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Avaya extends lead in global enterprise IP telephony ports, revenue for Q1 2006

According to Synergy Research Group, Avaya leads in global enterprise IP telephony port shipments and IP telephony revenue for tenth consecutive quarter
Johannesburg, 24 May 2006

In the first quarter of 2006, Avaya Inc (NYSE:AV) extended its lead in global enterprise Internet Protocol (IP) telephony port shipments and global enterprise IP telephony revenue, leading both measurements for the tenth consecutive quarter, according to Synergy Research Group`s 1Q 2006 Enterprise Voice Market Shares Report.

Avaya is a leading global provider of business communications applications, systems and services.

The report shows Avaya leading in IP port shipments (as defined by Synergy) with 22% of the global market for the first quarter of 2006 versus a 20.4% market share in the fourth quarter of 2005, finishing 2.5 points ahead of the nearest competitor.

Avaya also led in IP telephony revenue for the first quarter with 25%, widening its lead over the nearest competitor by more than 2.5 points, according to the report.

"Our report shows that the overall global market for IP telephony continues to show momentum, with 28% revenue growth over the same quarter last year," said Jeremy Duke, president and CEO, Synergy Research Group. "IP telephony is becoming mainstream for businesses, and Avaya`s statistics for the quarter indicate they are taking advantage of the opportunity."

The report also shows Avaya global IP telephony revenues grew 30% versus the same quarter last year, and were up 7% from the previous quarter. During its most recent fiscal quarter ended 31 March 2006, the company completed its nine millionth IP telephony line shipment.

Says Bridget Kelly, country manager of Avaya for Sub-Saharan Africa: "Intelligent communications is becoming a necessity for business, and these results show that our customers understand this. Avaya solutions can be used to improve business process and advance business goals."

IP telephony is software-based technology that uses voice over Internet Protocol (VOIP) to transmit voice over a data network. Companies are adopting this rapidly expanding technology to help reduce costs and take advantage of advanced business communications applications that foster intelligent communications for improved business processes and enhance the efficiency of communications networks.

Avaya offers one of the industry`s most comprehensive portfolios of communications solutions for IP telephony - Avaya MultiVantage Applications - with a flexible architecture that helps enable enterprises to design a communications roadmap that supports their business needs. Supported by Avaya Global Services and a network of authorised Avaya BusinessPartners and DeveloperConnection technology partners, the portfolio brings together Avaya`s applications for telephony, contact centres and mobility, and features Avaya Communication Manager, the company`s flagship IP telephony software. With the suite, businesses have access to a single portfolio of open standards-based applications that extends Avaya`s IP telephony software across enterprise operations and employee functions.

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Avaya

Avaya Inc designs, builds and manages communications networks for more than one million businesses worldwide, including over 90% of the Fortune 500. Focused on businesses large to small, Avaya is a world leader in secure and reliable Internet Protocol telephony systems and communications software applications and services. Also, Avaya is a pioneer and leader in enterprise fixed/mobile convergence with hundreds of thousands of customers using extension to cellular capability of Avaya Communication Manager every day.

Driving the convergence of voice and data communications with business applications - and distinguished by comprehensive worldwide services - Avaya helps customers leverage existing and new networks to achieve superior business results. For more information, visit the Avaya Web site at http://www.avaya.com.

The FIFA World Cup and Avaya

As the official convergence communication provider for the FIFA World Cup 2006, Avaya is providing a champion communications network for the World`s largest sporting event. The converged network - that combines voice and data on the same infrastructure- will connect the 12 host stadiums, the international media centres in Munich, Berlin and Dortmund and the FIFA headquarters in Berlin. Players, coaches, volunteers and fans alike will benefit from the Avaya network that will be instrumental in player and journalist accreditation, the reporting of results, material tracking, accommodation confirmations, transportation, and ticketing among other critical functions. With an estimated 45 000 network connections, 30 000 network devices and over 15 terabytes (or 15 000 000 000 bytes) of data, it is the largest converged communication network ever built for a sporting event.

Editorial contacts

Charlene Carroll
Cameo Corporate Communications
(011) 315 1448
charlene@cameogroup.co.za