Chordiant Announces Breakthrough in Dynamically Driven CRM With Chordiant 5.

Business Editors/High-Tech Writers

CUPERTINO, Calif.--(BUSINESS WIRE)--Jan. 22, 2002

Based on the JX Architecture, Chordiant 5's flexibility and ease

of use enable faster Deployment and development, resulting

in more rapid realization of ROI 

Chordiant Software, Inc. (Nasdaq:CHRD), the leader in delivering Dynamically Driven Customer Relationship Management(TM) (CRM), today announced the availability of Chordiant 5. Chordiant 5 delivers a real-time, adaptive, process-driven CRM solution that radically differs from the less flexible, static, data-centric solutions offered by other CRM vendors.

Developed for the needs of large business to consumer enterprises, Chordiant 5 includes the Chordiant 5 Enterprise Platform, Chordiant 5 Marketing and Chordiant 5 Selling & Servicing. The Chordiant 5 Enterprise Platform is an integrated set of services that includes reusable business components. The integrated suite of marketing, selling and serving applications are all built upon the Chordiant JX Architecture(TM) and leverage the enterprise platform.

Chordiant 5 is the software industry's first end-to-end J2EE-standard CRM solution that delivers a real-time, adaptive CRM platform that leverages companies' existing infrastructure investments in operational systems within and beyond the enterprise. Global B2C enterprises that implement Chordiant 5 will now have consistent multidimensional views of their customers in real time, offering them a richer and more profitable experience, while enabling enterprises to leverage customer interactions into business opportunities.

"Chordiant's Dynamically Driven CRM provides the ability for global B2C companies to adapt consistently to individual customer requirements in real time in this changing economy, where demands on customer retention and ROI are critical for these companies," said Chordiant CEO Stephen Kelly. "No other company offers this adaptive, process-centric capability; and this is important, because more than half of all static CRM projects fail. In a challenged economy, enterprise-class companies are increasingly demanding scalable, process-oriented applications that allow them to apply their own processes and policies and achieve faster implementation, ROI, a means to control costs and build customer loyalty."

CHORDIANT 5 - BUILT TO SCALE

Chordiant 5 is based on open standards (J2EE, XML and SOAP), making it the only CRM platform enabled to scale to millions of individual customers and flexible enough to fit the enterprise, adapting easily to leverage existing systems and integrating with competing platforms.

The Chordiant 5 Enterprise Platform resolves the long-standing build versus buy CRM quandary faced by large B2C enterprises, by delivering out-of-the-box packaged processes, templates and applications, which are used to create adaptive and dynamic business processing using enterprise business rules and policies.

"The Chordiant JX Architecture is a welcome and long-awaited addition to the CRM market," said Will Zachman, META Group's vice president of SIS and AIS. "J2EE offers a single infrastructure that is flexible, scalable and easy to work with, and represents a significant step as companies look forward to the future and the possibility of mobile applications."

CHORDIANT JX ARCHITECTURE PROVIDES AN OPEN CRM ENTERPRISE PLATFORM

The Chordiant JX Architecture is a 100 percent standards-based open architecture. It delivers XML connectivity to the enterprise, and the J2EE standard object environment, allowing companies to more quickly and easily integrate Chordiant Dynamically Driven CRM applications with their operational systems and business processes. This offers a faster time-to-market for many enterprise-class CRM applications than custom built solutions and services.

The Chordiant JX Architecture delivers a high-performance XML implementation that is optimized for serialization and parsing, which delivers unmatched performance. The JX Architecture also includes standard J2EE interfaces and extensive use of XML and SOAP interfaces, which enable rapid, low cost integration of scalable applications into existing Global B2C corporate enterprises.

ABOUT CHORDIANT 5

Chordiant 5 includes Chordiant 5 Marketing applications, Chordiant 5 Selling & Servicing applications and the Chordiant 5 Enterprise Platform. Chordiant has evolved its proven delivery methodology for Chordiant 5 to exploit the open- and standards-based environments for faster implementation, common skill sets and faster ROI than alternative approaches.

Chordiant 5 drives down the cost of user training and customer interactions by providing customer-facing staff with guided interactions, a managed end-to-end process and data entry validation -- which limits errors, reduces costs and improves productivity.

Enterprises using Chordiant's CRM solutions also benefit from a dynamic view of their customers, a multidimensional perspective that is constantly evolving to meet the changing needs of the individual. Chordiant is capable of adapting easily to address the complexity of CRM interactions unique to the financial service and telecommunications industries, as well as consumer direct Global 1000 enterprises.

ABOUT CHORDIANT SOFTWARE, INC.

Chordiant Software, Inc. (www.chordiant.com) is a worldwide leader in developing and delivering Dynamically Driven CRM(TM) solutions for global B2C enterprises.

The Chordiant solution enables enterprises to gain a sustained competitive advantage through more efficient and effective marketing, selling and customer service. Only Chordiant delivers real-time, process-centric solutions that provide multidimensional customer interactions. The unique Chordiant JX Architecture(TM) leverages existing investments inside the enterprise and beyond, resulting in a more relevant and consistent customer experience.

Headquartered in Cupertino, Calif., Chordiant maintains offices in Boston; Chicago; Dallas; Manchester, N.H.; New York; London; Paris; Amsterdam, Netherlands; Frankfurt and Munich, Germany; Johannesburg, South Africa; Sydney and Melbourne, Australia.

SAFE HARBOR 

This news release includes "forward-looking statements" that are subject to risks, uncertainties and other factors that could cause actual results or outcomes to differ materially from those contemplated by the forward-looking statements. Forward-looking statements in this release are generally identified by words, such as "believes," "anticipates," "plans," "expects," "will," "would" and similar expressions which are intended to identify forward-looking statements. There are a number of important factors that could cause the results of Chordiant to differ materially from those indicated by these forward-looking statements, including, among others, potential difficulties in the assimilation of operations, strategies, technologies, personnel and products of acquired companies and technologies, the impact of perceived or actual weakening of economic conditions on customers' and prospective customers' spending on Chordiant software and services; quarterly fluctuations in Chordiant's revenues or other operating results; failure by Chordiant to meet financial expectations of analysts and investors, including failure resulting from significant reductions in demand from earlier anticipated levels; risks related to market acceptance of Chordiant's products; customization and deployment delays or errors associated with Chordiant products; impact of long sales and implementation cycles for certain Chordiant products; reliance by Chordiant on a limited number of customers for a majority of its revenues; Chordiant's need to retain and enhance business relationships with systems integrators and other parties; Chordiant's use in its products of third-party software; activities by Chordiant and others regarding protection of intellectual property; and competitors' release of competitive products and other actions. Further information on potential factors that could affect the financial results of Chordiant are included in risks detailed from time to time in Chordiant's Securities and Exchange Commission filings, including without limitation Chordiant's report on Form 10-Q for the quarterly period ended September 30, 2001, and the Annual Report on Form 10-K filed on March 27, 2001. These filings are available on a Web site maintained by the Securities and Exchange Commission at http://www.sec.gov. Chordiant does not undertake an obligation to update forward-looking or other statements in this release.

Note to Editors: Chordiant and the Chordiant logo are registered trademarks of Chordiant Software, Inc. JX Architecture and Dynamically Driven CRM are trademarks of Chordiant Software, Inc. All other trademarks and registered trademarks are the properties of their respective owners.