PEABODY, Mass., July 9, 2003 - ScanSoft, Inc. (Nasdaq: SSFT), a leading supplier of imaging, speech and language solutions, today announced that it has expanded its relationship with Microsoft by participating in the new Microsoft Speech Partner Program (SPP), designed to drive awareness and proliferate the use of speech technologies in mainstream environments and to provide shared opportunities in developing, deploying and reselling speech technology solutions based on Microsoft technologies.

The creation of the SPP is in line with Microsoft's vision of speech becoming a mainstream, pervasive technology that is accessible by any device, at any time and from any place. As a member of the SPP, ScanSoft and other Microsoft industry partners will accrue significant business value with new and value-added product and service offerings for customers, cross-selling and up-selling opportunities with existing products, and the ability to offer cutting-edge technology solutions, including multimodal applications.

"It is because of companies such as ScanSoft that we are able to extend the delivery of the Microsoft Speech Server, enabling enterprises to deploy sophisticated speech-enabled solutions and applications that deliver significant business value," said James Mastan, director of marketing for the Speech Technologies group at Microsoft Corp. "These companies share our vision for making speech a mainstream and pervasive technology, and we are very proud to have them as a critical part of the Microsoft Speech Partner Program."

ScanSoft is a leading supplier of desktop applications, developer toolkits, and embedded and telephony-based speech solutions that provide speech-enabled solutions for a variety of end-user applications. ScanSoft® Dragon NaturallySpeaking® is the de facto standard for automatically turning speech into text at up to 160 words-per-minute and for controlling PC applications completely by voice. ScanSoft® RealSpeak™ is the market-leading solution for converting text into human-sounding synthesized speech and, along with ScanSoft® SpeechPearl®, is deployed in some of the world's leading telephony suppliers and carriers, including Cisco, Portugal Telecom, Edify, Intervoice and Comverse.

"ScanSoft is committed to bringing speech technology to a wide range of practical uses and building on its proliferation in a number of ways," said Paul Ricci, CEO of ScanSoft, Inc. "We are very excited to expand our relationship with Microsoft with this initiative, and we are extremely pleased with the level of commitment they continue to show to this growing market sector."

About ScanSoft, Inc.

ScanSoft, Inc. is a leading supplier of imaging, speech and language solutions that are used to automate a wide range of manual processes-saving time, increasing worker productivity and improving customer service. For additional information on the company, please visit www.ScanSoft.com.

Trademark reference: ScanSoft, Dragon NaturallySpeaking, RealSpeak and SpeechPearl are trademarks or registered trademarks of ScanSoft, Inc. in the United States and other countries. All other company names or product names may be the trademarks of their respective owners.

The statements in this press release that relate to future plans, events or performance are forward-looking statements that involve risks and uncertainties, including risks associated with market trends, competitive factors, and other risks identified in ScanSoft's SEC filings. Actual results, events and performance may differ materially. Readers are cautioned not to put undue reliance on these forward-looking statements that speak only as of the date hereof.

Contact Information