Audiocodes Ltd. — Regulatory Filings 2004

Oct 19, 2004

AudioCodes

3COM

FALL 2004 VON Conference & Expo, Booth Number 312 (AudioCodes)

NEWS RELEASE

For more information, please contact:

AudioCodes Contact Shirley Nakar +972-3-976-4072 shirley.nakar@audiocodes.com

PR Agency Contact Kristy Needham Alan Weinkrantz And Co. +1-210-861-9875 kristyn@weinkrantz.com

3Com Contact Kevin Petschow +1-847-262-7262 kevin_petschow@3com.com

AudioCodes and 3Com Sign OEM Agreement

AudioCodes Supplier of Gateways and Media Servers for 3Com Enterprise Voice Products

BOSTON, Mass. – FALL VON 2004 Conference and Expo – and Lod, Israel, Oct. 19, 2004

• AudioCodes (NASDAQ: AUDC), a leading provider of voice over packet (VoP) technologies and voice network products for converged networks, and 3Com Corporation (NASDAQ: COMS) today announced that they have signed an original equipment manufacturer (OEM) agreement for AudioCodes to be a supplier of voice over Internet protocol (VoIP) media gateways, enabling 3Com to offer voice products to the enterprise market. The agreement encompasses AudioCodes’ standard gateway and media server products specifically geared for the enterprise telephony market.

"Twelve months ago, we told our customers about how our technology was being incorporated into the 3Com® Internet Protocol Telephony Solutions brand, and during the past twelve months, we have executed our strategy effectively. Today, we're delivering on our promise of this relationship through our signed agreement with 3Com," said Lior Aldema, vice president of

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marketing at AudioCodes. “This allows us to play a significant role in the enterprise marketplace and demonstrates our ongoing commitment to providing businesses with the latest technology for the IP telephony market.”

AudioCodes’ gateways and media servers are being integrated into the 3Com VCX™ IP Telephony Solution, an open standards-based technology that scales across a large, multi-site, distributed network, efficiently and reliably, through a centralized, modular architecture ideally suited for management and provisioning.

“We are pleased to elevate our relationship with AudioCodes to the level of an OEM agreement,” said Sudhakar Ramakrishna, 3Com vice president of product line management. “AudioCodes’ line of standards-based and advance technology complements our voice solutions for enterprises of any size.”

The market for the adoption of VoIP technology continues to grow at a record pace. In its quarterly update of June 2004, Synergy Research Group estimates the market value of “Enterprise IP Telephony” to be $2.9 billion in 2004. Synergy forecasts this figure will grow to $9.4 billion by 2008, which represents a CAGR (Compound Annual Growth Rate) of 33.7 percent.

About AudioCodes

AudioCodes Ltd. (NASDAQ: AUDC) enables the new voice infrastructure by providing innovative, reliable and cost-effective Voice over Packet technology and Voice Network products to OEMs, network equipment providers and system integrators. AudioCodes provides its customers and partners with a diverse range of flexible, comprehensive media gateway and media processing technologies, based on VoIPerfect™ – AudioCodes’ underlying, best-of-breed, core media gateway architecture. The company is a market leader in voice compression technology and is a key originator of the ITU G.723.1 standard for the emerging Voice over IP market. AudioCodes voice network products feature media gateway and media server platforms for packet-based applications in the wireline, wireless, broadband access, and enhanced voice services markets. AudioCodes enabling technology products include VoIP and CTI

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communication boards, VoIP media gateway processors and modules, and CPE devices. Its customers include the leading telecom and data network equipment providers globally. AudioCodes’ international headquarters and R&D facilities are located in Israel, with U.S. headquarters in San Jose, California. Additional offices are in Boston (MA), Chicago (IL), Research Triangle Park (NC), Somerset (NJ), Beijing, London, Paris and Tokyo. For more information on AudioCodes, visit www.audiocodes.com or call +1 (408) 577-0488.

About 3Com IP Telephony

3Com has been a major contributor to the convergence industry since the introduction in 1998 of the world’s first IP-PBX, the NBX® system. The company developed an architecture for a distributed softswitch for AT&T and brought the first commercially deployed carrier softswitch to market in 1999. The 3Com VCX IP Telephony module was first introduced in 2003 for large enterprises. For further information, please visit www.3com.com/voip.

About 3Com

3Com is a tier-one provider of innovative, practical and high-value voice and data networking products and solutions for enterprises of all sizes and public sector organizations. For further information, please visit www.3com.com, or the press site www.3com.com/pressbox.

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3Com, the 3Com logo and NBX are registered trademarks and VCX is a trademark of 3Com Corporation.

NOTE: AudioCodes is exhibiting its VoIP media gateways, media servers, boards and modules at Fall VON 2004 at Booth 312, Boston, Massachusetts October 18-21, 2004.

NOTE: Statements concerning AudioCodes' business outlook or future economic performance; product introductions and plans and objectives related thereto; and statements concerning assumptions made or expectations as to any future events, conditions, performance or other matters, are "forward-looking statements" as that term is defined under U.S. Federal securities laws. Forward-looking statements are subject to various risks, uncertainties and other factors that could cause actual results to differ materially from those stated in such statements. These risks, uncertainties and factors include, but are not limited to: the effect of global economic conditions in general and conditions in AudioCodes' industry and target markets in particular; shifts in supply and demand; market acceptance of new products and continuing products' demand; the impact of competitive products and pricing on AudioCodes' and its customers' products and markets; timely product and technology development/upgrades and the ability to manage changes in market conditions as needed; and other factors detailed in AudioCodes' filings with the Securities and Exchange Commission. AudioCodes assumes no obligation to update the information in this release.

AudioCodes, AC, AudioCoded, NetCoder, TrunkPack, VoicePacketizer, MediaPack, Stretto, Mediant and AudioCoded IPmedia are trademarks or registered trademarks of AudioCodes Limited. All other products or trademarks are property of their respective owners.

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