Artisoft Introduces TeleVantage 3.5; Artisoft's TeleVantage Expands Market Reach with Windows 2000 Compatibility and Enhanced International and Internet Capabilities.

Business/Technology Editors

CAMBRIDGE, Mass.--(BUSINESS WIRE)--June 12, 2000

Artisoft(R), Inc. (NASDAQ:ASFT) today announced the release of TeleVantage(R) 3.5, the newest version of its award-winning software-based phone system. With TeleVantage 3.5 small- and medium-sized businesses (SMBs) and corporate branch offices worldwide will benefit from Microsoft Windows 2000(R) compatibility, BRI ISDN support, international language capabilities, IP gateway enhancements and increased application programmability. These new additions will advance global relationships, extend TeleVantage's current Internet offerings and expand third-party development opportunities.

"Our development of Windows 2000, BRI ISDN and international language support is in direct response to the needs of our customers and third-party application developers worldwide as we rapidly expand into new markets," Steve Manson, senior vice president and general manager of Artisoft. "This latest version also addresses the needs of customers who are using our IP telephony features to connect calls between branch offices."

Key features include:

--Microsoft Windows 2000(R) Compatibility

In addition to Windows NT, TeleVantage 3.5 supports Windows 2000, Microsoft's newest business operating system for the next generation of PC computing. Gartner Group predicts that by the year-end 2001, between 45 and 50 percent of the 1999 commercial installed base of Windows NT Server will be upgraded or refreshed with Windows 2000.(1)

--Basic Rate Interface (BRI) Support

TeleVantage 3.5 supports BRI ISDN, a cost-effective network interface available in most countries. BRI has now become a de facto standard for companies, especially among small- and medium-sized businesses (SMBs), that deploy ISDN to inexpensively send clear digital signals over regular phone lines. Analog, T-1, E-1 and PRI interfaces are also supported to address the needs of a full range of customers.

--Localization Toolkit

A toolkit is also available with version 3.5, that allows users to easily make adjustments to their voice-guided interfaces and choose the appropriate language(s) for their phone system. Each TeleVantage 3.5 phone system supports multiple languages, and where appropriate, callers are asked to identify their spoken language to guide them through their call.

--IP Enhancements

For businesses that rely on the Internet as a critical part of their communication systems, TeleVantage now includes support for a low-cost four-port VoIP card and new IP Gateway administration. The new VoIP cards provide SMBs with a lower cost of entry for VoIP that is fully integrated with their phone system, rather than a pricey external add-on. The IP Gateway administration facilitates the creation of connections between corporate branch offices and other office locations.

--Increased Programmability

TeleVantage 3.5 includes added programmability with a TeleVantage Software Development Kit (SDK) that allows developers and resellers to customize and add functionality to TeleVantage to meet the needs of specific customers and vertical markets. The latest programmability functions provide an interface for IVR Plug-Ins(TM) to make outbound calls and provide a device status API so that third-party devices can monitor user availability.

--E-911 Technology

TeleVantage now easily integrates with third-party devices to provide a complete E-911 solution for SMBs, allowing them to comply with the requirements set forth by many state and local agencies. This technology enables emergency services to identify the precise location and direct phone number of a caller, making it a practical technology for businesses that occupy multiple floors or buildings.

--PCI Support

The addition of PCI support to this newest version allows users to integrate TeleVantage seamlessly with virtually any PC. TeleVantage now supports Dialogic's new series of telephony cards based on the PCI form factor. This allows TeleVantage customers and resellers to utilize a broader range of server platforms including standard off-the-shelf servers supplied by major PC vendors.

--Other Enhancements

Reducing total cost of ownership and easing administration tasks, TeleVantage 3.5 allows the office administrator to upgrade the server and clients without having to notify to all of the users on the network. Also, TeleVantage now supports the newest versions of Lotus Notes - Release 5, ACT 2000 and GoldMine 5.

"As a small business, we depend on cutting edge long-term technology that can provide us with the latest phone system capabilities, and is able to easily integrate with our existing infrastructure," said Stephen Wood, President of Business Logic. "TeleVantage continues to impress us with its innovative features and benefits and its ability to proactively stay ahead of our needs and expectations."

"In Artisoft, we've found a partner that continues to deliver proven computer telephony solutions that are geared towards SMB owners and corporate branch offices," said Rolf Hertling, managing director for ALR, Inc. "These latest International-driven enhancements afford us the opportunity for massive expansion for the TeleVantage product into the European marketplace to meet the demand from businesses looking to increase their productivity by easily implementing an open, software-based phone system."

TeleVantage 3.5 is now available exclusively through Artisoft's network of Value Added Resellers (VARs). TeleVantage 3.5 supports up to 264 extensions and up to 96 trunk lines, including analog, T-1, E-1, ISDN PRI and BRI. Suggested end-user prices are $200 for each trunk or $100 for each station or client. Suggested end-user price for server software is $200. Voice over IP licenses are available at $250 per port and ACD Reporter is priced as low as $50 per agent.

About Artisoft

Artisoft, Inc. (NASDAQ:ASFT) of Cambridge, Mass., is a leading developer of software-based phone systems for small- to medium-sized businesses and corporate branch offices. Artisoft's innovative software products have received more than 100 industry awards including "Product of the Year", "Best of Show" and "Editors' Choice" by PC Magazine, Network Magazine, VARBusiness, CT Magazine, Communications Solutions Magazine and CTI Magazine among others. The company distributes its products worldwide. For more information, please call Artisoft at 800-914-9985 or visit (http://www.artisoft.com).

"Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995:

This release may contain forward-looking statements that involve risks and uncertainties. Among the important factors which could cause actual results to differ materially from those in the forward-looking statements are the impact of competitive products and pricing, product demand and market acceptance risks, the presence of competitors with greater financial resources, product development and commercialization risks, costs associated with integration and administration of acquired operations, capacity and supply constraints or difficulties, the results of financing efforts and other factors detailed in the Company's filings with the Securities and Exchange Commission including its recent filings on Forms 10-K and 10-Q.

Artisoft and TeleVantage are registered trademarks of Artisoft, Inc. All other company and product names mentioned may be trademarks or registered trademarks of the respective companies with which they are associated.

(1) Gartner/Ed Younker/March 15, 2000