PEABODY, Mass., - April 4, 2001 -ScanSoft®, Inc. (NASDAQ: SSFT), a leader in paper-to-digital solutions, today announced that its registered user base has topped 8 million. Up by 1.5 million registered users from last year, the increase illustrates ScanSoft's continuing domination in the paper-to-digital market.

ScanSoft's new and existing customers benefit from its best-of-breed solutions for the organizing, editing and repurposing of images that have been captured by desktop scanners and digital cameras. These technologies include optical character recognition (OCR) for converting paper documents into digital documents; paper management solutions for indexing and sharing documents; photo editing tools for retouching and manipulating color images; and forms technology for turning paper-based forms into electronic and Web-based forms.

"Our growing list of registered users, and the strength of our manufacturing partnerships, demonstrates that ScanSoft remains in the forefront of technological development, turning paper into electronic format, editing those images, and sharing them with others," said Wayne S. Crandall, senior vice president, sales and marketing, ScanSoft. "Moving forward, the company will be expanding our award-winning product lines, as well as building its technological base, particularly as the imaging world converges with the Internet and the wireless community."

New product registrations have occurred through the manufacturers bundled versions and the purchases of:

PaperPort®, a best-selling paper management software for home and business, integrating paper management, photo editing, forms fill-in and OCR that enables users to organize, use and retrieve scanned paper and photos, as well as electronic files like word processing documents, digital camera photos, spreadsheets, and web pages.
OmniForm®, ScanSoft's awarding-winning electronic forms solution that converts a blank paper form into a fully editable electronic form that can be filled out on screen, stored, printed, and electronically distributed.
OmniPage®, the world's best-selling desktop OCR, which frees users from the necessity of retyping printed documents such as memos, reports, contracts, correspondence, and resumes in order to use them in computers by converting printed documents and computer faxes into editable electronic text for use in word processing and other text-based applications.
TextBridge®, designed for paper-intensive industries, including the legal, healthcare, pharmaceutical and education fields, as well as government entities where it is particularly advantageous due to its ability to efficiently convert large amounts of paper into PDF files.

"With the scanner market expected to grow from 8.6 million in 1999 to 20.5 million by 2004, ScanSoft's products are positioned for continued growth," said Ron Glaz, IDC analyst. "With their current market share and product offerings, they have the opportunity to capture the majority of this growth."

ScanSoft's award-winning product line includes: PaperPort Deluxe, Pagis® Pro, TextBridge Pro, OmniPage Pro®, OmniPage Pro Scan Suite Plus™, OmniForm®, eOmniForm™, and numerous software developer's kits - enables users to capture, recognize, edit, manage and share documents and photos electronically by taking advantage of ScanSoft's cutting-edge technology.

About ScanSoft, Inc.

Headquartered in Peabody, Mass., with European headquarters in the Netherlands, ScanSoft, Inc. (NASDAQ: SSFT) is the leading developer of paper-to-digital solutions that enable users to leverage the power of their scanners, digital cameras and other electronic devices. ScanSoft's award-winning product line - PaperPort Deluxe, Pagis Pro, TextBridge Pro, OmniPage Pro, OmniPage Pro Scan Suite Plus, OmniForm, eOmniForm, Paper Converter, Kai's PhotoSoap2, Kai's SuperGoo, Kai's PowerShow, PhotoFactory, and numerous software developer's kits - enables users to capture, recognize, edit, manage and share documents and photos electronically by taking advantage of ScanSoft's cutting-edge technology.

ScanSoft has established numerous strategic partnerships with the industry's leading scanner and multifunction vendors to deliver the most comprehensive and cost-effective solutions for its customers. Vendors who have chosen ScanSoft's cutting-edge technologies include Brother, Canon, Epson, Fujitsu, Hewlett-Packard, IBM/Lotus, Mustek, Primax, Sharp, Symantec Corporation, Visioneer, Xerox and others. ScanSoft's leading technologies have been licensed by Microsoft for use in Office 10 and other future products. ScanSoft continues to cultivate and develop strategic partnerships to deliver the most comprehensive and cost-effective solutions for its customers.

ScanSoft software is sold, marketed and supported worldwide through retail, dealer and OEM channels and the Internet, capturing the small to medium size business and corporate markets. There are more than 8 million registered users of ScanSoft products. ScanSoft can be found on the Web at www.scansoft.com.

Trademark reference: ScanSoft, PaperPort, PaperPort Deluxe, Pagis, TextBridge, OmniPage, OmniPage Pro Scan Suite Plus, OmniForm, eOmniForm, Paper Converter, Scanner Suite, PageKeeper, Developer's Kit 2000, PhotoFactory, Kai's PhotoSoap2, Kai's SuperGoo, and Kai's PowerShow are registered trademarks or trademarks of ScanSoft, Inc., in the United States and/or other countries. All other trademarks and trade names are hereby recognized and may be registered to their respective holders.

The Company notes that the statements in this release that relate to future plans, events, performance, including without limitation its future plans for customer base expansion, are forward-looking statements subject to risks and uncertainties that may cause the Company's actual results to differ materially. These risks and uncertainties include, but are not limited to, market acceptance of ScanSoft's products, the impact of competitive products and other risks detailed from time to time in the Company's SEC reports. Readers are cautioned not to place undo reliance on these forward-looking statements, which speak only as of the date hereof.

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