Audiocodes Ltd. — Regulatory Filings 2004

Mar 25, 2004

AudioCodes

16 ANNIVERSARY

FINAL NEWS RELEASE

Contacts

Shirley Nakar

AudioCodes

Tel: +972-3-5394072

shirley.nakar@audiocodes.com

Kristy Needham

Alan Weinkrantz and Company

Tel: +1-210-861-9875

kristyn@weinkrantz.com

AudioCodes Announces IPmedia™ 3000 Media Server for VoIP and VoATM Applications

New platform addresses mid-density, cost-effective carrier deployment needs for wireline, wireless and cable converged networks

Lod, Israel – March 25, 2004 – AudioCodes (Nasdaq: AUDC), a leading provider of Voice over Packet (VoP) technologies and Voice Network products, announced today the introduction of the IPmedia™ 3000 media server. The IPmedia 3000 media server offers up to 2,016 low-bit-rate VoIP/VoATM channels of media processing and can be used to provide centralized announcements, conferencing, vocoding, IVR media transcoding, IP multicasting / IP forking, record & playback, Web-based playback and other media server functions. The IPmedia 3000 is planned to be released in the second quarter of 2004.

"There is a market need for small to mid-density media servers, especially integrated platforms that can support nextgen services," said Jon Arnold, VoIP Program Leader at Frost & Sullivan. "We believe the IPmedia 3000 can address this segment of the market, and quickly enable new revenue streams for service providers, as they look for ways to capitalize on VoIP."

The IPmedia 3000 enables network equipment vendors to offer Service Providers a compact media server solution targeted towards the carrier environment. Supporting 480 up to 2,016 voice channels, the IPmedia 3000 platform can address small to mid-density applications deployed in IP, ATM or mixed IP/ATM core networks, as well as optional optical PSTN interface. Building on AudioCodes' experience in the VoIP market, the IPmedia 3000 supports a rich variety of wireline and wireless

AudioCodes IPM 3000 Media Server

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vocoders, standards-compliant signaling and call control, state-of-the-art Echo Cancellation, and T.38 fax transmission. At a height of only 2U, the 3000 platform requires minimal rack space.

"With VoIP maturing and the market focus on revenue-generating applications for both wireless and wireline networks, the IPmedia 3000 offers network equipment vendors and systems integrators a cost-effective, compact footprint platform to deploy wireless, wireline or converged wireless/wireline media servers into carrier networks," said Rich Poole, Director Wireless Business Development at AudioCodes. "The compact size and competitive price point of the IPmedia 3000, along with the media server functionality to support both wireless and wireline networks, make the IPmedia 3000 attractive."

AudioCodes will be exhibiting its IPmedia 3000 in booth 602/604 at the VON Spring 2004 Conference and Expo in Santa Clara, CA March 29th through March 31st. Robert Richardson, AudioCodes' Director of Wireline Business Development will be speaking at the "Enterprise VoIP Solutions Workshop" on Monday, March 29th at 10 a.m.

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 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, Chicago, Beijing, Tokyo, Paris and London. For more information on AudioCodes, visit www.audiocodes.com or call +1 (408) 577-4088.

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

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