Active Software and HP Partner to Provide eBusiness Solutions to the Telecommunications Industry.

Business Editors/High-Tech Writers

SANTA CLARA, Calif.--(BUSINESS WIRE)--Jan. 31, 2000

Alliance Enables Telecommunications Companies to Increase the

Speed by Which Information and Services are Delivered

Active Software, Inc. (Nasdaq:ASWX), a leading provider of eBusiness integration software, and Hewlett-Packard Company (NYSE:HWP), a leading global provider of computing and imaging solutions and services for business and home, today announced that they have expanded their existing alliance to provide eBusiness solutions to the telecommunications industry.

HP's Communications Industry Business Unit (CIBU) will offer telecommunications companies rapid eBusiness integration solutions to increase the speed by which information and services are delivered.

&uot;Designing and implementing a true eBusiness solution can be an involved, time-consuming task for companies in the telecommunications sector,&uot; said Daniel Fustier, general manager of HP's Changengine Operation. &uot;Not only does an organization need to integrate the disparate applications that hold the vital information about their orders, network assets and customers, but they also need to implement the underlying business processes that allow information and services to be delivered quickly. The combination of Active Software's ActiveWorks(TM) Integration System, which integrates enterprise applications, and HP's Changengine, which enables organizations to automate and manage business process, enables telecommunications customers to rapidly become eBusinesses.&uot;

&uot;In today's eBusiness landscape, change is constant and telecommunication companies need to quickly react to the latest competitive pressures,&uot; said Jim Green, chairman and CEO, Active Software. &uot;Our alliance with HP enables customers to respond to changing business requirements by providing a fast and reliable solution for eBusiness deployments that influence all facets of their businesses.&uot;

Telecommunications as an eBusiness

Telecommunication companies require software and services to rapidly integrate back-office, network asset and cataloging, order provisioning, and billing applications in real-time. Improving the speed and accuracy of critical business operations such as account updates, service implementations and billing can lead to increased levels of customer satisfaction and higher revenues.

The alliance between Active Software and HP will improve the efficiency of these business operations, by enabling customers to rapidly develop and deploy complex business processes, such as service delivery and other operational support system functions, which integrate the various applications across a telecommunications company.

The result of the alliance will allow customers to leverage eBusiness opportunities to accelerate time-to-market for services and programs, deliver better customer service and reduce operational costs.

Under terms of the agreement, HP's CIBU will utilize and resell ActiveWorks in conjunction with HP Changengine, as the underlying architecture for packaged solutions and services to support customer's telecommunications eBusiness integration needs. Specific telecommunication integration solutions being developed and delivered to the market include service delivery, service assurance and service usage.

Active Software and HP first announced their alliance in September 1999 to develop and ship a tightly integrated environment between Active Software's ActiveWorks Integration System and HP Changengine. The ActiveWorks and HP Changengine solution is available today and can be purchased from HP.

HP Changengine

HP Changengine enterprise process management is based on HP technology that enables automation and management of business processes across applications and organizations, within and beyond the enterprise.

HP Changengine enables enterprise users and business partners to adapt to changing business demands by dynamically modifying business processes, independent of underlying applications and technologies, providing real-time management of the business environment. Information about HP Changengine can be found at http://www.hp.com/go/changengine.

HP's Communication Industry Business Unit

HP supplies communications IT infrastructure to every Fortune 500 telecommunications company in the world today. HP and its partners deliver management, network intelligence, billing and customer-case solutions for UNIX(R) and Windows NT(R) system platforms, enabling service providers to migrate from network- to customer-focused business models as the Internet and telephony worlds converge. More information is available on the Web at www.hp.com/go/telecom.

About HP

Hewlett-Packard Company -- a leading global provider of computing and imaging solutions and services for business and home -- is focused on capitalizing on the opportunities of the Internet and the proliferation of electronic services.

HP plans to launch Agilent Technologies as an independent company by mid-calendar 2000. Agilent consists of HP's test and measurement, semiconductor products, chemical analysis and healthcare solutions businesses, and has leading positions in multiple market segments.

HP has 83,200 employees worldwide and had total revenue from continuing operations of $42.4 billion in its 1999 fiscal year. Information about HP, its products and the company's Year 2000 program can be found on the World Wide Web at http://www.hp.com.

Active Software's ActiveWorks Integration System

ActiveWorks is the only eBusiness solution of its kind to offer a flexible, scalable and reusable platform that enables customers to quickly become eBusinesses by linking their front-office, back-office, supply chain and eCommerce operations. This 4th generation Enterprise Application Integration (EAI) technology offers InterActions, Intelligent Adapters and Visual Design Tools, all of which will help accelerate a company's time-to-market.

About Active Software, Inc.

Founded in 1995, Active Software, Inc, (Nasdaq:ASWX) is a leading provider of eBusiness integration software products that enable the integration of enterprise software applications within and across the extended enterprise. Active Software has more than 160 customers in industries such as telecommunications, financial services, government, technology, utilities, distribution, manufacturing and transportation. Active Software's headquarters are in Santa Clara.

For more information, visit the company Web site at www.activesw.com.

Except for the historical information contained herein, the matters discussed in this news release are forward-looking statements that involve risks and uncertainties that could cause actual results to differ materially from those in such forward-looking statements. Potential risks and uncertainties include, without limitation, Active Software's limited operating history; potential fluctuations in operating results; delays in development or shipment of the Company's products; the Company's substantial dependence on its ActiveWorks software products; the uncertain market acceptance of eBusiness integration software products; the Company's need to expand its sales and distribution channels; the Company's reliance on system integrators and other strategic relationships, as well as applications made by third parties; and the introduction of new products or services by major competitors. These and other risk factors are described in detail in the Company's prospectus dated August 12, 1999, in its Form 10-Q for the quarter ended Sept. 30, 1999 and in its other filings with the Securities and Exchange Commission.

Note to Editors: The Active Software logo is a registered trademark and ActiveWorks and Active Software are trademarks of Active Software, Inc. All other trademarks mentioned herein are the property of their respective owners.