Accord Networks Developing the First Visual Communications Networking System to Support The New PictureTel 900 Series.

Business Editors & Technology Writers

ATLANTA--(BUSINESS WIRE)--Aug. 4, 2000

Accord's Industry Leading Visual and Voice Communications Networking

Solution Chosen to Support Next-Generation

of Videoconferencing Products

Accord Networks Ltd. (Nasdaq:ACCD), a leading manufacturer and distributor of an advanced product line of network switches, gateways and management systems for real-time, point-to-point and multipoint visual and voice communications today announced that the company is working with PictureTel Corporation (Nasdaq:PCTL) to build support for the new PictureTel 900 Series into the award-winning Accord MGC.

The Accord(R) MGC will be the industry's first visual communications networking solution that enables multiple Series 900 users to simultaneously communicate in real-time visually, via voice and data over various networks, including IP, ATM, and ISDN. This support broadens the market for Accord products when PictureTel customers need multipoint capability when using the 900 Series. Also the large installed base of PictureTel customers currently using second-generation, or legacy MCUs will realize the benefits of the PictureTel 900 Series features by upgrading to the Accord MGC.

The new PictureTel systems are the first built on the iPower(TM) software and hardware architecture, developed collaboratively by PictureTel and Intel. The Series 900 support is expected to be available from Accord by the end of 2000 and will include:

--  PictureTel's patent-pending People+Content(TM) technology, which
    handles people and content, such as paper documents, Web files,
    word processing, presentations, and spreadsheet files

--  The ability to easily leverage content from multiple appliances

--  Improved call reliability with PictureTel's Sure Connect(TM) and
    Network Optimizer(TM) patent-pending technology

"We are pleased to be working with PictureTel to ensure that PictureTel 900 Series users will be utilizing the best in multipoint visual communication," said Phil Keenan, senior vice president of worldwide sales and marketing at Accord. "As more and more video systems are deployed, the need for multipoint communications, as well as the requirement to communicate between dissimilar networks, increases and Accord will continue to develop the types of products required by this market."

"Accord has long recognized the industry's challenges, and has attacked the problem with innovation in their products," states Peter Nutley, senior director, product management, PictureTel. "We are pleased to work together with Accord today as we launch solutions that eliminate these challenges and deliver the benefits of integrated collaboration."

Recently named Product of the Year by the publishers of Internet Telephony, the Accord MGC offers several essential features including a high call completion rate, ease of management, and an advanced feature set that includes six layouts of Continuous Presence, Multi-way Transcoding, Touch-Tone Conference Management and an award-winning, user friendly Greet and Guide(TM) capability.

Accord Networks

Accord Networks is a leading, manufacturer and distributor of the Accord MGC product family, an advanced product line of network switches, gateways and management systems that provide comprehensive solutions for real-time, point-to-point and multipoint visual, voice and data communications over networks that utilize the Internet Protocol, as well as ATM and ISDN networks. The MGC family includes the MGC-100(TM), MGC-50(TM), MGC WebCommander(TM) and Virtual Conference Suite. The MGC-100 and MGC-50 are known for their unprecedented multipoint, point-to-point and gateway functionality, scaleable architecture, advanced feature set, ease of maintenance and single platform multi-network connectivity. The Accord MGC management solutions empower the user with easy call set-up, control and diagnostics over the Web. The MGC-100 and MGC-50 are cornerstone solutions that connect an array of real-time communication devices including POTS/PSTN telephones, Internet telephones, conference-ready PCs and TV set-top units, as well as high-end conferencing systems. Accord has partnered with leading end-point manufacturers and system integrators whose products and services, when combined with the MGC family, provide business enterprises, medical and educational institutions and government agencies with a broad range of visual, voice and data solutions. Such solutions include business conferencing, distance learning and telemedicine applications on a worldwide basis. The MGC family is also ideally suited for Service Providers including newer generation ISPs, ASPs and CLECs. The family enables service providers to deliver traditional applications as well as new valued-added visual and voice communications services - such as visual e-commerce, visually enabled call centers, visual chat rooms and voice over IP - across broadband access networks like xDSL and cable modems. For more information visit the Accord web site at www.accordnetworks.com.

Accord is a registered trademark of Accord Networks. MGC-100, MGC-50, Greet and Guide and MGC WebCommander are trademarks of Accord.

People+Content is a trademark of PictureTel Corporation.

This press release contains forward-looking statements that are subject to risks and uncertainties. Factors that could cause actual results to differ materially from these forward-looking statements include, but are not limited to, delay in product development, general business conditions in the industry, changes in demand for products, the timing and amount or cancellation of orders and other risks detailed from time to time in Accord Networks' filings with the Securities and Exchange Commission, including Accord Networks' Form F-1 registration statement.