December 1, 2003

News Release: SIP-Enabled IP PBX by Interactive Intelligence Wins Best of Show

Interactive Intelligence Inc. (Nasdaq: ININ), a global developer of software for IP telephony, contact center automation and unified communications, was named a Best of Show winner last month for its session initiation protocol-enabled IP PBX.

The IP PBX, called Enterprise Interaction Center(R) (EIC), was nominated based on a demonstration at Technology Marketing Corp.'s (TMC(R)) 2003 INTERNET TELEPHONY(TM) Conference &Expo, held Oct. 15 and 16 in Long Beach, Calif. EIC won Best of Show because of recent market-first enhancements designed to significantly reduce costs and increase functionality of IP telephony deployments, according to INTERNET TELEPHONY(R) magazine's editorial director, Greg Galitzine.

'The addition of a free SIP proxy server and a new all-software option make this latest version of EIC a first-of-its kind product, and virtually unbeatable for companies that want a lower total cost of ownership and a faster return on investment from an IP PBX,'Galitzine said.

Interactive Intelligence's Interaction SIP Proxy(TM) enables organizations to intelligently route SIP-based messages over IP networks, such as automatically sending calls to alternate routes when primary or secondary routes fail. The software, which works with SIP-compliant phones and gateways from a variety of vendors, can be downloaded for free from the Interactive Intelligence Web site at http://www.inin.com/sipproxy .

Interactive Intelligence's all-software version of EIC uses Intel(R) NetStructure(TM) Host Media Processing (HMP) 1.1 software to eliminate the need for voice processing boards. This new version of EIC can reduce the cost of IP telephony deployments by up to 30 percent, according to the company.

'Many organizations are at first excited by the proposed benefits of IP, but then frustrated when they find out that it doesn't necessarily translate into fewer hardware devices or open architecture,'said Dr. Donald E. Brown, president and chief executive officer for Interactive Intelligence. 'We added SIP capabilities and HMP support to our already standards-based EIC product to ensure organizations get the full benefit of IP, without the cost, complexity or vendor 'lock-in'that comes with the vast majority of other IP PBXs.'

EIC runs on the Windows 2000 operating system and extends PBX and IP PBX functionality to include features such as voice mail, unified messaging, desktop soft phone, auto attendant, desktop faxing, call routing, hot-desking, virtual office support, conferencing, Internet text chat, Web callback, informal workgroup routing, supervisory monitoring and reporting.

EIC also comes with a Setup Assistant(TM) - a graphical wizard that enables the system to be deployed in a matter of hours, complete with customized call routing, auto-attendant menus, group and user-level security, multi-site call distribution and more.

The current release of EIC, version 2.2, includes support of SIP, an emerging standard that initiates and terminates sessions over IP networks. Benefits of SIP-based communications systems include simplified set-up and maintenance in distributed environments, increased interoperability with other devices, and the potential for supporting new features that extend beyond voice-based applications, such as instant messaging and video conferencing.

Interactive Intelligence first released EIC in 1997. Version 2.2 was released in 2002 and is targeted at enterprises with between 20 and several thousand users, including enterprises with branch offices and mobile users.

EIC is offered through the company's channel of approximately 140 global resellers. For more information about EIC, visit http://www.inin.com/Products/EIC/index.asp .

About Interactive Intelligence Inc.

Interactive Intelligence Inc. (Nasdaq: ININ) is a global developer of software for IP telephony, contact center automation and unified communications. The company was founded in 1994 and has more than 1,000 customers worldwide. Recent awards include Software Magazine's 2002 Top 500 Global Software and Services Companies, the Deloitte &Touche 2002 Technology Fast 500, Network Computing Magazine's 2003 Editor's Choice, and Internet Telephony Magazine's 2003 Editor's Choice. Interactive Intelligence employs approximately 350 people and is headquartered in Indianapolis, Ind. The company has 12 offices throughout North America, Europe and Asia. Its telephone number is +1 317.872.3000; on the Web: http://www.ININ.com .

This release contains certain forward-looking statements that involve a number of risks and uncertainties. Factors that could cause actual results to differ materially are described in the company's SEC filings.

Interactive Intelligence Inc. is the owner of the marks INTERACTIVE INTELLIGENCE, its associated LOGO and numerous other marks. All other trademarks mentioned in this document are the property of their respective owners.

Contact: Christine Holley Director, Market Communications Interactive Intelligence Inc. +1 317.715.8220 This email address is being protected from spambots. You need JavaScript enabled to view it.

SOURCE Interactive Intelligence Inc.

Christine Holley, Director, Market Communications of Interactive Intelligence Inc., +1-317-715-8220, or This email address is being protected from spambots. You need JavaScript enabled to view it.

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