Telanetix Completes Multiple New Installations Leading to Strong Sales Growth in Third Quarter

SAN DIEGO, Sept. 6 /PRNewswire-FirstCall/ -- Telanetix, Inc. (OTCBB: TNXI) a leading developer of IP based video and conferencing solutions announced today that sales of its new Digital Presence conferencing system have increased significantly during the third quarter. In addition to new installations, the Company also reported strong backlog growth with orders for additional systems scheduled in New York, Chicago, Fremont, CA, Beverly Hills, and the Company's first international customer in Vancouver, British Columbia. The Company expects all of its current backlog of systems will be installed at customer sites during September.

"We are seeing good traction in the marketplace for our Digital Presence family of conferencing products," stated Tom Szabo, Telanetix Chairman and Chief Executive Officer, "with revenue and backlog growing accordingly this quarter. New customer development has also increased, not only in response to difficulties and delays in commercial travel, but also from clients finding that the clarity, data sharing, and ease-of-use of the Telanetix system allows them to earn a return on their investment in ways that traditional video conferencing could not support."

Telanetix Digital Presence Systems provide standard two and four screen conferencing systems with multi-location calling and data sharing as well as custom configurations using the Company's proprietary software CODEC's and technology integration. Telanetix products are sold through a network of audio-video Channel Partners with thirty nine sales offices in the United States and five Regional Demonstration Facilities.

About Telanetix, Inc.

Telanetix, Inc. has developed a unique technology which creates a fully immersive and interactive environment that integrates audio, video, and data from multiple locations into a single environment regardless of geographic boundaries. The company's Digital Presence(TM) Technology delivers full size, face-to-face images of real-time video, audio, and data in high quality resolution at 30 frames per second which is so profoundly real that users feel as if they are all present in the same room. Using Telanetix developed Codecs and advanced MPEG-4 compression on a Linux platform, the Company has effectively replaced the central videoconferencing bridge of legacy systems with high quality decentralized IP multicasting which provides speed and resolution which is significantly greater than those found in most existing technologies.

Additional information is available at the Telanetix corporate website at http://www.telanetix.com/.

Certain statements contained in this press release are "forward-looking statements" within the meaning of applicable federal securities laws, including, without limitation, anything relating or referring to future financial results and plans for future business development activities, and are thus prospective. Forward-looking statements are inherently subject to risks and uncertainties some of which cannot be predicted or quantified based on current expectations. Such risks and uncertainties include, without limitation, the risks and uncertainties set forth from time to time in reports filed by the company with the Securities and Exchange Commission. Although the company believes that the expectations reflected in such forward-looking statements are reasonable, it can give no assurance that such expectations will prove to have been correct. Consequently, future events and actual results could differ materially from those set forth in, contemplated by, or underlying the forward the forward-looking statements contained herein. The company undertakes no obligation to publicly release statements made to reflect events or circumstances after the date hereof.