Chile's Telefonica Internet Empresas Deploys Micromuse's Netcool Suite; The Netcool Suite Enhances Internet-Based Services for Leading South American ISP.

Business Editors/High Tech Writers

SAN FRANCISCO--(BUSINESS WIRE)--May 22, 2002

Micromuse Inc. (Nasdaq: MUSE), the leading provider of service and business assurance software, today announced that Telefonica Internet Empresas has implemented the Netcool(R) suite to provide realtime status monitoring of its network infrastructure and to help ensure uptime of its Internet-based services.

Based in Santiago, Chile, Telefonica Internet Empresas (TIE) delivers tailored communications solutions such as DSL, Web and mail hosting services to leading enterprises throughout Chile.

"Our top priority is to ensure a high standard of service for our customers," said Oscar Belmar Madrid, Sub Director de Ingenieria at Telefonica Internet Empresas. "Micromuse's Netcool(R) solution reinforces that commitment by helping to maintain continuous availability of our Internet-based services. The Netcool suite provides for easy installation and integration, enabling us to deliver reliable and cost-effective services to our customers."

After a detailed analysis of the available solutions, TIE chose Micromuse's flagship Netcool/OMNIbus(TM) application to provide realtime fault monitoring of its IT-based services and to help consolidate information from existing management applications, including HP's Network Node Manager(TM). TIE also deployed the Netcool/Internet Service Monitors(TM) (Netcool/ISMs(TM)) suite to monitor the availability, usability and response times of HTTP, DNS, POP3, SMTP, IMAP and ICMP protocols. The Netcool/ISMs suite alerts IT staff to infrastructure problems, such as traffic overloads or memory issues, so they are able to address problems before applications or services go down.

In addition, TIE is utilizing a customized set of Netcool Probes & Monitors(TM), notably the Probes for Syslog(TM) and SNMP TrapD(TM), to gather status information from various devices throughout its network and to deliver status information to the Netcool ObjectServer(TM) in-memory database. This helps TIE's network operators quickly identify infrastructure faults and determine their relationships to services, allowing them to better maintain consistent reliable levels of service. The Netcool suite is also integrating closely with TIE's existing event management and tracking applications via Netcool Gateways(TM), including Remedy trouble-ticketing solutions.

"As a leading provider of Internet services in Chile, TIE recognizes the value of an open and scalable service assurance solution," said Aric Bendorf, Micromuse's Director, Latin America. "The Netcool suite's ability to consolidate the management of diverse network elements will help ensure TIE's Internet based services are delivered in a reliable and cost-effective manner."

The solution was implemented by AMR Telecomunicaciones Ltd., a leading provider of professional services, consulting and network management solutions for data and Telco networks in South America.

About the Netcool(R) Suite

Micromuse's Netcool(R) software suite provides businesses with the assurance that their networks, services and applications are working. By allowing our customers to see what's happening throughout the infrastructure in realtime, Netcool applications enable them to respond to problems before they cause network-based business services to go down.

Netcool suite applications install out-of-the-box, deploy rapidly and scale as networks grow. Micromuse's flagship, Netcool/OMNIbus(TM) application, includes a library of off-the-shelf software modules that allow our customers to collect and consolidate fault information from more than 300 popular environments spanning voice and IP, cable/broadband, switches and routers, and enterprise management systems.

About Micromuse

Micromuse Inc. (Nasdaq: MUSE) is the leading provider of service and business assurance software. Micromuse's recent list of awards include the Crossroads A-List Award for Best IP Network Diagnosis Product for the Netcool(R)/Visionary(TM) application. In addition, Micromuse was recently recognized in the Forbes 500, Bloomberg's Tech 100, the Barron's 500, the Business Week Info Tech 100, Deloitte & Touche's Technology Fast 500, the San Francisco Chronicle 500 and Network World's NW200. Micromuse customers include AT&T, BT, Cable & Wireless, Cellular One, Charles Schwab, Deutsche Telekom, Digex, EarthLink, GE Appliances, ITCDeltaCom, J.P. Morgan Chase, One 2 One and Verizon. Headquarters are located at 139 Townsend Street, San Francisco, Calif. 94107; [phone]. The Web site is at www.micromuse.com .

Micromuse and Netcool 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.