FREMONT, Calif., July 11 - AltiGen® Communications, Inc. (Nasdaq: ATGN), a pioneering manufacturer of VoIP business phone systems and call center solutions has added the Environmental Protection Agency (EPA) of Beijing to its growing list of government customers in China.

The Chinese government is coping with a rapidly expanding economy and is seeking to improve its environmental policy and reduce the negative impact of pollution resulting from China's rapid industrialization. The EPA of Beijing currently receives thousands of calls every day, a figure that has been growing rapidly. Many of these incoming calls are from citizens reporting violations of environmental policies and the agency has suffered from overwhelming complaints of slow response, inefficient processing of information and incorrect logging of reported problems. With a mandate to streamline and improve the handling of incoming information, the agency has adopted AltiGen's AltiContact Manager call center solution to upgrade its call handling and information processing capabilities.

Since the installation, the agency has been able to establish a highly effective environmental monitoring, protection and correction system centered on the powerful functionalities of the AltiGen system, particularly the call recording, call monitoring, and call detail reporting capabilities. Taking advantage of the distributed call center capability of AltiGen's AltiContact Manager solution has allowed the EPA to place remote agents in various locations throughout the city. Incoming telephone calls and related data have been integrated to appear as if all agents were located in a single location. It is anticipated that these features will help improve the public image of the EPA agency. The agency now receives citizen reports and complaints 24x7 and promptly responds with efficiency and accuracy.

"We are delighted to add the EPA of Beijing to our expansive list of government customers in China," said AltiGen CEO Gilbert Hu. "This new customer win indicates that our solution continues to gain the trust of the Chinese government at various levels. With the Chinese economy experiencing tremendous economic growth, we believe the call center market in China will continue to rapidly expand and AltiGen is well-positioned to capitalize on that growth."

AltiGen's solutions have been implemented in various city or provincial governments throughout China including: Beijing Railway, Shanghai 12319 Citizen Hotline, Shanghai Custom, Tianjin City 12319 Citizen Hotline, Guangdong 12315 Citizen Hotline, Ganxu 12315 Citizen Hotline, Suzhou 12345 Citizen Hotline, Chendu 12345 Citizen Hotline, Chongqin Traffic Monitoring Agency, Kunmin City 12315, and China Gas. Over the years, AltiGen has also established a dominant position throughout the water districts of China.

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(TM) 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 customers 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 Asian markets, and specifically, our ability to expand and grow within the Chinese call center market. 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, 2005 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.