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New Western European UMTS Operator To Deploy Comverse Billing Solution for Prepaid and Post-paid Users

WOODBURY, NY, February 23, 2004 – Comverse, a unit of Comverse Technology, Inc. (NASDAQ: CMVT), and the world’s leading supplier of software and systems enabling network-based multimedia enhanced communications services, today announced that LuXcommunications S.A., the newest mobile operator (GSM & UMTS) in Luxembourg, has chosen Comverse’s Converged Real-Time Billing System to bill both prepaid and post-paid subscribers.

The Comverse Converged Billing System uses Intelligent Network (IN) technologies and standards, and is designed to manage many millions of active customer accounts simultaneously, authorizing in real-time every user request for voice and data services for both prepaid and post-paid subscribers. Account statistics and service usage data are available in real-time, providing immediate feedback and helping in the development of targeted marketing programs. The system comes with a consistent administrative interface, a single tariff database and the ability to define hybrid accounts that offer the best of both prepaid and post-paid billing.

“The Converged Billing System from Comverse will allow us to start our service with one, unified billing package for both our prepaid and post-paid customers,” said Pascal Koster, Managing Director of LuXcommunications S.A. “Most importantly, it means that we can reduce overhead by having, for example, a single customer care unit for all our subscribers while providing a better, friendlier, and more efficient service,” said Jean-Claude Bintz, Managing Director of LuXcommunications S.A.

“Comverse is pleased that a new, technologically advanced service provider such as LuXcommunications has chosen our system,” said Guiseppe Elli, President of Comverse Europe. “Lack of synchronization between usage and billing can lead to a leakage of revenues that impacts negatively on operators; we believe the Comverse Converged Real-Time Billing System addresses these concerns with an effective solution for maximizing profitability.”

About LuXcommunications
LuXcommunications S.A. was awarded its UMTS license in July 2003. LuXcommunications is a joint venture between Audiolux S.A. and BGL Investment Partners S.A. LuXCommunications will be launching its 3G services in Luxembourg in summer 2004 and aims to attract customers by offering innovative services such as video messaging at attractive prices. For more information on LuXcommunications visit www.luxcommunications.lu.
About Comverse
Comverse, a unit of Comverse Technology, Inc. (NASDAQ: CMVT), is the world’s leading provider of software and systems enabling network-based multimedia enhanced communication services. More than 400 wireless and wireline telecommunications network operators, in more than 100 countries, have selected Comverse’s enhanced services systems and software, which enable the provision of revenue-generating value-added services including call answering with one-touch call return, short messaging services, IP-based unified messaging (voice, fax, and email in a single mailbox), 2.5G/3G multimedia messaging (MMS), instant communications, wireless information and entertainment services, voice-controlled dialing, messaging and browsing, prepaid wireless services, and additional personal communication services. Other Comverse Technology business units include: Verint Systems, a leading provider of analytic solutions for communications interception, digital video security and surveillance, and enterprise business intelligence; and Ulticom, a leading provider of service enabling network software for wireless, wireline, and Internet communications. Comverse Technology is an S&P 500 and NASDAQ-100 Index company. For additional information, visit the Comverse web site at http://www.comverse.com.

All product and company names mentioned herein may be registered trademarks or trademarks of Comverse or the respective referenced company(s).
Note: This release may contain forward-looking statements that involve risks and uncertainties. There can be no assurances that forward-looking statements will be achieved, and actual results could differ materially from forecasts and estimates. Important factors that could cause actual results to differ materially include: changes in the demand for the company's products; changes in capital spending among the company's current and prospective customers; the risks associated with the sale of large, complex, high capacity systems and with new product

introductions as well as the uncertainty of customer acceptance of these new or enhanced products from either the company or its competition; risks associated with rapidly changing technology and the ability of the company to introduce new products on a timely and cost-effective basis; risks associated with changes in the competitive or regulatory environment in which the company operates; risks associated with significant foreign operations and international sales and investment activities, including fluctuations in foreign currency exchange rates, interest rates, and valuations of public and private equity; the volatility of macroeconomic and industry conditions and the international marketplace; risks associated with the company's ability to retain existing personnel and recruit and retain qualified personnel; and other risks described in filings with the Securities and Exchange Commission. These risks and uncertainties, as well as others, are discussed in greater detail in the filings of the company with the Securities and Exchange Commission, including its most recent Annual Report on Form 10-K and its subsequent Quarterly Reports on Form 10-Q. These documents are available through the company, or through the SEC's Electronic Data Gathering Analysis and Retrieval system (EDGAR) at www.sec.gov. The company makes no commitment to revise or update any forward-looking statements in order to reflect events or circumstances after the date any such statement is made.





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