BOHEMIA,  N.Y. and SALT LAKE CITY, Aug 22, 2000 /PRNewswire via COMTEX/ --
Nortel Networks* and Fonix Corporation (OTC Bulletin Board: FONX) announced
today the signing of an OEM license agreement under which Nortel Networks will
sub-license Fonix Text-To-Speech (TTS) products to its worldwide clients
requiring computer telephony integration and telecom enhanced network services.
By way of this agreement, Fonix TTS technology will complement the current set
of Nortel Networks technologies and products such as Interactive Voice Response
(IVR), voice portals, speech input, messaging, fax and Web browsers. Nortel
Networks helps companies attract, retain, service and grow profitable customer
relationships by enabling a seamless customer experience across all touch points
-- web, email, phone, fax, in-person, kiosk, and handheld device. Its products
and services are used to leverage the high-performance Internet which moves
beyond transactions to focus on building, maintaining and growing relationships
both online and offline.
 
Fonix TTS is a high-quality Text-to-Speech engine, which includes unlimited as
well as customized vocabulary components and a customizable user dictionary so
that uncommon words may be incorporated as needed. Fonix TTS also features a
high-level FAAST (Fonix Accelerated Application Solutions Technology) API set
that easily incorporates text-to-speech into electronic products and solutions
including: IVR, voice portals, call centers, help desks, hand-held devices, and
consumer electronics.
 
"The Fonix TTS engine provides one of the most human sounding TTS technologies
in the marketplace," said Thomas A. Murdock, President and Chief Executive
Officer at Fonix Corporation. "Our key objective is to supply the highest
quality speech products to our business partners and customers. Aligning with
Nortel Networks will allow Fonix the opportunity to increase market share in the
global marketplace, and supply Nortel Networks customers with the best-of-breed
TTS."
 
About Fonix Corporation
 
Fonix Corporation (OTC Bulletin Board: FONX) is a leading provider of
human-user-interface (HUI) technology and solutions for wireless and mobile
devices, Internet and telephony systems, and vehicle telematics. Leading chip
manufacturers, independent software and hardware vendors, and Internet content
and service providers incorporate Fonix technology to provide their customers
with an easier and more convenient user experience. Fonix products, including
Text-To-Speech (TTS), Automatic Speech Recognition (ASR), and Handwriting
Recognition (HWR), can be easily implemented on multiple microprocessors and
operating systems, and provide the most natural communication solutions
available. For more information visit www.fonix.com or call (801) 553-6600.
 
Sales and Product Information, contact Scott Lindsey, (801) 553-6600,
sales@fonix.com
 
Media Information, contact Kurt Herrmann, (801) 553-6600, mediarel@fonix.com.
 
Investor Information, contact Michelle Aamodt, (801) 328-0161 invrel@fonix.com.
 
Note: The statements released by Fonix Corporation that are not purely
historical are forward-looking within the meaning of the "Safe Harbor"
provisions of the Private Securities Litigation Reform Act of 1995, including
statements regarding the Company's expectations, hopes, intentions, and
strategies for the future. Investors are cautioned that forward-looking
statements involve risk and uncertainties that may affect the Company's business
prospects and performance. It is important to note that the Company's actual
results could differ materially from those in such forward- looking statements.
Risk factors including general economic, competitive, governmental, and
technological factors as discussed in the Company's filings with the SEC on
Forms 10-K, 10-Q and 8-K. The Company does not undertake any responsibility to
update the forward-looking statements contained in this release.
 
 
     * Nortel Networks is a trademark of Nortel Networks.
 
SOURCE Fonix Corporation
 
 
 CONTACT:          Sales and Product Information, Scott Lindsey, 801-553-6600,
                   sales@fonix.com, Media Information, Kurt Herrmann, 801-553-66
0,
                   mediarel@fonix.com, or Investor Information, Michelle Aamodt,
801-328-0161,
                   invrel@fonix.com, all of Fonix Corporation
 
 URL:              fonix.com