Sagem-Interstar ranks #1 in the global IP fax market for the 6th consecutive year

Sagem-Interstar maintains its global leadership in the dramatically expanding IP fax server segment, while closing in on the #1 position in the overall fax server market, according to industry analyst Davidson Consulting.
Montreal, Canada,

February 28, 2008 - Sagem-Interstar Inc. (www.faxserver.com), the global leader in advanced fax solutions for IP networks, announced today that it maintains its #1 market leadership title for the 6th consecutive year. Sagem-Interstar's XMediusFAX® T.38 Fax over IP (FoIP) solutions continue to dominate with almost 65% market share (a lead of more than 40% over its nearest competitor) in the rapidly expanding IP fax server segment, according to fax industry analyst firm Davidson Consulting's (www.davidsonconsulting.biz) recent "Computer-Based Fax Markets, 2006-2011" report.

With the growing trend toward IP telephony in enterprises and MFP integrations, 2006 FoIP sales jumped to $65 million, from $31.5 million in 2005, according to Davidson. Furthermore, boardless FoIP solutions made major inroads on fax-board-dependent servers, posting a 10-fold increase in one year: "They accounted for 21.4% [up from 2.1%] of sales and were mostly driven by sales of Sagem-Interstar systems."

Davidson predicts that boardless FoIP solutions will top IP fax board servers within several years: "T.38 fax solutions will take over primacy of the market. . . . Boardless solutions will take a bigger piece in 2011 with $110 million in sales, compared to $85 million for IP fax boards." Davidson also maintains that "many businesses, faced with having to make the rather large investment in new fax boards, will opt instead to implement boardless fax servers. This should benefit Sagem-Interstar."

The report also indicates that Sagem-Interstar:

• Holds almost 65% share in the global FoIP market, while its nearest competitor held just under 24%


• Claimed almost 22% of the global fax server market with only a 5.9% difference from the #1 position


• Leads the European market as the #1 fax server supplier


• As the preeminent T.38 experts in the world. "No other company has the same amount of experience with writing, deploying, testing, troubleshooting and interoperating T.38 software," concluded Davidson Consulting.

"Davidson's latest report confirms what we've known since we launched XMediusFAX in 2002 - the future of our industry is boardless FoIP," said Jean Champagne, General Manager of Sagem-Interstar. "We stand at the forefront with our patented boardless XMediusFAX FoIP solutions, targeting enterprises and service providers of all sizes. Our field-proven FoIP solutions help customers reap the full financial and productivity benefits of unified communications and convergence. Through our expertise and open standards approach, our solutions leverage server virtualization, regulatory compliance, IP telephony deployments and unified communications systems."

About XMediusFAX® FoIP
As a completely software-based (boardless) fax server solution, Sagem-Interstar's XMediusFAX enables rapid fax delivery and fax broadcasting at the desktop. XMediusFAX boardless T.38 FoIP technology offers:

• Seamless iPBX integration and virtual machine support (e.g., VMware)


• The most advanced T.38 FoIP integration for all major VoIP gateways (e.g., Cisco, Avaya, Alcatel-Lucent and AudioCodes)


• Open standards integration with other programming languages and tools


• Integration with enterprise applications such as SAP, Siebel and Oracle for automated faxing


• High scalability to a large number of enterprise-class users by simply licensing extra channels - no extra hardware or third-party kits required


• Solves the "fax problem" in IP networks by allowing customers to eliminate costly, dedicated analog fax lines, equipment, maintenance and supplies


• Routes sensitive documents to users in TIFF or PDF format via IP networks to approved recipients and designated secure printers, thereby facilitating compliance with regulations such as HIPAA, Sarbanes-Oxley, and Payment Card Industry (PCI)


• MFP integration (a "central driver of fax server sales", per Davidson): XMediusFAX also fully integrates with industry-leading MFPs and copiers through T.37 or proprietary integration
  Sagem-Interstar's XMediusFAX boardless (software-only) T.38 FoIP technology is field-proven in thousands of mission-critical environments worldwide. For more information, go to: http://www.faxserver.com/fax-server-software/xmediusfax/index.htm.

About Sagem-Interstar Inc.
Sagem-Interstar Inc. is the global leader in advanced fax server solutions for IP networks. Its field-proven XMediusFAX® leverages IP telephony and Unified Communications systems to enhance productivity, collaboration and ROI by integrating fax on the desktop. Deployed worldwide in enterprises and service provider sites since 2002, XMediusFAX is the most mature T.38 Fax over IP (FoIP) software on the market. As the North American subsidiary of Sagem Communications, Sagem-Interstar is perpetually "Changing the Way You Fax" with its recognized excellence in delivering FoIP innovations.

Visit Sagem-Interstar's website at: www.faxserver.com.

About Sagem Communications
A French, international scale, high technology company, Sagem Communications specialises in broadband communications and convergence in particular in the following areas: printing terminals, digital TV set-top boxes, broadband and residential terminals, communicating energy management solutions and telecom systems and partnerships.
The company is in a leadership position in these sectors thanks to its proven capacity for innovation. Sagem Communications aims to become a world leader in convergence and broadband terminals.
With a turnover of almost 1.3 billion euros, Sagem Communications employs 6,500 people on five continents and is headquartered in Paris.

For more information: www.sagem-communications.com / www.sagem.com

Media Contact:
Gisèle Seto
Sagem-Interstar Inc.
Marketing Communications
Phone: +1.514.422.4323
gisele.seto@sagem-interstar.com

* The information contained in this press release was, to the best of our knowledge, accurate at the time of posting, but may be superseded by subsequent disclosures. All trademarks are the property of their respective owners.