Frost & Sullivan Names SpeechWorks Market Share Leader in Automated Speech Recognition Software

SpeechWorks International, Inc. (Nasdaq: SPWX), the global leader in speech recognition and text-to-speech (TTS) technologies and services, today announced industry research firm Frost & Sullivan singled out the company as the clear market share leader in automated speech recognition software in a newly issued study.

Singapore - March 8, 2002-SpeechWorks International, Inc. (Nasdaq: SPWX), the global leader in speech recognition and text-to-speech (TTS) technologies and services, today announced industry research firm Frost & Sullivan singled out the company as the clear market share leader in automated speech recognition software in a newly issued study. Frost & Sullivan also selected SpeechWorks for its Market Engineering Award for Business Development Strategy.

In a comprehensive study of the speech technology market, Frost & Sullivan designated SpeechWorks the leader in automated speech recognition with a 36.4 percent share in 2001, as compared to Nuance at 29.8 percent and IBM at 15.2 percent. Overall, the report projects a significant increase in total market revenue over the next five years.

While 2001 could be characterized as a year that did not deliver as promised for most speech vendors, SpeechWorks was a clear exception," said Ronald F. Gruia, program leader for enterprise communications solutions at Frost & Sullivan. SpeechWorks had a great year in 2001, increasing its overall revenue by 49 percent -- an amazing result in a down market."

In selecting SpeechWorks for its Business Development Strategy award, Frost & Sullivan attributed several factors to SpeechWorks success, including registering a number of important, new customer wins over the last year, such as Amtrak, GMAC Commercial Mortgage, National Weather Service and Union Pacific Railroad. Frost & Sullivan also noted the strength of the companys deep speech product portfolio and business partnerships. Additionally, SpeechWorks was recognized for its leadership in advancing technology standards through the VXML Forum and the SALT Forum.

This award recognizes that through a combination of vision, technology and successful marketing, SpeechWorks has demonstrated superior market growth skills. SpeechWorks has consistently shown its ability to anticipate market needs, develop innovative new products and identify new market segments to expand its customer base," said Gruia.

According to Steve Chambers, vice president of worldwide marketing at SpeechWorks, This recognition from Frost & Sullivan is clear-cut validation of SpeechWorks market leadership. We are focused on building on this strong position by keeping our customer in mind to provide continuous technology innovation and maximum return on investment across global markets."

About SpeechWorks International, Inc.
Through the power of SpeechWorks technologies, the human voice is all a person needs to access instant information and conduct transactions from a phone or device. Around the world, customer service innovators such as America Online, E-Plus and United Airlines are realizing returns on SpeechWorks applications that consistently delight and serve customers 24 hours a day. With over 160 partners, SpeechWorks (Nasdaq: SPWX) delivers natural language speech recognition, speaker verification and text-to-speech (TTS) solutions to leading corporations, telecommunications providers, device manufacturers and government organizations worldwide. For a description of our products, services and unique customer programs such as SpeechWorks Here S.T.E.P. (Speech Technology Evaluation Process) call 617.428.4444 or visit www.speechworks.com.

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