Artisoft Signs Computer Telephony Agreement With Intel; Companies to Deliver Standards-Based Software-PBX.

Business/Technology Editors

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

Artisoft(R), Inc. (NASDAQ: ASFT) today announced it has signed a contract with Dialogic, an Intel(R) company, setting into motion plans to deliver a jointly developed software-based phone system. Under the terms of the agreement first announced November 15, 1999, Artisoft will port TeleVantage(R), the industry leading software-PBX, to the Intel's CT Media open software platform. The move is expected to help accelerate the shift from proprietary phone systems to open, standards-based systems.

Last month, Artisoft began shipping version 3.0 of its award-winning TeleVantage software-PBX phone system. TeleVantage 3.0 is a flexible, upgradable software solution that operates on Windows NT systems and uses off-the-shelf computer, wiring and telephony hardware. It enables small- to medium-sized businesses (SMB's) to save time, money and resources while portraying an enhanced professional image. With CT Media, customers can easily integrate new and existing standards-based applications on a single communications server. This cooperative effort provides an adaptable, long-term solution that allows customers to work with their chosen best-of-breed applications and continues to increase in value over time.

"The powerful combination of these recently introduced standards and the agreement with Intel signifies the inevitable explosion of the software-PBX market," said T. Paul Thomas, president and CEO of Artisoft. "In addition, Intel's open, standards-based software platform enables customers to remain current in the marketplace, without fear of their systems becoming obsolete.

CT Media is an open software platform for designing standards-based telecommunication servers that support computer telephony applications such as messaging, fax, automatic call distribution and other applications from different vendors. Intel and its Dialogic subsidiary are committed to making the CT Media platform the centerpiece for enabling next generation converged voice and data Internet solutions.

TeleVantage 3.0 is now available for purchase exclusively through Artisoft's network of value-added-resellers (VARs). TeleVantage 3.0 supports up to 264 extensions and up to 96 analog, T-1, or E-1 trunk lines, including ISDN PRI. Pricing for the combined Artisoft/Intel solution will be determined at a later date. The new open-standards solution from Artisoft and Intel is expected to ship during the summer of 2000.

In addition, as part of this contract Intel acquired the rights to Artisoft's widely recognized Visual Voice(R) product line, the industry's most flexible telephony development toolkit. Specific financial details were not disclosed.

About Artisoft

Artisoft, Inc. (NASDAQ: ASFT) of Cambridge, Mass., is a recognized leader in providing easy-to-use, affordable computer telephony and communications software solutions for small-to medium-size businesses. 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, VARBusiness, Computer Telephony Magazine and CTI Magazine among others. The company distributes its products in more than 100 countries around the world. 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. There can be no assurances that the company will achieve a final agreement with Intel in the terms as defined in the above press release. 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, TeleVantage and Visual Voice 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.