ININ Interactive Intelligence Grp., Inc.

INDIANAPOLIS, Oct. 19 /PRNewswire-FirstCall/ -- Interactive Intelligence Inc. (NASDAQ:ININ), a global developer of business communications software, was named last month to Software Magazine's 2005 Top 500, a ranking of the world's largest software and services companies based on 2004 revenue. (Logo: http://www.newscom.com/cgi-bin/prnh/19990914/IILOGO ) This is the fifth straight year Interactive Intelligence has been included in the Software 500. Interactive Intelligence was ranked 267th among the top 500 companies with revenue of $55.1 million in 2004 -- a 7 percent increase from the previous year. Of the top ten research and development spenders with an average R&D investment of 19 percent, Interactive Intelligence outranked them all, averaging 23 percent. According to an online article summarizing the Software 500 results and published in September, the overall health of the industry has improved, "with the most successful companies concentrating on higher degrees of automation and customer self-service." Interactive Intelligence develops business communications software that helps organizations reduce costs, increase productivity, and improve customer service with applications that provide automatic call distribution, interactive voice response, e-mail response management, Web chat, and more. "With six straight quarters of profitability under our belt, a year-over- year above-industry-average investment in R&D, a product line that rests on the solid foundation of more than ten years' of development experience, and now five years running as a Software 500 vendor, we offer customers the most innovative business communications solutions on the market, backed by the kind of experience and dependability Fortune 500 companies have come to expect," said president and chief executive officer for Interactive Intelligence, Dr. Donald E. Brown. Interactive Intelligence was one of the first vendors to offer a Windows- based "all-in-one" communications software system. With its incorporation of the session initiation protocol standard for voice over IP, and Intel's Host Media Processing software, Interactive Intelligence was also one of the first vendors to offer a standards-based, all-software IP PBX. The Interactive Intelligence software is ideal for all inbound, outbound and blended contact centers, including IP-based contact centers, mid-sized contact centers, and large, distributed contact centers, particularly those with global operations. It's also ideal for service-oriented, CRM-focused enterprises, especially those with mobile workers. Vertical target markets include financial services, healthcare, higher education, teleservices, and collections. The Software 500 is a revenue-based ranking of the world's largest software and services suppliers targeting enterprise IT organizations. The list includes both private and public companies. The ranking is based on total worldwide software and service revenue for 2004. This includes revenues from software licenses, maintenance and support, training and software-related services and consulting. Suppliers are not ranked on their total corporate revenue, since many have other lines of business, such as hardware. The financial information was gathered by a survey prepared by King Content Co., as well as from public documents. The 2005 Software 500 23rd annual ranking of the world's foremost software and service providers is published as an online catalog on http://www.softwaremag.com/ . About Interactive Intelligence Interactive Intelligence Inc. (NASDAQ:ININ) offers business communications innovation, experience and value with software solutions for IP contact centers, enterprise IP telephony, self-service automation, and unified communications and messaging. The company was founded in 1994 and has more than 1,500 customers worldwide. Recent awards include Software Magazine's 2005 Top 500 Global Software and Services Companies, Miercom's 2005 Best Integrated Multimedia IP Contact Center 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 ; 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. Contacts: Christine Holley Director of Market Communications Interactive Intelligence Inc. +1 317.715.8220 http://www.newscom.com/cgi-bin/prnh/19990914/IILOGO http://photoarchive.ap.org/ DATASOURCE: Interactive Intelligence Inc. CONTACT: Christine Holley, Director of Market Communications of Interactive Intelligence Inc., +1-317-715-8220, or Web site: http://www.inin.com/ http://www.softwaremag.com/

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