According to a Synergy Research Group forecast from December 2007, the enterprise IP Phone market is expected to grow from $2.1B and 11.8M units in 2007 to $8.4B and over 63M units in 2011 at a CAGR of about 40 percent. "The introduction of IP Phones will expand our reach to enterprise customers providing an end to end HD VoIP solution," stated Lior Aldema, Vice President of Marketing and Product Management at AudioCodes. "HD VoIP enabled IP Phones provide enhanced clarity and intelligibility of conversational content thus enhancing worker productivity and improving customer service."

The AudioCodes IP Phone 300HD series is expected to meet a growing demand for High Definition VoIP solutions in end-user phones and terminals, providing high voice fidelity, advanced security and features and enhanced user interface. The IP Phone Series product line is widely interoperable with IP-PBXs, Softswitches and IP Centrex solutions.

"AudioCodes entry into the IP Phone market is a bold and strategic move. It enables AudioCodes to address the fast growing market for 3rd Party IP Phones with the latest developments in High Definition (HD) voice technology," commented Jeremy Duke, President & CEO of Synergy Research Group, Inc. "The IP phone market has consistently delivered strong shipment growth over the last 8 years as it continues to displace the large installed base of TDM phones worldwide. We believe the second growth phase of the IP Phone market is just beginning to take hold, driven by increased deployments of SIP in the Enterprise and an increasing number of Service Providers offering Managed VoIP services (hosted telephony)."

Based on AudioCodes' advanced, robust and field-proven VoIPerfect software, AudioCodes' VoIPerfectHD Enabled IP Phones are designed to utilize the most popular wideband coders such as G.722, G.722.2 (WB-AMR), G.729.1 and G.711.1. Enhanced proprietary capabilities such as packet loss concealment, high quality wideband acoustic echo canceler and low delay adaptive jitter buffer enrich the HD VoIP experience by utilizing these phones.

The AudioCodes 300HD Series of High Definition IP Phones offers three phone models which adhere to the requirements of different types of business users. The 310HD IP Phone is positioned as an entry level IP-Phone and includes a basic display and user interface. The 320HD Premium model includes a large Monochrome LCD screen. The 350HD Executive model has a large Color LCD. All models support HD VoIP. Power over Ethernet is optional in all models.

AudioCodes demonstrated the HD VoIP at this week's VoiceCon event in San Francisco.

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The AudioCodes IP Phone 300HD series is expected to meet a growing demand for High Definition VoIP solutions in end-user phones and terminals, providing high voice fidelity, advanced security and features and enhanced user interface. The IP Phone Series product line is widely interoperable with IP-PBXs, Softswitches and IP Centrex solutions.

"AudioCodes entry into the IP Phone market is a bold and strategic move. It enables AudioCodes to address the fast growing market for 3rd Party IP Phones with the latest developments in High Definition (HD) voice technology," commented Jeremy Duke, President & CEO of Synergy Research Group, Inc. "The IP phone market has consistently delivered strong shipment growth over the last 8 years as it continues to displace the large installed base of TDM phones worldwide. We believe the second growth phase of the IP Phone market is just beginning to take hold, driven by increased deployments of SIP in the Enterprise and an increasing number of Service Providers offering Managed VoIP services (hosted telephony)."

Based on AudioCodes' advanced, robust and field-proven VoIPerfect(tm) software, AudioCodes' VoIPerfectHD(tm) Enabled IP Phones are designed to utilize the most popular wideband coders such as G.722, G.722.2 (WB-AMR), G.729.1 and G.711.1. Enhanced proprietary capabilities such as packet loss concealment, high quality wideband acoustic echo canceler and low delay adaptive jitter buffer enrich the HD VoIP experience by utilizing these phones.

The AudioCodes 300HD Series of High Definition IP Phones offers three phone models which adhere to the requirements of different types of business users. The 310HD IP Phone is positioned as an entry level IP-Phone and includes a basic display and user interface. The 320HD Premium model includes a large Monochrome LCD screen. The 350HD Executive model has a large Color LCD. All models support HD VoIP. Power over Ethernet is optional in all models.

AudioCodes has created a website landing page www.audiocodes.com/ipphones which includes all technical and marketing resources for the IP Phone Product Line.

AudioCodes will have a Demo of the HD VoIP at: VoiceCon, San Francisco, California, 11-12 November 2008 at AudioCodes' Booth #509

AudioCodes will be conducting webinars titled "HD VoIP -- the next sound barrier?" on Thursday, November 6th at 2:00pm (Eastern Standard Time), Monday, November 10th at 10:00am (Central European Time) and on Tuesday, November 18th at 2:00pm (Eastern Standard Time). For a free registration, please visit www.audiocodes.com/hdvoip

About AudioCodes

AudioCodes Ltd. (Nasdaq:AUDC) provides innovative, reliable and cost-effective Voice over IP (VoIP) technology, Voice Network Products, and Value Added Applications to Service Providers, Enterprises, OEMs, Network Equipment Providers and System Integrators worldwide. AudioCodes provides a diverse range of flexible, comprehensive media gateway, and media processing enabling technologies based on VoIPerfect(tm) -- AudioCodes' underlying, best-of-breed, core media architecture. The company is a market leader in VoIP equipment, focused on VoIP Media Gateway, Media Server, Session Border Controllers (SBC), Security Gateways and Value Added Application network products. AudioCodes has deployed tens of millions of media gateway and media server channels globally over the past ten years and is a key player in the emerging best-of-breed, IMS based, VoIP market. The Company is a VoIP technology leader focused on quality and interoperability, with a proven track record in product and network interoperability with industry leaders in the Service Provider and Enterprise space. AudioCodes Voice Network Products feature media gateway and media server platforms for packet-based applications in the converged, wireline, wireless, broadband access, cable, enhanced voice services, video, and Enterprise IP Telephony markets. AudioCodes' headquarters and R&D are located in Israel with an additional R&D facility in the U.S. Other AudioCodes' offices are located in Europe, India, the Far East, and Latin America. For more information on AudioCodes, visit http://www.audiocodes.com/

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; possible disruptions from acquisitions; the integration of acquired companies' products and operations into AudioCodes' business; 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, AudioCoded, Ardito, CTI2, CTI(2), CTI Squared, InTouch, IPmedia, Mediant, MediaPack, NetCoder, Netrake, Nuera, Open Solutions Network, OSN, Stretto, TrunkPack, VoicePacketizer, VoIPerfect, VoIPerfectHD, What's Inside Matters, Your Gateway To VoIP and 3GX are trademarks or registered trademarks of AudioCodes Limited. All other products or trademarks are property of their respective owners.

This news release was distributed by GlobeNewswire, www.globenewswire.com

SOURCE: AudioCodes Ltd.

AudioCodes
          Shirley Nakar
          +972-3-976-4000
          Shirley@audiocodes.com

          Schwartz PR
          Rob Skinner
          +1-781-684-0770
          RSkinner@schwartz-pr.com

Expected next investor conference call information:
Conference Call Date: 11/4/2008
Conference Call Time: 9:00 AM
Conference Call URL: http://www.audiocodes.com/Content.aspx?voip=43