Service
made by or combinations of the Service with services or products provided by
CUSTOMER or others; AT&T's adherence to CUSTOMER's written requirements; or, use
of the Service in violation of this Agreement. CUSTOMER agrees to defend or
settle, at its own expense and without prejudice to AT&T or AT&T's continued
provisioning of the Service to CUSTOMER or others, all claims or suits against
AT&T covered by the exceptions in the preceding sentence and shall immediately
cease any activity which gives rise to the alleged infringement. The
indemnifying party will also pay all Damages and costs (including reasonable
attorneys' fees) that by final judgment may be assessed against the indemnified
party due to infringement by the indemnifying party.
11.2      In the event of a claim of infringement for which AT&T is the
indemnifying party under Section 11.1, AT&T may at its option either procure the
right to continue using, or replace or modify, the alleged infringing Service so
that the Service becomes noninfringing and substantially compliant with the
requirements in the applicable Attachment. Upon inability to reasonably perform
either of the foregoing options, AT&T may terminate the affected Attachment,
without liability other than as stated in Section 11.1.
11.3      AT&T grants to CUSTOMER the right to permit Users to access and use
the Services, provided that CUSTOMER shall remain solely responsible for the
access and use by any User of the Services, and shall defend, indemnify and hold
harmless AT&T from and against all Damages, arising out of third party claims
and regardless of the form of action, whether in contract, tort, strict
liability or otherwise, concerning or relating to: any noncompliance by CUSTOMER
or Users with any provision of this Agreement; negligent acts or omissions by
CUSTOMER or Users; CUSTOMER's or Users' Content; or any Service failure, defect
or outage. CUSTOMER's indemnification obligations do not apply to claims for
Damages to real or tangible property or bodily injury or death negligently
caused by AT&T.
11.4      With respect to the indemnification obligations in this Article 11:
(i) the indemnified party will notify the indemnifying party in writing promptly
upon learning of any claim or suit for which indemnification may be sought,
provided that failure to do so shall not affect the indemnity except to the
extent the indemnifying party is prejudiced thereby; (ii) the indemnifying party
shall have control of the defense or settlement, provided that the indemnified
party shall have the right to participate in such defense or settlement with
counsel of its own selection and at its sole expense; and (iii) the indemnified
party shall reasonably cooperate with the defense, at the indemnifying party's
expense.

12.0      BUSINESS DOWNTURN I NETWORK OPTIMIZATION
In the event of a business downturn beyond the control of CUSTOMER, a corporate
divestiture, merger, acquisition or significant restructuring or reorganization
or network optimization, any of which significantly reduces the volume of
Services required by CUSTOMER, with the result that CUSTOMER will be unable to
meet its revenue and/or volume commitments under an Attachment, AT&T and
CUSTOMER will cooperate in efforts to develop a mutually agreeable alternative.
If the parties reach mutual agreement on an alternative, AT&T will prepare and
file any necessary tariff revisions and/or the parties will sign a contractual
amendment as applicable.  This provision shall not apply to a change resulting
from a decision by CUSTOMER to transfer portions of its traffic or projected
growth to service providers other than AT&T.  CUSTOMER must give AT&T written
notice of the conditions it believes will require the application of this
provision.  This provision does not constitute a waiver of any charges,
including shortfall charges, incurred by CUSTOMER prior to the time the parties
mutually agree to amend or replace the affected Attachment.

13.0      YEAR 2000 COMPATIBILITY
If, as a result of the date change from the year 1999 to the year 2000, the
Services provided under an Attachment fail to perform in accordance with AT&T's
published specifications for such Services, in a way that is material and
adverse to CUSTOMER, AT&T will take reasonable steps to correct such failure, at
no additional cost to CUSTOMER, as CUSTOMER's exclusive remedy.  AT&T is not
responsible for any
<PAGE>

failures caused by. (i) a connecting carrier; (ii) use of the Services with any
products, data or services that are not themselves Year 2000 Compliant; (iii)
the CUSTOMER or Users; or (iv) the failure of power, equipment, services or
systems not provided by AT&T.

14.0      GENERAL PROVISIONS
14.1      Any supplement, modification or waiver of any provision of this
Agreement must be in writing and signed by authorized representatives of both
parties. A waiver by either party of any breach of this Agreement shall not
operate as a waiver of any other breach of this Agreement
14.2      This Agreement may not be assigned by either party without the prior
written consent of the other, except that either party may, without the other
party's consent, assign this Agreement or any Attachment to a present or future
Affiliate or successor, provided that any such assignment by CUSTOMER shall be
contingent upon AT&T determining the assignee to be creditworthy and in
compliance with any eligibility criteria for the Services.  AT&T may subcontract
work to be performed under this Agreement, but shall retain responsibility for
all such work.
14.3      If any portion of this Agreement is found to be invalid or
unenforceable, the remaining provisions shall remain in effect and the parties
shall promptly begin negotiations to replace invalid or unenforceable portions
that are essential parts of this Agreement,
14.4      Any initial demand for arbitration pursuant to Article 7 and any legal
action arising in connection with this Agreement must begin within two (2) years
after the cause of action arises.
14.5      All notices under this Agreement shall be in writing and either mailed
by certified or registered mail, postage prepaid return receipt requested, sent
by express courier or hand delivered and addressed to each party at the address
set forth on the Cover Page of this Agreement or, if the notice relates to a
specific Attachment, the address set forth in such Attachment, or, in any case,
such other address as a party designates in writing.
14.6      State law issues concerning construction, interpretation and
performance of this Agreement shall be governed by the substantive law of the
State of New York excluding its choice of law rules. The United Nations
Convention on Contracts for International Sale of Goods shall not apply.
14.7      The respective obligations of CUSTOMER and AT&T, which by their nature
would continue beyond the termination or expiration of any Attachment or this
Agreement including, without limitation, the obligations regarding
confidentiality, publicity and marks, limitations of liability and dispute
resolution, shall survive termination or expiration.
14.8      This Agreement creates an independent contractor relationship between
the parties and neither party's employees or contractors shall be considered
employees, contractors, partners or agents of the other party.
14.9      THIS AGREEMENT CONSTITUTES THE ENTIRE AGREEMENT BETWEEN THE PARTIES
WITH RESPECT TO THE SERVICES TO BE PROVIDED HEREUNDER. THIS AGREEMENT SUPERSEDES
ALL PRIOR AGREEMENTS, PROPOSALS, REPRESENTATIONS, STATEMENTS OR UNDERSTANDINGS,
WHETHER WRITTEN OR ORAL, CONCERNING SUCH SERVICES OR THE RIGHTS AND OBLIGATIONS
RELATING TO THOSE SERVICES. THIS AGREEMENT SHALL NOT BE CONTRADICTED, EXPLAINED
OR SUPPLEMENTED BY ANY WRITTEN OR ORAL STATEMENTS, PROPOSALS, REPRESENTATIONS,
ADVERTISEMENTS, SERVICE DESCRIPTIONS OR CUSTOMER PURCHASE ORDER FORMS NOT
EXPRESSLY SET FORTH IN THIS AGREEMENT OR AN ATTACHMENT.
<PAGE>

                                                   AT & T MA Reference No. 11761

                                  ADDENDUM TO
                               MASTER AGREEMENT

This is the Addendum to Master Agreement 11761 by and between Netpliance
("CUSTOMER"), a Delaware corporation having a place of business at 7600A Capital
of Texas Highway, Austin TX 78731 and AT&T Corp., a New York corporation
("AT&T"), with offices at 55 Corporate Drive, Bridgewater, NJ 08807, on behalf
of itself and its affiliates.

CUSTOMER and AT&T hereby agree to the following modifications to the General
Terms and Conditions of the Master Agreement:

1.  Article 2.0 - CHARGES AND BILLING
    ---------------------------------

Section 2.1 is modified by adding the following, "except for amounts not yet due
because they are disputed in good faith" after the word, "reason"

Section 2.1 is further modified by adding "AT&T acknowledges that CUSTOMER is
creditworthy on the effective date of this Agreement." after the last sentence.

Section 2.3 is deleted in its entirety and is replaced with the following,
"Payment is due within thirty (30) days after the date of invoice, except for
amounts disputed in good faith, and shall refer to the invoice number.
Restrictive endorsements or other statements on checks accepted by AT&T will not
apply.  CUSTOMER shall reimburse AT&T for all reasonable costs associated with
collecting delinquent or dishonored payments.  At AT&T's option, interest
charges may be added to any undisputed past due amounts at the lower of 1.5% per
month or the maximum rate allowed by law.  Charges shall be considered past due,
if not paid in full within thirty (30) days after the date of receipt of an
invoice, except that, in the event of a bona fide dispute over a charge
specifically identified by CUSTOMER through written notice to AT&T, payment of
the identified charge will not be considered past due and no interest will be
charged for non-payment of such disputed charges pending investigation by AT&T.
Upon completion of AT&T's investigation, AT&T will advise and consult with
CUSTOMER concerning the results of the investigation and will make such
adjustments as the parties, acting reasonably and in good faith, agree are
reasonably appropriate under the circumstances.  Payment of any disputed charges
that are determined by AT&T to be correct as a result of such investigation and
consultation shall be considered past due if not paid in full within thirty (30)
days after completion of the foregoing process."

2.  Article 3.0 - RESPONSIBILITIES OF THE PARTIES
    ---------------------------------------------

Section 3.2 is deleted in its entirety and is replaced with the following words,
"CUSTOMER shall use commercially reasonable efforts to assure that its and
Users' use of the Services and the Content will at all times comply with all
applicable laws, regulations and written and electronic instructions for use.
AT&T reserves the right to terminate affected Attachments, suspend affected
Services and/or remove CUSTOMER or Users' Content from the Services if AT&T
reasonably determines that such use or Content does not conform with the
requirements set forth in this Agreement or receives notice from anyone that
CUSTOMER's or Users' use or Content may violate any laws or regulations.  AT&T's
actions or inaction under this Section shall not constitute review or approval
of CUSTOMER's or Users' use or Content.  AT&T will use reasonable efforts to
provide written notice to CUSTOMER of any violation or threatened violation of
this Section 3.2 when reasonably practicable under the circumstances."

3.  Article 4.0 - USE OF INFORMATION
    --------------------------------

                               AT&T PROPRIETARY
<PAGE>

Section 4.1 is modified by adding "written" after "advance" in the last
sentence.

4.  Article 6.0 - SOFTWARE
    ----------------------

Section 6.3 is deleted in its entirety and is replaced with the following,
"CUSTOMER shall use reasonable business efforts to ensure that its Users comply
with the terms and conditions of this Article 6.

5.  Article 7.0 - DISPUTE RESOLUTION
    --------------------------------

Article 7.0 is deleted in its entirety and is replaced with "THIS SECTION IS
INTENTIONALLY LEFT BLANK."

6.  Article 10.0 - TERMINATION
    --------------------------

Section 10.1(ii) is modified by adding "except those charges not yet due because
they are disputed in accordance with Section 2.3 above" after the word "due".

Section 10.3 is modified by adding "except those charges not yet due because
they are disputed in accordance with Section 2.3 above" after "charges" in the
first sentence.

7.  Article 12.0 - BUSINESS DOWNTURN / NETWORK OPTIMIZATION
    -------------------------------------------------------

Article 12.0 is modified by deleting "significant" in the 2/nd/ line, first
sentence.

8.  Article 14.2 - GENERAL PROVISIONS
    ---------------------------------

Section 14.2 is modified by adding "reasonably" before "determining" in the
first sentence.

Except as modified herein, the terms of the Master Agreement remain unchanged
and in full force and effect.

IN WITNESS WHEREOF, AT&T and CUSTOMER have caused this Addendum to be executed
by their duly authorized representatives.

CUSTOMER: Netpliance                     AT&T CORP.

By:                                      By:
   ------------------------------           -----------------------------
     (Authorized Signature)              (Authorized Signature)

---------------------------------        --------------------------------
(Typed or Printed Name)                  (Typed or Printed Name)

---------------------------------        --------------------------------
(Title)                                  (Title)

---------------------------------        --------------------------------
(Date)                                   (Date)

                               AT&T PROPRIETARY

2
<PAGE>

                            AT&T Internet Services

                                  Cover Page

<TABLE>
<CAPTION>
-------------------------------------------------------------------------------------------------------------------------
CUSTOMER Legal Name                         AT&T Corp. ("AT&T")                           AT&T Sales Representative Name
-------------------------------------------------------------------------------------------------------------------------
<S>                                         <C>                                           <C>
Netpliance, Inc.                            AT&T Corp.                                    Stephen Laphen
                                            55 Corporate Drive
                                            Room 32B15                                    Email: slaphen@att.com
                                            Bridgewater, New Jersey 08807                 Telephone: 512.407.1774
-------------------------------------------------------------------------------------------------------------------------
CUSTOMER Information                        AT&T Authorized Agent Info. (if applicable)   AT&T Sales Rep. Address
-------------------------------------------------------------------------------------------------------------------------
Address:                                    Name: Scott Foster                            1016 La Posada, Suite 120
7600A Capital of Texas Highway              Company Name: Computer - Solution
                                                                                          Austin, Texas 78752
Austin, Texas 78731                         8 Lost Meadow
                                            Austin, Texas 78731
Telephone: 512.681.8170                                                                   Branch Manager: Gayann Reynolds
                                            Telephone: 512.261.1149                       Sales Strata: Growth
                                            Email: sfoster@att.net                        Sales Region: Southern
                                            Agent Code: 5621
-------------------------------------------------------------------------------------------------------------------------
</TABLE>

This Attachment to the AT&T Master Agreement dated July 28th, 2000 between
Customer and AT&T Corp. ("Agreement") covers the below identified AT&T Internet
Services ("Services") and is an integral part of the Agreement.  This Attachment
is effective when signed by Customer and accepted in writing by AT&T ("Effective
Date").

As of the Effective Date, the Services are as follows:

<TABLE>
<S>                                 <C>                              <C>
[_] AT&T Business Internet Service  [X] AT&T Private Label Dial ISP  [_] AT&T Private Label Virtual ISP
</TABLE>

   *These Services are ancillary to, and MUST be accompanied by, an AT&T Web
                           Site Services Attachment.

                                  Page 4 of 4
                               AT&T PROPRIETARY
<PAGE>

                     AT&T PRIVATE LABEL DIAL ISP SERVICES
                              Service Description

1.  SERVICE OVERVIEW

The "Service" is AT&T Private Label Dial ISP Services, a value-added service
providing dial-up access to AT&T's Internet Protocol ("IP") network and other
value added features and options. The Service consists of the following:

 .  Dial access for Customer and its Users to AT&T's managed IP network at
  various points of presence ("POPS")

 .  A RADIUS interface to enable Customer to authenticate its Users

 .  Routing of Customer's and its Users' IP traffic to and from the Internet and
  other IP networks accessible from AT&T's IP network, including value-added IP
  services that Customer elects to provide

 .  Support for a single domain name

 .  Usage information and call detail records

 .  Service reports

 .  Network care

 .  Implementation support

The Service includes physical and encryption-based security for the AT&T systems
that use and store critical billing and management information for the Service,
but does not offer any software or security facilities, firewalls, or filters
between Users and the Internet.

2.  SERVICE FEATURES

2.1  Accessibility

The Service is accessible to Users only in the following countries
("Territory"):

 .  United States (50 states and the District of Columbia and Puerto Rico.

The Service is generally available for access 24 hours per day, 7 days per week,
except for scheduled maintenance. Scheduled maintenance is currently performed
on Sunday mornings from 03:15 am to 04:45 am, Eastern Time; AT&T may change the
time at which scheduled maintenance is performed on notice to Customer. AT&T
reserves the right to interrupt access to the Service as needed to perform
emergency maintenance.

2.2  Points of Presence

The Service provides analog (V.34/V.90) and digital (ISDN) dial-up access at a
number of POPs in the Territory. Not all connectivity options are available at
all POPs. The telephone numbers and connectivity options of the POPs are
available at ftp://ftp.prserv.net/pub/dialtone/phonewsr.1st, or at such other
             ----------------------------------------------
address as AT&T may specify by notice. AT&T will from time to time and in its
sole discretion determine the locations, telephone numbers, connectivity
options, and capacities of the POPs.

In the United States, the Service also provides 8xx telephone numbers for
V.34/V.90 and ISDN access.

2.3  Call Detail Records

Each month, AT&T will provide Customer with call detail records ("CDRs") of its
Users' use of the Service during the previous month. CDRs may be provided
electronically, via e-mail or otherwise.

2.4  Network Usage Reports

Each month, AT&T will provide Customer with Service network usage reports.
Network Usage reports may be provided electronically, via e-mail or otherwise.

2.5.  Network Operations and Service

a.  Network Support

The Network Operations Center ("NOC") for the Service will perform proactive
operations support and troubleshooting of network and service infrastructure and
provide pro-active monitoring of service levels and problem diagnosis and
resolution.

Before the Implementation Completion Date, AT&T will provide Customer with a
standard NOC interface agreement which specifies, among other things, procedures
for communicating with the NOC, problem severity levels, and escalation
procedures.

Customer may contact the NOC for support by 8xx number, AT&T WEB Site and email.
The NOC will only support and accept calls from Customer and will not accept
calls, provide trouble assistance, or interface in any manner with parties other
than Customer, regardless of whether such parties have purchased services from
Customer. All communications with Customer will be in the English language.

b.  Network Status Information

AT&T provides network status information at www.attbusiness.net/netstatus, or at
                                            -----------------------------
such other address as AT&T may specify by notice.

3.  IMPLEMENTATION

During implementation of the Service, AT&T will provide Customer with
documentation and configuration assistance to establish proper communication
between Customer's RADIUS server and AT&T's RADIUS Interface Gateway.

During implementation, AT&T and Customer will cooperate to:

 .  Develop a test and turn-up project plan

 .  Carry out the agreed project plan

4.  CUSTOMER REQUIREMENTS

During the Service Period, Customer must provide the following in connection
with the Service:

 .  Dedicated access (TI minimum, using AT&T facilities) from Customer's RADIUS
  server to the AT&T IP network to support RADIUS authentication, and to support
  Customer's IP value-added services offered to Users

 .  Deploying and managing a RADIUS saver that complies with RFC 2138. and 2139
  standards, and related systems (including the User authentication database)

 .  Ordering, registration, provisioning (including all client software),
  billing, and support for its Users

 .  The domain name to be used for User login IDs

 .  All IP value-added services Customer chooses to offer to its Users (eg, mail,
  personal web page hosting, chat, net news)

 .  All security for its services and systems used or accessible in connection
  with the Service

 .  Blocking concurrent access by Users with the same case-sensitive User ID
  required for per-user pricing, optional for usage-based pricing, see section
  4.E of this Attachment.

 .  Testing of all Customer-provided and third party software and services for
  compatibility with the Service (including new or modified versions throughout
  service period)

 .  Single point of contact for network support

 .  Name, brand, and marks to identify the Service (Customer may not use AT&T's
  name or marks in connection with the Service)

 .  Accurate and timely forecasts of anticipated use

 .  All SMTP gateway addresses used with the Service

 .  E-mail address to receive billing reports

 .  Executed standard AT&T NOC Interface Agreement

 .  An updated list of access numbers for its Users

 .  Correct and complete Postal Mailing Address for invoices, including person or
  department if applicable

                                  Page 1 of 1
                               AT&T PROPRIETARY
<PAGE>

AT&T Private Label Dial ISP Services

                              Service Attachment
Netpliance/Customer Pricing (AMS) Custom Terms (DB-07-13)   DISP CONTRACT#______

<TABLE>
<CAPTION>
-------------------------------------------------------------------------------------------------------------------------------
Customer Name:                             Master Agreement Ref No:  Type of Service:      Initial Service Period:
<S>                                        <C>                       <C>                   <C>
Netpliance                                 ______________________    AT&T Private Label    Three Years
7600 A Capital of Texas Highway                                      Dial ISP Services
Austin, Texas 78731

512.681.8170
-------------------------------------------------------------------------------------------------------------------------------
</TABLE>

This Attachment consists of the following Sections 1-6, Appendix A, Appendix B,
and the Service Description (as defined in Section 1) (collectively, this
"Attachment"). This Attachment, together with the AT&T Master Agreement to which
it is attached ("Agreement"), sets forth the terms on which AT&T will provide
AT&T Private Label Dial ISP Services to Customer during the term of this
Attachment ("Service"). Capitalized terms not defined in this Attachment are
defined in the Agreement.

1.  SERVICE

A current description of the Service is contained in the AT&T Private Label Dial
ISP Services Service Description ("Service Description"), a copy of which
Customer acknowledges having received. AT&T may, from time to time on 30 days'
written notice, change the Service as described in the Service Description and
provided to Customer under this Attachment.

2.  EFFECTIVE DATE AND SERVICE PERIOD

A.  This Attachment is effective when the AT&T Internet Services Cover Page
specifically referencing this Attachment is signed by Customer and accepted in
writing by AT&T ("Effective Date"). This Attachment will continue in effect
until Service to Customer has been terminated under this Section 2.

B.  AT&T will provide written confirmation to Customer when the Service has been
implemented in all material respects, in accordance with the Implementation
Checklist attached hereto as Appendix B, and is operational for Customer
("Implementation Completion Date). Within five days after receiving AT&T's
written confirmation, Customer will notify AT&T in writing of the date on which
the Service will be made available to Users ("First Service Date"), which date
shall be not more than 15 days after the date of AT&T's written confirmation.
Customer may use or access the Service prior to the First Service Date pursuant
to the pricing, and the terms and conditions set forth in this Agreement,
however such usage, if any, shall not be included to retire commitments that
apply during the Initial Service Period or any Renewal Service Period. The
"Initial Service Period" begins on the First Service Date and continues for the
period specified in the box at the top of this page, unless extended under
Appendix A or by mutual agreement. In all circumstances the Initial Service
Period will be extended, if necessary, to the last day of the month in which the
Initial Service Period would otherwise end.

C.  After the Initial Service Period, this Attachment will continue in effect
for additional consecutive one (1) year Renewal Service Periods only if Customer
gives written notice of renewal to AT&T at least 60 days prior to the expiration
of the Initial Service Period or the then current Renewal Service Period.
Otherwise, this Attachment shall continue in effect on a month to month basis,
until terminated by either party giving the other 60 days prior written notice
of termination.

D.  Customer may at any time during the initial Service Period or any Renewal
Service Period terminate Service on 60 days' written notice to AT&T and payment
of the Early Termination Fee specified in Appendix A.

E.  If the First Service Date does not occur within three months after the
Effective Date for any reason other than AT&T's fault or a force majeure, AT&T
may terminate this Attachment on 30 days' written notice to Customer and may
immediately invoice Customer for the Early Termination Fee.

3.  PRICING AND INVOICING

A.  The pricing for the Service is specified in Appendix A.

B.  Payment of the Dial ISP implementation charge ("Implementation Charge") is
due on or before the Effective Date of this Attachment. Each month, AT&T will
invoice Customer for recurring fees and charges incurred during the preceding
month. If the first month of Service is not a full month, any fixed recurring
charges for that month will be prorated based on actual days in the month.

C.  If Customer terminates Service under Section 2.D, or if AT&T terminates this
Attachment under Sections 2.E, 4.B or for Customer's breach, AT&T may
immediately invoice Customer for the Early Termination Fee.

4.  RESPONSIBILITIES OF THE PARTIES

A.  AT&T will make its best commercially reasonable efforts to make the Service
available to Customer as described in the Service Description.

B.  Within five days after the Effective Date, Customer will provide AT&T with a
forecast of its anticipated hours of use of the Service, by access city, for
each of the first six months that the Service is anticipated to be available.
Not later than the 15th day of each month after the First Service Date for the
duration of this Agreement, Customer will provide AT&T with a forecast of its
anticipated hours of use of the Service, by access city, for each of the
following six months. Customer will make its best commercially reasonable
efforts to provide accurate forecasts, basing each forecast on the best
information then available to Customer (including information pertaining to
planned promotional activities) and reasonable assumptions. AT&T will provide an
electronic template that Customer must use to submit its forecasts; AT&T may
from time to time change that template if capacity is an issue. AT&T may take up
to 90 days to build network resources in any of the forecast cities before
Customer may begin boarding new subscribers for that given city. Customer is
encouraged to use actual usage data to revise forecasts for accuracy. If
Customer fails to provide a forecast in accordance with this paragraph AT&T
shall first give Customer prior written notice and a 10 day period to cure any
such forecasting deficiencies. Thereafter, if Customer fails to provide a
forecast in accordance with this paragraph, AT&T may then suspend the Service as
a first measure or terminate this Attachment as a second measure and may
immediately invoice Customer for the Early Termination Fee.

C.  Customer is responsible for marketing to and selecting the Users that
Customer permits to subscribe to the Service.

D.  Customer acknowledges that its and its Users' ability to access the Service
is dependent on Customer's RADIUS server and related systems. Users who for any
reason are not authenticated by Customer's RADIUS server will be denied access
to the Service. Customer is solely responsible for providing backup systems and
communications links to the. extent it deems prudent.

E.  Each concurrent User session must be under a unique User ID. User ID's are
case sensitive. A User ID with the same characters, one or more of which is in a
different case, will be considered individual and unique User lD's. Customer
agrees that it is responsible, either directly or through its Intermediate
Resellers, for prohibiting multiple concurrent sessions under the same User ID.
Breach of this Section 4.E is a material breach of this Attachment.

F.  Customer shall bear all sales, use, and excise taxes, duties, levies, and
other similar charges (including any related interest and penalties but
excluding taxes based upon AT&T's net income or net worth) however designated,
imposed as a result of the existence or operation of this Agreement. If Customer
is exempt from any tax, duty, levy or similar charge, Customer shall provide
AT&T with all required documentation necessary to establish Customer's exempt
status.

G.  AT&T will not directly provide support to nor interact with any User.
Customer is responsible for (i) selecting the Users that Customer permits to
access the Service; (ii) ordering, registration, provisioning (including all

                                  Page 1 of 5
                               AT&T PROPRIETARY
<PAGE>

AT&T Private Label Dial ISP Services

                              Service Attachment

Netpliance/Custom Pricing AMS Custom Terms (DB - 07 - 13)   DISP Contract #_____

client software), training and support for its Users; (iii) billing and
collecting any amounts Customer elects to charge its Users in connection with
the Service, including applicable taxes as identified by Customer; (iv)
resolving all third party complaints concerning Users; and (v) implementing with
its Users appropriate terms, conditions, and measures to ensure that all Users
comply with the terms and conditions of the Agreement and this Attachment, and
that AT&T's liability to each User is limited to the same extent that AT&T's
liability to Customer is limited under the Agreement and this Attachment. If
Customer fails to comply with item (v), Customer shall indemnify AT&T against
any claims that would have been foreclosed had Customer complied with that item.

H.   Customer is responsible for its Content and that of any of its Users
(including any Content hosted by Customer or any User on behalf of third
parties). Customer acknowledges that it has read and agrees to be bound by
AT&T's Acceptable Use Policy ("AUP"). The AUP, as it may be revised from time to
time, is published at www.ipservices.att.com/policy.html or at such other
                      ----------------------------------
address as AT&T may specify by notice. The potential consequences of violating
the AUP are described in the AUP, but include filtering, blocking, or removing
Content, and suspension or termination of affected services. A violation of the
AUP is also a material breach of this Attachment.

I.   To the extent deemed necessary by Customer or as reasonably requested by
AT&T, Customer shall implement security procedures and controls necessary to
limit access to the Service to Customer's authorized Users and shall maintain
facilities and procedures external to the Service for reconstruction of lost or
altered files, data, or programs.

J.   All IP addresses, domain names, and telephone numbers made available by
AT&T on Customer's behalf in connection with the Service shall at all times
remain the property of AT&T or its suppliers and shall be nontransferable, and
Customer shall have no right to use such IP addresses or telephone numbers upon
termination or expiration of this Attachment.

K.   Customer must market and sell the Service under Marks it owns or licenses.
Customer may not use AT&T's Marks in any way in connection with the Service.

L.  Customer must at its expense provide the services and other items specified
as its responsibility in the Service Description.

M.   Customer agrees that its Users may not resell the Service or otherwise make
the Service available to third parties for value. Without limitation, Customer
agrees that it will not knowingly market or sell the Service to ISPs or other
resellers or remarketers.

5.   DISCLAIMER AND LIMITATION OF LIABILITY

A.   PRODUCTS OR SERVICES SOLD OR PROVIDED UNDER ANOTHER CONTRACT OR TARIFF ARE
GOVERNED SOLELY BY THE TERMS OF THAT CONTRACT OR TARIFF, INCLUDING ANY
WARRANTIES, GUARANTIES, OR OTHER OBLIGATIONS OF AT&T LINDER THAT CONTRACT OR
TARIFF.

B.   AT&T SHALL NOT BE RESPONSIBLE FOR: (i) SERVICE IMPAIRMENTS CAUSED BY ACTS
WITHIN THE CONTROL OF CUSTOMER, ITS AGENTS, SUBCONTRACTORS, SUPPLIERS,
LICENSEES, OR USERS; (ii) INTEROPERABILITY OF SPECIFIC CUSTOMER APPLICATIONS;
(iii) INABILITY OF CUSTOMER OR ANY USER TO ACCESS OR INTERACT WITH ANY OTHER
SERVICE PROVIDERS, NETWORKS, USERS, OR INFORMATIONAL OR COMPUTING RESOURCES
THROUGH THE INTERNET; (iv) INTERACTIONS WITH THIRD PARTIES THROUGH THE INTERNET;
(v) SERVICES OR EQUIPMENT PROVIDED BY THIRD PARTIES; OR (vi) PERFORMANCE
IMPAIRMENTS CAUSED ELSEWHERE ON THE INTERNET. AT&T SHALL NOT BE LIABLE FOR
UNAUTHORIZED ACCESS BY THIRD PARTIES TO CUSTOMER'S OR ITS USERS' OR THIRD
PARTIES TRANSMISSION FACILITIES OR PREMISES EQUIPMENT OR FOR UNAUTHORIZED ACCESS
TO OR ALTERATION, THEFT, LOSS, OR DESTRUCTION OF CUSTOMER'S OR ITS USERS' OR A
THIRD PARTY'S NETWORK, SYSTEMS, APPLICATIONS, DATA FILES, PROGRAMS, PROCEDURES,
OR INFORMATION THROUGH ACCIDENT, FRAUDULENT MEANS OR DEVICES, OR ANY OTHER
METHOD.

6.   GENERAL

A.   Unless expressly stated to the contrary, in this Attachment all references
to months are to calendar months, all references to quarters are to calendar
quarters, and all references to days are to calendar days.

B.   AT&T will collect and generate information concerning Customer's Users in
the course of providing the Service to them. Customer grants AT&T the right to
access and use that User information for support, network monitoring and
planning, and. otherwise to fulfill AT&T's obligations under this Attachment. In
addition, AT&T may create and use aggregate statistical information relating to
Customer's Users' use of the Service so long as that statistical information is
not identifiable to Customer or its Users.

C.   Nothing in this Attachment shall create or vest in Customer any right,
title, or interest in the Service, other than the right to use the Service under
the terms and conditions of this Attachment.

D.   AT&T's performance obligations under this Attachment shall be solely to
Customer, and not to any User or other third party. Other than as expressly set
forth herein, this Attachment shall not be deemed to provide Users or other
third parties with any remedy, claim, right of action, or other right.

E.   Customer and AT&T are both independent contractors. Neither party is agent,
legal representative, partner, joint venture, franchisee, employee, or servant
of the other party for any purpose.

F.   If Customer is in the Commonwealth of Puerto Rico or the United States
Virgin Islands, AT&T shall immediately assign this Attachment to AT&T Global
Communications Services Inc., and Customer consents to that assignment.

G.   Customer understands that the Service (including Internet use) may require
registrations and related administrative reports that am public in nature.

________________________________________________________________________________
END_____________________________________________________________________________

                                  Page 2 of 5
                               AT&T PROPRIETARY
<PAGE>

                                  Appendix A
              AT&T Private Label Dial ISP Services Price Schedule

Netpliance/Custom Pricing (AMS)                       DSP Contract #___________

1.   Implementation Charge

The Dial ISP implementation charge ("Implementation Charge") is (*****). The
Implementation Charge is not refundable for any reason, whether upon termination
or cancellation of this Attachment or otherwise.

2.   Monthly Access Charges

A.   Pricing Selections
     ------------------

1.        Pricing Method (must choose one):

               [X] Per-user pricing
               [_] Usage-based pricing

If Customer has not selected one of the above Pricing Methods prior to the
Effective Date of this Attachment, usage-based pricing shall apply.

2.        Monthly Commitments (must choose one only):

          If Per User Pricing selected:

               [X] (*****) Users

          If Usage-based Pricing selected:

               [_] (*****) Usage Hours
               [_] (*****) Usage Hours
               [_] (*****) Usage Hours
               [_] (*****) Usage Hours
               [_] (*****) Usage Hours
               [_] (*****) Usage Hours
               [_] (*****) Usage Hours

If Customer has not selected one of the above Monthly Commitments prior to the
Effective Date of this Attachment, the lowest commitment specified above for the
applicable Pricing Method shall apply.

The initial pricing of the Service is based on the Pricing method and commitment
selected by Customer. At any time during the Initial Service Period or a Renewal
Service Period, Customer may by written notice request a higher commitment from
AT&T's standard tables of Pricing and commitments for the Service, which AT&T
will provide to Customer on request.

The pricing described above applies during the Initial Service Period and
Renewal Service periods. However, for Service provided during Renewal Service
Periods, AT&T may at its option notify Customer that Pricing will correspond to
the lowest commitment for AT&T's then-current standard usage-based pricing
table; otherwise, pricing will be determined as it was during the last month of
the Service Period.

B.   Per-User Pricing
     ----------------

The Dial ISP Monthly Access Charge using per-user pricing is determined as
follows:

"Billing Month" means a one month period with respect to which AT&T bills
Customer for the Service. The first Billing Month ends on the last day of the
month that includes the First Service Date.

"Unique User" means a User who accesses the Service with a unique User ID
provided by Customer, consistent with section 4.E of this Attachment

"Total Unique Users" means the aggregate number of Unique Users who access the
Service during a Billing Month. A Unique User who accesses the Service more than
once during a Billing Month is counted only one time when determining the Total
Unique Users for the Billing Month.

Section 1

A.   The price in the right hand column of the Table I below shall apply in the
billing month following the billing month in which Customer met or exceeded the
corresponding threshold in the left-hand column. Such price shall apply on a
going forward basis for so long as Customer satisfies the corresponding
threshold requirement.

                                 Table 1
                ----------------------------------------------
                                      Price Per Unique User
                     Customer's             Per Month
                  User Commitment            3-Year
                                         Service Period
                                             (*****)
                                          of Usage per
                                      Subscriber per month
                --------------------------------------------
                      (*****)                (*****)
                --------------------------------------------

B.   Table IA below constitutes Customer's "Ramp Commitments" during this
agreement.

                                  Table 1A
                               Ramp Commitment
           --------------------------------------------------------
              Ramp Commitment Date           Minimum Unique User
                                                 Commitment
           --------------------------------------------------------
                    12/31/2000                     20,000
           --------------------------------------------------------
                    03/31/2001                    100,000
           --------------------------------------------------------
                    09/30/2001                    140,000
           --------------------------------------------------------
                    03/31/2002                    200,000
           --------------------------------------------------------

The Base Monthly Charge per Unique User will be (*****) unless Customer reaches
any of the levels contained in Table 1. Should this occur, then the price per
Unique User shall be determined according to the prices in Table 1, under the
guidelines in section 1a, above. Otherwise in any month in which Customer's
Unique Users is below the thresholds in Table 1 above, the terms in the
paragraph 1.C below shall apply.

C.   If Customer fails to meet any of the above Ramp Commitments by the relevant
Ramp Commitment Date, then Customer shall be charged a monthly Price per Unique
User of (*****) for the entire Minimum Unique User Commitment in question
("Failure Charge"). The Failure Charge shall be in effect for any month after
the relevant Ramp Commitment Date in which the Minimum Unique User Commitment
for the Ramp Commitment Date in question is not met. By way of illustration
only, should Customer have 18,000 Unique Users for the month of January 2001,
the Customer shall be charged (*****) for its Unique Users for January, 2001
and for any other month until March 2001 in which Customer does not achieve
20,000 or more Unique Users.

In addition to the Base Monthly Charge, there are three usage-based Monthly
Surcharges, determined as follows:

The duration of each Dial ISP access session is recorded in increments of 3.6
seconds, with any fractional portion of 3.6 seconds rounded up to the next 3.6
second increment. The minimum recorded time per session is 3.6 seconds. Dial ISP
access sessions are then aggregated during each Billing

[*****=information that has been omitted and filed separately with the
       Securities and Exchange Commission. Confidential treatment has been
       requested with respect to the omitted portions.]

                                  Page 3 of 5
                               AT&T PROPRIETARY
<PAGE>

                                  Appendix A
              AT&T Private Label Dial ISP Services Price Schedule

Netpliance/Custom Pricing (AMS)                       DSP Contract #___________

Month by the following types of connectivity: local V.34/V.90; 8xx; and ISDN.

The Monthly Surcharge for all 8xx connectivity is equal to the aggregate session
time for that connectivity multiplied by (*****) per hour.

The Monthly Surcharge for all ISDN connectivity is equal to the aggregate
session time for that connectivity multiplied by (*****) per B channel per hour.

The hourly surcharge per Subscriber is (*****) per hour after the (*****) of
V.34/V.90 connectivity per month. If a Subscriber uses more than (*****) of
the service in a month, the applicable Monthly Surcharge for the Subscriber is
the number of hours by which Subscriber exceeded the (*****) multiplied by
(*****). The Total Monthly Surcharge is the sum of all such individual Monthly
Surcharges incurred in that particular month.

The total Dial ISP Monthly Access Charge is equal to the Base Monthly Charge
plus all of the Monthly Surcharges.

C.   Usage-Based Pricing
     -------------------

The Dial ISP Monthly Access Charge using usage-based pricing is determined as
follows:

The duration of each Dial ISP access session is recorded in increments of 3.6
seconds, with any fractional portion of 3.6 seconds rounded up to the next 36
second increment.  The minimum recorded time per session is 3.6 seconds.  Dial
ISP access sessions are then aggregated by the following types of connectivity:
local V.34/V.90;  8xx; ISDN; and the aggregate of all usage regardless of the
type of connectivity.

The Base Monthly Charge for each of the first three billing months following the
First Service Date consists of three components:

     .    The aggregate access session time for local V.34/V.90 connectivity
          multiplied by the respective price corresponding to Customer's Hour
          Commitment in the applicable table below

     .    The aggregate access session time for local ISDN connectivity
          multiplied by the respective price corresponding to Customer's Hour
          Commitment in the applicable table below

     .    The aggregate access session time for 8xx connectivity multiplied by
          (*****) per hour

The Base Monthly Charge for the fourth billing month following the First Service
Date and each succeeding billing month consists of the same three components as
above, except that the local V.34/V.90 aggregate access session time is first
adjusted by adding the number of hours, if any, by which Customer's Hour
Commitment exceeds the aggregate of all usage regardless of the type of
connectivity for that month.

                         Table 2
 --------------------------------------------------------
                            2 Year Service Period
                    -------------------------------------
                                           Local ISDN
                    Local V.34/V.90       Access Price
   Customer's         Access Price           Per B
 Hour Commitment        Per Hour        Channel Per Hour
---------------------------------------------------------
      (*****)            (*****)             (*****)
---------------------------------------------------------
      (*****)            (*****)             (*****)
---------------------------------------------------------
      (*****)            (*****)             (*****)
---------------------------------------------------------
      (*****)            (*****)             (*****)
---------------------------------------------------------
      (*****)            (*****)             (*****)
---------------------------------------------------------
      (*****)            (*****)             (*****)
---------------------------------------------------------
      (*****)            (*****)             (*****)
---------------------------------------------------------

[*****=information that has been omitted and filed separately with the
       Securities and Exchange Commission. Confidential treatment has been
       requested with respect to the ommitted portions.]

                                  Page 4 of 5
                               AT&T PROPRIETARY

<PAGE>

                                  Appendix A
              AT&T Private Label Dial ISP Services Price Schedule

Netpliance/Custom Pricing (AMS)                       DSP Contract #___________

                         Table 3
---------------------------------------------------------
                           3-Year Service Period
                    -------------------------------------
                                           Local ISDN
                    Local V.34/V.90       Access Price
   Customer's         Access Price           Per B
 Hour Commitment        Per Hour        Channel Per Hour
---------------------------------------------------------
    (*****)             (*****)              (*****)
---------------------------------------------------------
    (*****)             (*****)              (*****)
---------------------------------------------------------
    (*****)             (*****)              (*****)
---------------------------------------------------------
    (*****)             (*****)              (*****)
---------------------------------------------------------
    (*****)             (*****)              (*****)
---------------------------------------------------------
    (*****)             (*****)              (*****)
---------------------------------------------------------
    (*****)             (*****)              (*****)
---------------------------------------------------------

The total Dial ISP Monthly Access Charge is equal to the Base Monthly Charge;
there are no Monthly Surcharges for usage-based pricing.

3.   Early Termination Fee

a.   For termination by AT&T under Section 2.E of the Attachment, the Dial ISP
Early Termination Fee is $50,000.

b.   In all other circumstances, the Dial ISP Early Termination Fee is equal to
Customer's then-current commitment multiplied by the price corresponding to that
commitment (for local V.34/V.90 access, in the case of an hour commitment), with
the result multiplied by the number of months remaining in the Service Period
after the effective date of termination, and that result multiplied by one-
quarter.

________________________________________________________________________________
END_____________________________________________________________________________

[*****=information that has been omitted and filed separately with the
       Securities and Exchange Commission. Confidential Treatment has been
       requested with respect to the omitted portions.]

                                 Page 5 of 5
                               AT&T PROPRIETARY
<PAGE>

Appendix B

             AT&T Private Label Dial ISP Implementation Checklist

Netpliance/Custom Pricing (AMS)                         DISP Contract #_________

[_]
    Concept/Requirements Phase
------------------------------

a.   Project Kick-off
     ----------------
 .    Received Signed Contract
 .    DNAE Orders Dedicated Line (Circuit ID _________/ Due Date ______________)
 .    Account ID Created
 .    Service Administrator (SA) IDs Created
 .    Project Manager Assigned
 .    Pre-Concept Filter/Project Tracking Tool Entries Created
 .    Technical Account Manager (TAM) Assigned
 .    Project Team Kickoff Meeting
 .    Customer Kickoff Meeting

b.   Requirements Development
     ------------------------
 .    DISP 12 Month Forecast Received from Customer
 .    DISP Authentication Process Document given to Customer
 .    Identify Billing Requirements
 .    Identify Service Reporting Specs
 .    Network Operations Center (NOC) Procedure Document given to Customer
 .    Data Configuration Questionnaire given to Customer
 .    Receive Customer Network Design Document from Customer
 .    Project Requirements - Customer Sign-off received
 .    Project Plan Developed

[_]
    Development Phase
---------------------
     .    AT&T Capacity/ Planning to analyze Forecast Data
     .    Develop Billing Reports
     .    Develop BA/T (Billing) Reports
     .    Standard Reports Setup
     .    Enable E-mail Notification of Phone Number Changes
     .    Profile Custnotes
     .    Dedicated Line Installation Complete
     .    Define Customer's RADIUS Server to Service Manager
     .    Create Model AA-MDL
     .    Define Logon String Rules
     .    Define Domain Name Server (DNS) Addresses
     .    Define SMTP Addresses
     .    Create Fenced Registration List (Optional)
     .    Define Dynamic Filter Lists (Optional)
     .    Profile Account / SA IDs to access Help desk web interface

[_]
    Qualify Phase
-----------------
 .    Perform Pilot Enablement Testing
 .    Perform Production Enablement Testing
 .    Review signed NOC Agreement / Help Desk Web Site walk thru

[_]
    Installations/Launch Phase
------------------------------
 .    Implementation Completion Date Notification to Customer
 .    Lifecycle Transition / To TAM
 .    Lifecycle Transition / To NOC Support
 .    Project Close Out Documentation

[_]
    Implementation Completion Date      /    /    /
--------------------------------------------------

                                 Page 6 of 5
                               AT&T PROPRIETARY
<PAGE>

                                                       DISP Contract #__________

AT&T Private Label Dial ISP Term Sheet:

Price Schedule Information:

____  Per-user
  __________  Commitment level
  __________  Price per user

_____ Usage-based
  __________  Commitment level
  __________  Local Access Price
  __________  ISDN Access Price

Please summarize below ANY modifications to the Standard Terms listed in
Appendix A for Dial ISP Services:

_________________________________________________________

_________________________________________________________

_________________________________________________________

_________________________________________________________

                                 Page 1 of 1
                     This Page for AT&T Internal Use Only
                  This is not part of the DIAL ISP Attachment

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00017-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00017-of-00352.parquet"}]]