Ghent, BELGIUM, and PEABODY, Mass -- September 23, 2004 - ScanSoft, Inc. (Nasdaq: SSFT), the global leader of speech and imaging solutions, and varetis, the world leader in directory assistance, today announced that they have worked together to deliver easy-to-use automated directory assistance to the German telecommunications company Telix AG. The service is available via the short code DA number 11810.

Based on the ADIS directory assistance platform from varetis and using ScanSoft® speech technology, the system enables callers to quickly and easily retrieve all of their directory assistance requests - from phone numbers to addresses - via a fully-automated voice user interface. It provides fast, accurate real-time access to more than 40 million subscriber listings throughout Germany. In addition, varetis ADIS gives consumers the option of making inquiries from their wireless devices via SMS, enabling Telix to reach a new, untapped demographic of younger DA users.

The combination of technology from varetis and ScanSoft results in a state-of-the-art solution to meet customers' demand for more information and faster and greater cost efficiency in directory assistance services, resulting in a short, smooth and informative conversation. Just as customers would speak with a live operator, the dialog asks for the required information in an easy-to-use and fluent manner, without any hold times. For a successful inquiry, the system only needs the location and either company or last name. For residential systems, the first name and street name of the requested person may be given and if more than one listing is found, the system presents the alternatives and allows the caller to select the desired listing.

"Since the service went live, we've continued to increase our customer base -- the service is fast, accurate, cost-effective, and guarantees a positive caller experience," said Kristian Pazdersky, CEO at Telix AG. "In fact, the system has been so user-friendly that many callers even believe they are talking to a live person throughout large parts of the dialog."

"The Telix project is a great example of bringing the right partners together for the job, and it signals a milestone for DA voice automation. With 40 million entries, the German national database is the largest DA database in Europe and provides a unique, multi-level approach to input and dialog," said Christian Mooser, head of voice automation at varetis.

"ScanSoft is proud to be part of this innovative and successful project. Our applications have delivered measurable results for our DA customers around the world for business, residential and toll-free listings," said Peter Hauser, senior vice president and general manager for ScanSoft International. "This trendsetting service by Telix shows that easy and intuitive usability is mandatory for the success of an automatic system."

The varetis ADIS solution is the result of over 10 years of research and development in the specialized field of voice automation for directory assistance. Backed by varetis' patented, powerful search algorithms, ADIS allows callers to interact in a completely natural way - quickly and without confirmations. It was recently nominated to receive a Voice Award 2004 for the most innovative voice application from the Voice Business Initiative in Germany.

The voice-automated service is available in Germany by dialing the short code 11810 at 0.49 Euro per minute.

About varetis AG

Over the last two decades, varetis AG (Frankfurt: WKN 691 190) has equipped more than 240 telephone service centers and nearly 18,000 agent positions worldwide with its products and service. Around 160 people work at the headquarters in Munich and at regional sales offices in the UK and Singapore. Today, its software powers the DA services of nearly all of the world's major carriers. For more information please visit www.varetis.com

About Telix AG

Telix AG has been offering nationwide directory services in Germany since 1999 and employs 35 professionals in Berlin and Munich. Under the short code 11810, it recently expanded its portfolio to include fully automated inquiries via either voice or SMS - a revolutionary first for Germany. For more information please visit www.telix.de

About ScanSoft, Inc.

ScanSoft, Inc. (Nasdaq: SSFT) is the global leader 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, SpeechWorks, and the ScanSoft logo are trademarks or registered trademarks of ScanSoft, Inc. and/or its subsidiaries in the United States and other countries. All other company names or product names may be the trademarks of their respective owners.

Contact Information