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Polycom VSX 7000 Sets Unprecedented Quality and Performance Standard for Video Conferencing.

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PLEASANTON, Calif.--(BUSINESS WIRE)--Oct. 6, 2003

New group video conferencing system delivers television-like

video, H.264 video compression, and near CD quality audio in an

affordable, customizable, easy-to-use system

Polycom(R), Inc. (NASDAQ:PLCM), the world's leader in video and voice conferencing, conference bridges, and integrated web collaboration solutions, yet again sets a new quality and performance standard for video conferencing systems with the introduction of the Polycom VSX(TM) 7000. A new group video conferencing system, the Polycom VSX 7000 delivers unparalleled audio and video quality, ease of use and overall value in an entry-level system that grows with an organization's evolving needs. The Polycom VSX 7000 will drive wider adoption of video conferencing by delivering TV-like video and near-CD-quality audio, and enabling more efficient bandwidth use through H.264 video compression, in an affordable system that is easy to deploy, use and manage.

"The audio and video quality of the Polycom VSX 7000 are stunningly satisfying," said Andrew W. Davis, managing partner of Wainhouse Research. "Polycom has redefined 'entry-level' by delivering remarkable quality and performance in a system that is easily cost-justified at a time when conferencing and collaboration applications are increasingly mission-critical in organizations with dispersed work groups. The Polycom VSX 7000 will help companies realize significant productivity, competitive and cost-savings advantages from faster decision-making and time to market. Polycom has taken another significant step in making video conferencing more accessible to a broader base of users."

The best audio and video quality available

Polycom VSX 7000 features the most advanced audio and video technologies, including:

-- CD-quality audio - Polycom's Siren 14(TM) Plus (14khz)

wideband audio, complemented by an embedded high-fidelity

speaker for midrange sound, a subwoofer and 360-degree

microphone array, enhance the naturalness of sound.

-- TV-quality video - ProMotion(TM) video (60 fields-per-second,

full-screen video) provides TV quality previously reserved for

more expensive video conferencing systems.

-- Higher quality over lower bandwidths - H.264 video compression

delivers twice the video quality over the same bandwidth or

current quality at half the bandwidth. H.264 is also currently

available on iPower(TM) and MGC(TM) products and is planned

for availability as an option on the ViewStation(R) EX,

ViewStation FX and VS4000(TM) models in early 2004*.

-- Video and audio error concealment - Another Polycom

technology, automated error concealment prevents video and

audio dropping out when network traffic becomes heavy. Audio

error concealment, introduced for the first time on the

Polycom VSX 7000, represents another technology first from

Polycom.

-- Multiple network support - The Polycom VSX 7000 provides

customers with a choice of network interfaces, IP, ISDN and

Serial/V.35, to suit their environment; especially useful for

companies migrating from ISDN to IP networks.

Breakthrough ease of use and management

The Polycom VSX 7000 features:

-- New, customizable user interface - The intuitive user

interface can be configured from simple to sophisticated

functionality to meet specific business needs through color

themes, camera icons for educational, medical or judicial

applications, scrolling user instructions and a Kiosk mode

that enables stand-alone kiosk applications to be a reality,

such as a banking kiosk in a grocery store.

-- Simplified dialing - A "recent calls" feature provides a call

quick list of up to 99 in-bound and out-bound call numbers

enabling users to instantly dial recent meeting participants.

-- New remote control - Color coordinated function buttons

simplify navigation. Polycom remotes can now be used

interchangeably across ViewStation(R) products and the Polycom

VSX 7000.

-- Call detail reporting - This administrative feature enables

easy tracking of call activity, including percentage of IP and

ISDN calls, call duration, and total number of calls by

network type.

-- Dual Monitor Emulation - Another technology first, users can

now display near and far video side-by-side on a single

monitor, saving both space and financial investment in

additional displays.

-- International language support and native language management

- Support for 11 language translations in the user interface,

remote controls, documentation, web interface and audio keypad

confirmation simplify worldwide deployment. International

management capabilities enable administrators to access and

manage a system through a web interface in their language of

choice, regardless of the language in which the actual

endpoint is configured.

Unmatched expandability and versatility extend customer investment

The Polycom VSX 7000 extends the life of video conferencing investments with:

-- Integrated multipoint software licenses - Support dial-in and

dial-out, mixed-network multipoint capability for up to four

sites over IP/ISDN.

-- Plug-and-play, dual-stream data sharing - People+Content(TM)

enables users to view people and high-resolution content

simultaneously, while VisualConcert(TM) enables

high-resolution plug-and-play data sharing from a personal

computer or laptop.

-- Advanced embedded encryption -AES encryption enables secure

video calls on IP or ISDN. Availability of AES encryption as

an option on other Polycom systems is planned for early 2004*.

"We are extremely impressed with the quality and capabilities of this new system," said Bill Johnson, director of network operations for Oklahoma OneNet, Oklahoma's official telecommunications, information and knowledge network for government and education and one of the largest IP video networks in the U.S. "We are able to help ensure an easy user experience by customizing the user interface and automating call settings, and we can ensure the best quality of service by setting different precedent levels for both audio and video within the system. The additional support of AES encryption enables us to provide an important security feature for our medical, law enforcement and state government customers. Overall, the Polycom VSX 7000 is another example of how Polycom continues to lead the video conferencing market in delivering truly revolutionary products."

"Our goal is to make collaboration technology like video conferencing as integral a business tool as the telephone and as easy to use," said Ed Ellett, senior vice president and general manager of video communications for Polycom. "Users prefer video conferencing because it provides the closest experience to being there. Organizations prefer video conferencing for the cost cutting and productivity enhancing benefits they provide. The Polycom VSX 7000 is revolutionary for both audiences and will ensure videoconferencing is accessible to everyone."

Polycom VSX 7000 is an integrated part of the Polycom Office(TM), a strategy for integrating voice, video, web and data conferencing into a single user experience, and is compatible with other Polycom endpoints, multipoint control units and management systems. The current Polycom line of group video conferencing systems include (from SOHO and entry-level to performance): ViewStation SP, Polycom VSX 7000, ViewStation EX, ViewStation FX, VS4000 and iPower 9000 series.

Pricing and Availability

The Polycom VSX 7000 comes standard with a subwoofer, built-in mid-range speaker, 360-degree microphone array and newly designed remote control. The Polycom VSX 7000 is now available globally through Polycom channel partners beginning at a suggested retail price of $5,999 in the U.S. The Polycom VSX 7000 includes a one-year hardware and 90-day software warranty. For the first year, Polycom also includes telephone help desk support, software updates and upgrades. Customers can purchase a higher level of service from a Polycom channel partner at very attractive pricing, particularly for multi-year agreements.

About Polycom

Polycom, Inc. is the world's technology leader of high-quality, easy-to-use video, voice, data and web conferencing and collaboration solutions. The Polycom Office(TM) is our continued commitment to make distance communications as natural and interactive as being there by providing best-in-class conferencing solutions that are interoperable, integrated and intuitive to the user. The Polycom Office is based on industry standards and supported by an open architecture that promotes interoperability in multi-vendor environments and complements leading network infrastructure platforms. For additional information, call 1-800-POLYCOM (765-9266) or +1-408-526-9000, or visit the Polycom web site at www.polycom.com.

*Polycom's application of US Generally Accepted Accounting Principles (GAAP) requires disclosure that availability of this feature is subject to change or cancellation.

Polycom, the Polycom logo, and ViewStation are registered trademarks and Polycom Office, iPower, Polycom VSX, Siren14, ProMotion, VisualConcert, MPPlus and People+Content are trademarks of Polycom in the U.S. and various countries. All other trademarks are the property of their respective owners. (C)2003, Polycom, Inc. All rights reserved.

This release contains forward-looking statements. These statements are subject to many risks and uncertainties, including the potential fluctuations in results and future growth rates, the market acceptance of Polycom's products, possible delays in the development, availability and shipment of new products, and risks associated with changes in general economic conditions. Further risks are detailed from time to time in Polycom's SEC reports, including the Form 10-K, for 2001, and subsequent Form 10-Q filings.

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Publication:Business Wire
Geographic Code:1USA
Date:Oct 6, 2003
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