A series of lithium metaphosphate glasses, containing different amounts of water, was prepared. The water content was determined from the weight-loss of specimens during heating in vacuum. It is found that dissolved water influences the internal friction and dielectric losses, in the same way as additions of dissimilar alkali ions do. With respect to the physical properties under discussions, one can consider water as an 'alkali-oxide'. The intermediate temperature peak is increased in magnitude and shifted to lower temperatures with increasing water content. Extrapolation of the present results to the water-free composition shows that the intermediate temperature peak will be absent in the water-free glass.