Octane Secures $13 Million in Financing from Norwest, Greylock, KPMG, Lucent Venture Partners, and Sigma

Second Round of Financing Funds Growth of Leading eCRM Company

SAN MATEO, Calif., Oct. 11 /PRNewswire/ -- Octane Software, Inc.(TM), a leading provider of electronic customer relationship management (eCRM) solutions, today announced it has closed $13 million in its second round of financing. The financing was led by Octane's newest investor, Norwest Venture Partners (www.norwestvp.com), a premier venture capital business partner for emerging growth IT companies. In addition to Norwest Venture Partners, the first round venture capital investors of Greylock, Sigma, and Lucent Venture Partners, the investment subsidiary of global communications giant Lucent Technologies (NYSE: LU - news), continued their participation at maximum levels. Round 2 funding also included participation by KPMG, a leading global advisory firm, as a corporate investor. The $13 million will be used to expand Octane's sales and marketing operations in the U.S. and Europe, as well as to fund further research and development efforts. Since its founding in September 1997, Octane has raised a total of more than $19 million in financing and in the first year of its Octane 99(TM) product launch continues to challenge industry records for CRM and eCRM product sales.

"Octane Software has demonstrated its market and business expertise through its visionary leadership of the new eCRM market, its rapid delivery of leading business applications, and its aggressive launch of the company and products," said George J. Still, Jr., managing partner at Norwest Venture Partners. "We foresee rapid adoption of the Octane 99 suite as companies evolve their e- business requirements beyond temporary point solutions to long lasting enterprise eCRM applications. With their fast growing customer base of Digital 1000 companies, and successful product development record, Octane is well- positioned to be the leading provider of complete eCRM solutions for e-businesses."

The addition of Norwest Venture Partners further advances Octane's wealth of proven business partners providing expertise in strategic growth and networking. The combined investment team brings a strong record of success providing financial support and business development in the technology and Internet markets, including companies such as Annuncio Software, Birthday Express.com, Books24x7.com, CheckFree, Connectinc.com, Context Integration, Corio, eForce, Emergent Advisors, GetThere.com, Internet Business Advantage, Manage.com, Market- Touch, NetObjects, OfficeClick.com, Rates.Com, Space.com, and Vignette.

About Octane Software

Octane Software, Inc. is the leading provider of customer care solutions for the Digital 1000. Founded in 1997 by a team of front office industry experts, Octane is focused exclusively on helping its Digital 1000 customers use real-time, interactive customer care to compete in the new e-business economy. With its extensive experience in front office and e-business implementations, and patent- pending technologies, Octane is uniquely qualified to address the needs of the Digital 1000. Headquartered in San Mateo, Calif., with sales offices in Atlanta, Boston, Chicago, Dallas, and London, Octane can be reached toll free at 877- 4OCTANE, via e-mail at , or on the Web at www.octanesoftware.com.

NOTE: Octane, Octane Software, Octane 99 and Digital 1000 are trademarks of Octane Software, Inc. Other company and product names used in this publication are for identification purposes only and may be trademarks of their respective companies.

SOURCE: Octane Software, Inc.