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Interactive Intelligence named Frost & Sullivan`s 2005 Excellence in Technology recipient

Johannesburg, 29 Sep 2005

Global research and consulting firm, Frost & Sullivan, has named Interactive Intelligence Inc (Nasdaq: ININ) its 2005 Excellence in Technology of the Year recipient in the field of customer contact centre management software.

Following a rigorous review using primary and secondary research methodologies, Interactive Intelligence was selected as the sole recipient in the category based on the vendor`s "innovative IP contact centre and IP telephony products", according to Frost & Sullivan analyst, Haritha Ramachandran.

"Known for its unique modular approach, this 11-year-old software company has excelled in providing core event processing technology for multimedia interaction and voice over IP via session initiation protocol communication standards," said Ramachandran.

"Interactive Intelligence has distinguished itself by designing applications that can be customised by end-users to suit their particular software needs and by its use of a standards-based approach that increases customer choice for wide area networking, service providers, hardware, devices, etc."

The Frost & Sullivan Excellence in Technology honour is bestowed upon the company that has pioneered the development and introduction of an innovative technology into the market. To choose the recipient, Frost & Sullivan`s analyst team tracks technology innovation in key hi-tech markets. The selection process includes primary participant interviews and extensive primary and secondary research. Specific criteria used to determine the final rankings include the number of new technologies developed or introduced, the significance of these technologies to the industry, the competitive advantage of these technologies versus competing ones, ease of adoption of new technologies, the potential of these technologies to become an industry standard, and the general impact of these technologies in terms of shifting R&D focus.

Interactive Intelligence originally released its software in 1997, making it the first vendor to offer an "all-in-one" Windows-based communications software system. Today, the company offers several infrastructure options, including a pure SIP platform, an all-software VOIP option, and hybrid PBX/IP PBX deployment options. Interactive Intelligence`s bundled, software suite approach "offers an incremental growth path incorporating a cost-effective disaster recovery solution and enabling customisation of options to suit multiple business models, including distributed environments," according to Ramachandran.

The company`s commitment to product innovation is underscored by its higher-than-industry-average investment in research and development, and the value this investment brings to its customers.

"Interactive Intelligence`s contact centre solutions provide an all-in-one platform that reduces the number of discrete systems required, thereby reducing the cost and complexity of the operation," continued Ramachandran. "The Frost & Sullivan 2005 Customer Contact Centre Management Software Excellence in Technology of the Year honour thus recognises Interactive Intelligence`s many industry firsts, strong R&D commitment, and significant contributions to advancing technology development in this field."

The Interactive Intelligence software for contact centre automation, Customer Interaction Centre (CIC), is targeted at traditional and IP-based contact centres, including mid-sized contact centres, and large, distributed contact centres. CIC is also ideal for service-oriented, CRM-focused enterprises, including those in the financial services, healthcare and higher education sectors. For more information about Interactive Intelligence products, visit http://www.inin.com/products/productsoverview.asp.

Interactive Intelligence will be officially honoured for its first place Excellence in Technology of the Year ranking at the Frost & Sullivan Best Practices banquet, held in conjunction with its Customer Contact 2005, West Executive Summit held from 23 to 27 October at the Pointe Hilton Squaw Peak Resort in Phoenix, Arizona. For more information about the event, visit http://www.frost.com/prod/servlet/events-home.pag.

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Interactive Intelligence

Interactive Intelligence Inc (Nasdaq: ININ) offers business communications innovation, experience and value with software solutions for enterprise IP telephony, contact centre automation, customer self-service, and unified communications and messaging. The company was founded in 1994 and has more than 1 500 customers worldwide. Recent awards include the 2004 Network World 200, Software Magazine`s 2005 Top 500 Global Software and Services Companies, Miercom`s 2005 Best Integrated Multimedia IP Contact Centre product award, and Frost & Sullivan`s 2005 Excellence in Technology of the Year Award.

Interactive Intelligence employs approximately 350 people and is headquartered in Indianapolis. The company has 12 offices throughout North America, Europe and Asia Pacific. Interactive Intelligence can be reached at +1 317.872.3000 or info@inin.com; 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.

Editorial contacts

Fujiko Cherruel
Interactive Intelligence
]+44 20 8867 3675
fujiko.cherruel@inin.com