ScanSoft Delivers Packaged Change of Address Application for Microsoft Speech Server 2004

First of ScanSoft's Applications to Leverage SpeechWorks® Technologies and Expertise in Professional Services and User Interface Design with Microsoft Development Tools on Microsoft Speech Server

SAN FRANCISCO, March 24, 2004 - ScanSoft, Inc. (Nasdaq: SSFT), the leading supplier of speech and imaging solutions, today announced the availability of a speech-enabled Change of Address application for Microsoft Speech Server 2004, introduced today at the co-located VSLive! and AVIOS~SpeechTEK Conferences. Change of Address is a common application used across many industries when a caller needs to update a mailing address. For example, Change of Address can be used to start or stop service for a utility or forward a magazine subscription to a new address.

The Change of Address application uses SpeechWorks® solutions from ScanSoft, which allow companies to capture information that previously required live agent assistance and was impossible to automate through a touch-tone system. The application is entirely speech-enabled using speech recognition and speech synthesis--also known as text-to-speech (TTS)--that guides a caller through an easy-to-follow, elegant process to present and capture the required information. Since the application does not require a caller to ever speak directly with a live agent, businesses can significantly reduce on-hold times, avoid human errors and ultimately improve customer satisfaction. Companies that speech-enable this common business process can automate 60 to 75 percent of the call volume associated with address changes and save an average of $4 to $5 per call.

"ScanSoft has a legacy of building speech applications that lower costs and enhance caller satisfaction for businesses around the world," said Bob Clough, general manager of Microsoft Speech Technologies. "We are pleased to see ScanSoft deliver value-added applications for Microsoft Speech Server 2004. The company's application development and user interface design experience are tremendous resources for Microsoft as we help businesses increase customer self-service in their call centers through engaging speech solutions."

SpeechWorks solutions from ScanSoft are optimized for superior application performance. The Change of Address application was developed by ScanSoft using the Microsoft Speech Application SDK and ScanSoft's field proven OpenSpeech™ Recognizer speech recognition software; OpenSpeech™ DialogModules, ScanSoft's patented application building blocks to ensure a consistent user interface; and Speechify® text-to-speech (TTS) software that delivers text-based information in a natural-sounding voice (see related release "ScanSoft and Microsoft to Deliver High-Quality Speech Applications to Enterprise Organizations," March 24, 2004). Within the Change of Address application, Speechify is used in place of pre-recorded audio prompts that guide a caller through the data collection and confirm the information collected.

"Microsoft Speech Server provides a flexible and cost-effective speech platform for enterprise organizations to deploy speech applications," said Steve Chambers, President of SpeechWorks, a division of ScanSoft. "The Change of Address application leverages SpeechWorks solutions and best practices in user interface design to ensure the highest levels of caller satisfaction and return on investment."

About SpeechWorks® Solutions from ScanSoft

SpeechWorks® Solutions from ScanSoft comprise network and embedded speech solutions, including natural language speech recognition, text-to-speech (TTS) and speaker verification solutions, as well as auto-attendant, directory assistance, turnkey vertical industry applications and other speech components. SpeechWorks solutions from ScanSoft help organizations redefine the way they exchange vital information with customers and employees over the telephone, and are used within automotive and embedded applications, including navigation systems, computer games, mobile devices, talking dictionaries, ATMs, applications for the visually impaired, and consumer electronic devices. For information, please visit www.scansoft.com/speech.

About ScanSoft, Inc.

ScanSoft, Inc. (Nasdaq: SSFT) is the leading supplier of speech and imaging solutions that are used to automate a wide range of manual processes - saving time, increasing worker productivity and improving customer service. For more information regarding ScanSoft products and technologies, please visit www.ScanSoft.com.

ScanSoft and the ScanSoft logo are registered trademarks or trademarks of ScanSoft, Inc. in the United States and other countries. SpeechWorks, OpenSpeech and Speechify are registered trademarks or trademarks of SpeechWorks International, Inc. in the United States and other countries. All other company or product names may be the trademarks of their respective owners.

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