Fremont , California , January 22, 2007 — AltiGen® Communications, Inc. a pioneering manufacturer of VoIP business phone systems and call center solutions announced today the availability of the MAX1000 Voice over IP (VoIP) phone system.

The MAX1000 is a premium full-featured VoIP phone system designed for branch offices and locations with up to 48 users with support for such features as SIP trunking, Meet-me conference bridge capability with scheduling application, On-demand Voice Recording, 4500 hours of voice mail storage, ExtensionAnywhere™ mobility and many other features in a single-box appliance.

“The MAX1000 is completely different from competing phone systems in that every branch office is fully autonomous”, said Ray Lutteroty, president of AltiGen reseller SRMS Network Technologies. “We will be installing nine MAX1000 systems in the next month for a multi-location credit union because of this advantage.”

Some of the MAX1000 key features and benefits include:

• Only one device required for a complete solution
• Built in conference bridge with scheduling application
• Self administration for do it yourself phone system management
• Office extension mobility with ExtensionAnywhere™
• Enterprise Manager for controlling MAX1000 systems across multiple locations.

“The MAX1000 opens new markets for AltiGen”, said AltiGen CEO , Gilbert Hu . “Most competitors are offering limited feature gateways as their only option for small or branch office customers. In a single box, AltiGen's MAX1000 customers will have everything they need to run a first rate business. Every MAX1000 can function as a standalone system, or multiple MAX1000 systems can be controlled through a single enterprise management application. Consistent with our multi-site strategy, we expect the addition of the MAX1000 to our product line will help drive system sales in fiscal 2007.”

Availability
The MAX1000 will be available starting February 1, 2007 through all AltiGen Authorized Resellers.

About AltiGen Communications
AltiGen Communications, Inc. is a pioneering manufacturer of VoIP business phone systems and call centers solutions. AltiGen designs, manufactures and markets advanced, IP-PBX telephone systems and IP call centers that leverage both the Internet and the public telephone network. These products enable an array of applications that take advantage of the convergence of voice and data communications to achieve superior business results. AltiGen Communications products are available from independent authorized resellers and strategic partners. AltiGen's AltiServ™ family of telephony solutions has been recognized for excellence with more than 40 industry awards since 1996. Focused on the small to mid sized and multi-site businesses, AltiGen customer s benefit from integrated solutions that protect their existing investments, while providing new ways to be more competitive, productive and to save money. For more information, call 1-888-ALTIGEN or visit the Web site at www.altigen.com .

Safe Harbor Statement
This press release contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, including, without limitation, statements regarding the continued market acceptance of our Voice over IP telephone systems and call center solutions in the SMB market, and our ability to successfully introduce the MAX1000 voice over IP (VoIP) phone system to our market space. These statements reflect management's current expectation. However, actual results could differ materially as a result of unknown risks and uncertainties, including but not limited to, risks related to AltiGen's limited operating history. For a more detailed description of these and other risks and uncertainties affecting AltiGen's performance, please refer to AltiGen's Annual Report on Form 10-K for the fiscal year ended September 30, 2006 and all subsequent current reports on Form 8-K and quarterly reports on Form 10-Q. All forward-looking statements in this press release are based on information available to AltiGen as of the date hereof and AltiGen assumes no obligation to update these forward-looking statements.

AltiGen Contacts: Niel Levonius Sr. Product Marketing Manager nlevonius@altigen.com 510-252-9712 x415

Investor Relations Jason Golz, Quynh Nguyen Financial Dynamics jgolz@fd-us.com 415-439-4532