1. ClearOne Due Diligence findings and other matters 07/20/2005 Chat Products

2. Introducing CHAT 50!! Delivers hands-free, un-tethered, high-quality full-duplex audio in a wide variety of settings.

3. Chat 50 – USB connection Connected to a PC via USB cable: Internet telephone Skype, Vonage VoIP softphone Cisco, Nortel, Avaya, Inter- Tel etc. Web conferencing WebEx, Sametime, LiveMeeting IM with chat AOL, Yahoo, MSN Audio playback -.mp3 files, CDs PC-based gaming with TeamSpeak feature Desktop videoconferencing

4. Chat 50 – Connect to your existing phone Connected to telephone with headset jack: Significant audio performance improvement over built-in speakerphone. Cable has 3.5mm jack for Chat 50 and RJ9 modular connection for the headset jack on your existing phone.

5. Chat 50 – Connect to your cell phone Connected to cell phones: Significant audio performance improvement over built-in speakerphone. Multiple cable options for different cell phones (3.5mm to Chat 50 on one end & 2.5mm to headset jack on cell phone)

6. Chat 50 – Connect to iPod/MP3 players

7. Chat 50 – Connect to a desktop videoconferencing device Connected to desktop videoconferencing system: Significant audio performance improvement over built-in mics and speaker. Multiple cable options for different systems (3.5mm to Chat 50 with options for 3.5mm or RCA)

8. Chat 50 – product details Pricing: Chat 50 USB $149.99 – Includes: Chat 50 Personal Speakerphone and USB cable Chat 50 USB Plus $179.99 – Includes: Chat 50 Personal Speaker Phone, USB cable, 2.5mm-3.5mm cell phone audio cable and power supply Chat 50 Global Traveler $209.99 – Includes: Chat 50 Personal Speaker Phone, USB cable, 2.5mm-3.5mm cell phone audio cable, power supply (with power supply clips for US, EUR, UK, AUS), hard shell travel case and iPod/MP3 interface cable Accessories: Hard shell travel case Telephone interface cables Cell phone cables iPod/MP3 interface cable Desktop videoconferencing cable

9. Chat 50 vs. Communicator MSRP $149 - $209 Full-duplex Mute button USB Cell phone connection MP3 player connection Telephone connection Videoconferencing devices Built in DSP chip for AEC 2 year warranty MSRP $129 Full-duplex Mute button USB No cell phone connection No MP3 player connection No telephone connection No videoconferencing devices No built in DSP chip for AEC 1 year warranty

10. Chat 150 True full-duplex performance Distributed Acoustical Echo Cancellation Noise Cancellation Automatic level control Advanced microphone gating algorithms Wideband audio frequency response (20Hz-20kHz) Multiple connectivity options via breakout boxes & USB 3 built in microphones (12ft coverage) USB/analog mix feature for 3 way calls Chat software

11. Chat 150 Usage Models Audio conferencing peripheral for three categories of devices: Enterprise handsets PCs Video conferencing systems

12. Chat 150 – Enterprise Handsets Instead of replacing your handset with a conference phone, add the Chat 150 Retain all of the features that you enjoy on your phone: Access to company phone directory Dialing ad-hoc (meet me) audio bridge Retrieving voicemail Transferring calls But replace the poor-quality speaker on your phone with a rich, high-quality solution

13. Chat 150 – Enterprise Handsets Almost completely eliminates the issue of what kind of line do I need (analog, digital, VoIP) Breakout boxes will be specific to manufacturer (some crossover may occur) Current target list: Cisco Avaya Inter-Tel Nortel Siemens Alcatel NEC 3Com

14. Chat 150 – PCs & Video conferencing PCs VoIP soft phones Web-based video conferencing IM with chat Audio playback Skype Video conferencing systems Set-top Installed Logical replacement for AccuMic, although no daisy-chain capability

15. Chat 150 – Breakout Boxes Handsets – Plugs into headset jack. Includes headset jack. Privacy button mutes Chat 150 and re-routes audio to headset jack. (RJ-9) VC version – RCA in and out. Button mutes speaker on Chat 150 and re-routes speaker audio back to TV or in-room sound system. Note that the USB port is located on Chat 150 and therefore all skus have PC capabilities.

16. Chat 150 – Pricing & Availability Pricing: Chat 150 USB$399 Chat 150 VC$449 Chat 150 Cisco$449 Chat 150 Avaya$449 Chat 150 Inter-Tel$449 Etc. Availability Mid-October 2006 USB, VC, Cisco Additional phone breakout boxes coming soon

17. Chat 150 vs. SoundStation2 Avaya 2940 SoundStation2 Avaya 2940 $1,049 MSRP Full-duplex Automatic Gain Control Gated microphones 3 built in microphones 1 built in speaker 10 foot mic coverage No USB connection Not compatible with video No headset jack 1 year warranty Chat 150 $449 MSRP Full-duplex Automatic Level Control Gated microphones 3 built in microphones 1 built in speaker 12 foot mic coverage USB to PC Videoconferencing compatible RJ9 headset jack for privacy 2 year warranty