Exhibit 99.1

      C-Phone Corporation Introduces TV Set-Top Device for Internet Access

    C-Phone ITV(TM) Offers World Wide Web Access Through Any Internet Service
                Provider Along With Network Computer Capabilities

WILMINGTON, N.C., May 13 /PRNewswire/ -- C-Phone Corporation (Nasdaq: CFON
- - news) announced today the introduction of C-Phone ITV, a TV set-top device
that provides Internet access using a television and a regular analog phone
line. C-Phone ITV is the latest addition to the Company's expanding set-top box
product line, all of which use standard television sets and phone lines to
provide users with various forms of video, voice and data.

C-Phone ITV is an embedded system Internet browser capable of connecting to any
Internet Service Provider by a dial-up connection. It is completely self
contained and does not require a personal computer. Simple connections to any
television set and access to an analog phone line are all that are required. A
wireless, infrared, ergonomically-designed keyboard, which also functions as a
universal remote control, comes standard with the unit. C-Phone ITV allows the
user to navigate and explore the Internet, send and receive e-mail, gather
information and shop electronically all by way of the TV set. A unique hardware
key allows easy configuration, stores the Internet account information for each
individual user and serves as a lock-out device to prevent unauthorized or
unsupervised use. C-Phone ITV offers many of the same features commonly
available on PC Internet browsers. Secure Socket Layer (SSL) protocol is
included for safe online Internet purchases via credit card. Users may view and
play a wide range of sound, animation, and graphic file formats that they
retrieve from the Internet.

The C-Phone ITV has a printer port with built in drivers to directly support
over 150 different printers. Standard composite video and S-Video outputs are
provided with RF output for channel 3 or 4 available optionally. The unit also
features stereo audio outputs. Higher resolution VGA computer monitors can be
connected as well, and a mouse or wired keyboard can be used in place of the
wireless keyboard.

A web browser is embedded in the unit. Users have access to full HTML 3.2
support which includes many Netscape Navigator(TM) and Microsoft Internet
Explorer(TM) HTML extensions. SSL connections can be made for encrypted
connections and safe, private online credit card purchases. Users can play a
wide variety of video, audio, and graphic files. Horizontal scaling of web pages
is done dynamically, and text size can be increased for easier reading. A
variety of additional capabilities, including network computer functionality and
Java(TM) support, can be added to the C-Phone ITV through ROM card upgrades.
According to Daniel Flohr, Chairman of C-Phone, "The C-Phone Internet TV, or
ITV, is a natural extension of our video phone


                                       3



set-top products. These products all express our basic philosophy of providing
easy- to-use TV set-based information devices which use universally available
phone services for connections to deliver video, voice or data." Mr. Flohr
continued, "We are now supplying this product to our business and institutional
partners. Retail distribution plans will be announced shortly."

C-Phone Corporation ( http://www.cphone.com ) is an innovator in the design and
manufacture of video communication products. The Company continues to expand its
TV set-top video phone product line of competitively priced, easy-to-use TV
set-top based information devices which utilize the television and universally
available phone services for connections to deliver video, voice and data.