Raindance Communications to Acquire Certain Revenue-Generating Assets of BCE Conferencing; Purchase Allows Raindance to Extend L

Raindance Communications, Inc. (Nasdaq:RNDC) announced
today that it has entered into an agreement to acquire certain
revenue-generating assets and assume certain related obligations of
BCE Conferencing Inc., a subsidiary of Bell Canada, Canada's largest
communications company. Raindance will acquire these assets for
approximately $6 million in cash. Raindance expects the transaction to
be immediately accretive to earnings. Subject to customary closing
conditions, the acquisition is anticipated to close on September 30,
2005.
   "This acquisition is a solid step forward in continuing our
marketplace momentum through an expanded customer base and by
leveraging web opportunities through a strengthened sales force," said
Don Detampel, president and CEO of Raindance. "We look forward to
combining our strengths to further expand the market opportunity in
multimedia conferencing."
   BCE Conferencing delivers operator-assisted and reservationless
audio conferencing, web conferencing and webcasting to its U.S.-based
customers. Through this acquisition, Raindance will bring additional
benefits to the newly acquired customers of BCE Conferencing,
including tightly integrated audio conferencing, expanded web
management tools and direct access to Raindance's 24x7x365 customer
support.
   "Bell Conferencing Inc., BCE Conferencing's parent company, and
Raindance have enjoyed a long-standing partnership and this
transaction is another step in the evolution of our relationship. We
believe both companies will benefit from each other's domain expertise
to provide a greater range of enhanced voice and web services," said
Gordon Forsythe, Chief Operating Officer, Bell Conferencing. "I
believe this will be an outstanding experience for our customers to
become part of a team with such high standards for performance and
support."

   About Raindance Communications

   Raindance Communications, Inc. (Nasdaq:RNDC), the leader in
integrated multimedia conferencing services and support, brings an
entirely new level of simplicity and interaction to remote meetings
and events. Its suite of best-in-class services, Raindance Seminar
Edition and Raindance Meeting Edition, redefine the everyday meeting
experience. Thousands of corporate customers currently use Raindance's
technology to more effectively communicate with colleagues, vendors,
customers and partners around the world. For more information, please
visit www.raindance.com or call 800-878-7326.

   Safe Harbor Statement under the Private Securities Litigation
Reform Act of 1995

   This release contains forward-looking statements, including
expectations regarding the transaction being immediately accretive to
earnings, the anticipated closing date, a growing partnership with
Bell Canada, our ability to exploit the multi-media market
opportunity, future company and service performance, market acceptance
and customer adoption and increased use of our services. These
statements are subject to risks and uncertainties, which could cause
future events to differ materially. These risks and uncertainties
include our ability to timely close the transaction, the acquired
assets not performing as we anticipate, the failure or interruptions
in the software, systems or network underlying Raindance's services,
competition from presently existing and new competitors, price
pressure, and difficulties adopting new customers and increasing
customer usage our services. Additional information concerning factors
that could cause actual results to differ materially from those
contained in the forward-looking statements can be found in Raindance
Communications' filings with the Securities and Exchange Commission.
Copies of filings made with the SEC are available through the SEC's
electronic data gather analysis and retrieval system (EDGAR) at
www.sec.gov. Raindance Communications assumes no obligation to update
the forward-looking statements included in this document.

   Raindance, Raindance Communications, SwitchTower and OpenGo and
our logo are trademarks or registered trademarks of Raindance
Communications, Inc. All other company names and products may be
trademarks of their respective companies.