Business Editors

ATLANTA--(BUSINESS WIRE)--April 3, 2000

Cooperation Introduces Customers to Speech-Enabled Call Center,

E-Business and Voice Portal Technology

PricewaterhouseCoopers, the world's largest professional services organization, and Philips Speech Processing, a leader in speech recognition, natural dialogue and language understanding, jointly agreed to promote speech recognition technology.

Under the agreement, PricewaterhouseCoopers will add Philips Speech Processing technology to its portfolio of consulting services in the area of Customer Relationship Management (CRM). Initially, the companies will target clients in the banking, travel and mobile telecommunications industries.

The agreement offers PricewaterhouseCoopers clients access to speech technology that will help them better manage customer relationships, free-up critical call center resources and provide easy access to the Internet via WAP and voice portal applications. Philips will work together with PricewaterhouseCoopers on the development of customized speech-enabled user interface platforms based on the Philips' SpeechPearl(R) and SpeechMania(R) natural language recognition software for telecom services and business applications.

"Providing employees and customers with an easy and natural way to communicate with a company's database or information systems is critical to any Customer Relationship Management or e-business strategy," said Graham Whitney, partner, PricewaterhouseCoopers. "We will look back in 10 years and see the widespread application of speech technology as one of the major contributors to fundamental changes in the way we live and do business. The speech technology from Philips allows for the implementations of highly advanced, customer-connect resources--from fully automated directory assistance for millions of subscribers to speech-enabling technologies for Web access via voice."

The two companies will begin co-marketing speech solutions to clients, especially in areas with rapid call center service dependent industries such as banking, travel, mobile telecommunications and other industries. Within these markets speech technology already is at the heart of plans to create fully personalized virtual call centers and mobile commerce applications. The first customer implementations are expected later this year.

"Speech recognition and natural language technologies are the cornerstone for state of the art automated information systems and an ideal means of communicating with computers or electronic devices," said Cesar Vohringer, president and CEO of Philips Speech Processing. "In working with one of the worldwide leaders in technology consulting, Philips seeks to increase the speed of adoption of the latest speech technology within customer relationship management systems, to the benefit of the industry and users across the globe."

PricewaterhouseCoopers operates one of the world's largest Customer Relationship Management (CRM) consultancy practices and is active in e-business strategy development, Web site and information system design, infrastructure and organizational structure development and implementation needed to support a company's online business. As a leader in consulting and integration solutions, PricewaterhouseCoopers has the people and skills, as well as a broad geographic coverage, to deploy to its client base customer-centric technology in conjunction with Philips.

About PricewaterhouseCoopers

PricewaterhouseCoopers (http://www.pwcglobal.com) is the world's leading professional services organization. Drawing on the knowledge and skills of more than 150,000 people in 150 countries, we help our clients solve complex business problems and measurably enhance their ability to build value, manage risk and improve performance in an Internet-enabled world. PricewaterhouseCoopers refers to the member firms of the worldwide PricewaterhouseCoopers organization.

About Philips Speech Processing

Philips Speech Processing, a business unit of Royal Philips Electronics, is a pioneer and global leader in speech recognition, natural dialogue and language understanding technologies, with more than 40 years experience in the development and marketing of speech products. Philips offers a broad portfolio of speech technology solutions to the telecommunications, IT, automotive and consumer electronics industries. As a developer and provider of speech technologies in multiple languages, Philips has the largest installed base of speech recognition and natural language understanding systems in Europe, and is a large and growing provider of speech technology in North America. Installations include call center services automation, telephony applications, professional dictation solutions, voice controlled devices and Internet applications. Visit www.speech.philips.com for additional information.

About Philips

Royal Philips Electronics of the Netherlands is one of the world's biggest electronics companies and Europe's largest, with sales of $33.5 billion (EUR 31.5 billion) in 1999. It is a global leader in color television sets, lighting, electric shavers, color picture tubes for televisions and monitors, and one-chip TV products. Its 226,900 employees in more than 60 countries are active in the areas of lighting, consumer electronics, domestic appliances, components, semiconductors, medical systems, business electronics, and IT services (Origin). Philips is quoted on the NYSE (symbol: PHG), London, Frankfurt, Amsterdam and other stock exchanges. Internet: www.news.philips.com

Editor's Note: Philips has created the following rapid-response, toll-free number for all editorial inquiries: (800) 210-9605. Product slides/digital images available upon request.

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The name PricewaterhouseCoopers is one word, with upper case P, upper case C, and all other letters in lower case.