ATLANTA -- Verso Technologies, Inc. (NASDAQ: VRSO - News), an integrated communications solutions company, today announced that the company has been named fourth in worldwide softswitch market share and second in sales of softswitches in Europe, Middle East, and Africa (EMEA), according to a recently released quarterly market survey by Synergy Research Group (SRG), a market research firm based in Scottsdale, Arizona. The survey also named Verso as number one in EMEA market share for low-density media gateways (a key element of Verso's softswitch), or those with 240 ports or less.

"In the fourth quarter of 2003, Verso had one of the strongest quarters ever measured by SRG for sequential growth and market share gains in the Carrier Packet Voice market," said Jeremy Duke, President and CEO of Synergy Research Group. "With sequential port shipment growth over 100 percent (growth second only to Nortel), Verso's Clarent softswitch receives some well deserved market credibility. Further, market share gains were most noted in the EMEA region where Verso was ahead of all but one of their competitors, Cisco Systems."

According to SRG's quarterly survey of over 100 telecom and network equipment providers, the top five providers in the global Carrier Packet Voice Equipment (Voice over Packet) market account for over 80 percent of the market, with Verso well ahead of more recognized companies such as Alcatel, Siemens, and Lucent. In the fourth quarter of 2003, Verso closed orders with 31 carriers in 17 countries with 64% of softswitch revenues coming from national/incumbent carriers.

"The SRG findings are proof positive that Verso is not only delivering the products needed in the global softswitch marketplace, but is doing so from a position of financial strength," said Steve Odom, Verso's chairman and chief executive officer. "This position and our growing recognition globally, should facilitate our growth objectives this year, which include capturing expanded shares of the worldwide tandem replacement switch marketplace--which we estimate will grow by about 50% annually over the next 4 years and top $2.1 billion by 2007--as well as the international long distance market, which we believe will exceed $440 million over the same period."

Verso offers complete tandem and end-office solutions in its Clarent PSTN and Edge Access Softswitch Solutions. The PSTN Access solution, which includes the BHG® family of media gateways, supports applications ranging from international toll bypass to full tandem replacement, while the Edge Access solution enables enterprise managed services, wholesale concentration of H.323 networks and voice over broadband (VOBB) for both business and residence end-users. The solutions integrate easily and are capable of supporting multiple business models simultaneously. Verso's Clarent softswitch solutions have been installed in more than 75 countries worldwide.

Verso Technologies Inc.