Polycom Acquires Destiny Conferencing, A Provider of Telepresence Solutions

Destiny Brings Core Patents Covering Telepresence Solutions

PLEASANTON, Calif. – Jan. 8, 2007 – Polycom, Inc. (NASDAQ: PLCM), the world’s leading provider of unified collaboration solutions, today announced it has acquired Destiny Conferencing Corporation, a privately held telepresence solutions company headquartered in Dayton, Ohio. Destiny’s telepresence solution already incorporates Polycom’s leading videoconferencing products and is the basis for Polycom’s RPX™ telepresence offering. As a result of the acquisition, Polycom now owns several patents core to telepresence, a rapidly-emerging market driven by the need for dispersed people to communicate as if they are all in the same room.

Polycom purchased Destiny for $47.6 million in cash, which includes repayment of debt and an escrow amount. Destiny shareholders may receive up to an additional $10 million of consideration through 2009, based on the achievement of certain financial milestones.

“With the Polycom HDX™ 9000 high-definition video platform at the core of this immersive solution, Polycom can provide the best telepresence experience through standards-based video technology,” said Robert Hagerty, chairman and CEO at Polycom. “In fact, driven by our RPX platform, we are gaining unprecedented visibility with ‘C-level’ management within enterprise customers, government agencies, and educational institutions. This solution unleashes the power of IP-based collaboration to a level that has previously not been possible.”

“Destiny long ago determined that Polycom’s video innovations are the best in the industry and, coupled with their global market leadership, is pleased to join Polycom as they capture the wave of telepresence adoption,” said David Allen, president and CEO of Destiny Conferencing. “Through this acquisition, Polycom not only gains core intellectual property, but inherits key telepresence customer relationships with organizations such as Capital One, AOL, and Deloitte & Touche.”

Destiny has 27 employees, primarily located in Dayton, Ohio, who will be joining Polycom. In addition to its product solutions, Destiny also had a hosting solution that was divested simultaneously with the closing of the transaction.

About Destiny Conferencing
Destiny Conferencing is a leading provider of immersive telepresence solutions. Destiny’s solutions utilize Polycom video technology and are compliant with the SIP and H.323 communications protocols. For more information, visit the Destiny website at www.telesuite.com.

About Polycom
Polycom, Inc. is the worldwide leader in unified collaboration that maximizes the efficiency and productivity of people and organizations by integrating the broadest array of video, voice, data and Web solutions to deliver the ultimate communications experience. Polycom’s high quality, standards-based conferencing and collaboration solutions are easy to deploy and manage, as well as intuitive to use. Supported by an open architecture, they integrate seamlessly with leading telephony and presence-based networks. With its market driving technologies, best-in-class products, alliance partnerships, and world-class service, Polycom is the smart choice for organizations seeking proven solutions and a competitive advantage in real-time communications and collaboration. For additional information call 1-800-POLYCOM (765-9266) or +1-408-526-9000, or visit the Polycom website at www.polycom.com.

This release contains forward-looking statements, within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995, including statements regarding Polycom’s capturing the wave of telepresence adoption. These forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially, including possible delays in the development, availability and shipment of new products, including without limitation our telepresence products, changing market demands, the market acceptance of our products, the impact of competition on our product sales and for our customers and partners, Polycom’s success in effectively and timely integrating Destiny’s operations, management distraction associated with the integration of the Destiny acquisition, and increasing costs and differing uses of capital. Many of these risks and uncertainties are discussed in Polycom’s Quarterly Report on Form 10-Q for the quarter ended September 30, 2006, and in other reports filed by Polycom with the SEC. Polycom disclaims any intent or obligations to update these forward-looking statements.

Polycom and the Polycom logo are registered trademarks and RPX and Polycom HDX are trademarks of Polycom in the U.S. and various countries. All other trademarks are the property of their respective owners. ©2007, Polycom, Inc. All rights reserved.

Polycom reserves the right to modify future product plans at any time. Products and/or related specifications referenced in this press release are not guaranteed, and will be delivered on a when and if available basis.

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