Cap Gemini Ernst & Young and Micromuse Raise the Bar on Business Availability Solutions; Increased Infrastructure Visibility Addresses Customer Experience and Corporate Bottom Line.

Business Editors/High-Tech Writers

SAN FRANCISCO & NEW YORK--(BUSINESS WIRE)--Feb. 10, 2003

Micromuse Inc. (Nasdaq: MUSE), the leading provider of service and business assurance software, and TELECOM MEDIA NETWORKS (TMN), an industry practice of the Cap Gemini Ernst & Young Group (CGE&Y), one of the world's largest IT and management consulting firms, today announced that they are working together to provide enterprises with next generation IT management solutions for the efficient detection and diagnosis of system outages.

The collaborative effort between TMN and Micromuse allows companies to tailor the Netcool(R) solution and implementation to prevent downtime and increase service availability to ensure reliable and quality customer service.

Network outages are a consistent and costly problem for connected enterprises. According to an August 2002 Yankee Group study, one hour of network downtime can cost companies between $90,000 and $4.5 million in revenue, depending upon the specific industry. Companies are striving to avoid network outages and manage the end-to-end service delivery chain. With the Netcool(R) suite, companies are now able to view and dynamically monitor in real-time the status of revenue-generating services aof their networks and infrastructures before outages occur. In addition to helping companies save the substantial costs incurred by service downtime, the collaborative solution may also provide superior customer service by enabling 'start-to-finish' visibility of the customer's service experience.

"In order to manage and improve the availability of services, companies must have visibility to all layers of delivery from the transaction layer, to the applications and infrastructure underlying each transaction," said Greg Douglass, CGE&Y's Vice President, Technology Services for TMN's U.S. region. "In working with the Netcool solution, we have been able to provide our joint customers with a single pane of glass for each service, raising visibility to the end customer's experience. The customer-centric service view allows companies to proactively defend against outages before they become million dollar problems, providing an immediate return on the technology investment."

Micromuse's Netcool(R) solution collects and consolidates service data from various information systems to quickly identify where problems are occurring within the enterprise and how those problems may impede business. Its unique rules engine provides the ability to monitor and warn of the event patterns leading to a service outage. Using a Web-based centralized management interface, the solution then alerts operations staff to potential problems and service pitfalls before revenue-draining outages can occur.

"Teaming with TMN we have been able to redefine the monitoring process for our customers from reactive to proactive, enabling them to visually understand how customers are, or rather are not, interacting with a service when IT degradation is occurring," said Darin Layman, Vice President, Micromuse Alliances & Solutions Marketing. "When they combine Netcool solutions with TMN's custom integration expertise to deploy an enterprise availability solution, our customers are able to identify issues, take corrective action and communicate with their business lines in a timely manner, thereby allowing them to be prepared to respond to customer calls more efficiently."

About Micromuse

Micromuse Inc. (Nasdaq: MUSE) is the leading provider of service and business assurance software solutions. The Netcool(R) software suite provides organization with the assurance that their IT systems are supporting and driving profits 24 hours a day. Unlike traditional infrastructure management systems, Netcool solutions provide realtime end-to-end visibility and accurate troubleshooting from a business perspective. Such business intelligence allows organizations to respond to problems quickly, streamline workflow processes and improve business uptime. Micromuse customers include AT&T, BT, Cable & Wireless, Charles Schwab, Deutsche Telekom, Digex, EarthLink, GE Appliances, ITCDeltaCom, J.P. Morgan Chase, Mary Kay T-Mobile and Verizon. Headquarters are located at 139 Townsend Street, San Francisco, Calif. 94107; [phone]. The Web site is at www.micromuse.com.

About The Cap Gemini Ernst & Young Group

The Cap Gemini Ernst & Young Group is one of the largest management and IT consulting organizations in the world. The company offers management and IT consulting services, systems integration, and technology development, design and outsourcing capabilities on a global scale to help businesses continue to implement growth strategies and leverage technology. The organization employs around 55,000 people worldwide and reported 2001 global revenues of more than 8.4 billion euros. More information about individual service lines, offices and research is available at www.cgey.com

About Telecom Media Networks

Telecom Media Networks (TMN) is a global industry practice of Cap Gemini Ernst & Young focusing on the consulting, systems integration, and outsourcing needs of communications service providers and media players worldwide. TMN draws on the skills and resources of its 4,000-strong workforce and extensive partnership network to deliver innovative work to the industries' leading players, helping them to grow and operate profitably in low growth and highly competitive markets.

For more information visit www.cgey.com/tmn or email [e-mail]

Micromuse and Net cool are registered trademarks of Micromuse Ltd. All other trademarks and registered trademarks in this document are the properties of their respective owners. Any statements contained in this press release that do not describe historical facts may constitute forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. Any forward-looking statements contained herein are based on current expectations, but are subject to a number of risks and uncertainties.

The factors that could cause actual future results to differ materially from the forward-looking statements include the following: fluctuations in customer demand, the Company's ability to manage its growth (including the ability to hire sufficient sales and technical personnel), the risks associated with the expansion of the Company's distribution channels, the risk of new product introductions and customer acceptance of new products; the rapid technological change which characterizes the Company's markets, the risks associated with competition, the risks associated with international sales as the Company expands its markets, and the ability of the Company to compete successfully in the future, as well as other risks identified in the Company's Securities and Exchange Commission Filings, including but not limited to those appearing under the caption "Risk Factors" in the Company's most recent Quarterly Reports on Form 10-Q and on Form 10-K on file with the Securities and Exchange Commission and available on the Company's Web site.