Commtouch Reports 67 Resellers in North America Now Offer Its Anti-Spam Solution Featuring Recurrent Pattern Detection Technology.

Business Editors/High-Tech Writers

MOUNTAIN VIEW, Calif.--(BUSINESS WIRE)--April 26, 2004

Commtouch (R) (Nasdaq:CTCH), a global developer and provider of proprietary anti-spam solutions featuring Recurrent Pattern Detection (RPD) (TM) technology, announced today that Commtouch has signed its 67th systems integration partner in North America to its Commtouch Associate Program (CAP).

The newest benefactor of CAP is Apollo Information Systems, a Silicon Valley-based provider of information technology solutions to small and medium size businesses.

Commtouch analyzes a large volume of real email traffic over the Internet and detects new recurrent spam patterns immediately once they break out, and maintains a database of spam outbreaks; Commtouch protects its customers by matching incoming messages against the spam outbreak database, in real-time. Unique benefits of Commtouch Anti- Spam 3.5 include:

-- Message content independent - can detect spam in all languages

and in all file formats

-- Insensitive to content manipulation used by spammers - durable

against spammer evolution

-- Provides real-time protection from the very first moment a new

spam outbreak is unleashed - especially effective against

recently growing trend of malicious and fraudulent spam

messages

-- A Spam Analyzer that enables the IT department to quantify and

qualify aspects of spam bombarding the enterprise 24 hours a

day, seven days a week.

-- Integration with Enterprise resources e.g. existing SQL 

database and proxy server 

-- Differentiated configuration capability for enterprises with

multiple departments - perfect fit for large and distributed

organizations

-- Full support of Exchange 2003, Windows 2003 and Outlook 2003

Commtouch's smart anti-spam solution has been well received in a number of vertical market segments, specifically healthcare, universities, legal, and financial services.

"When it comes to spam what really matters, above all else, is accurate and reliable detection," said Al Mendes, director of consulting services at Unicom, Inc., a computer technology consulting company specializing in networking and eBusiness solutions for corporate, government and education clients throughout New England. "Not only does Commtouch's smart anti-spam approach deliver as advertised, it is a breeze to install and requires almost no administration -- set it and forget it. Our users particularly like the way Commtouch Anti-Spam sorts and separates the junk mail from the legitimate messages and the way it easily adapts to their needs. These are just some of the reasons why we, as a Commtouch partner, use it in our corporate environment and strongly recommend it to our clients."

Bill Vollerthum, president of Enabling Technologies Corp., a global IT consulting practice specializing in Microsoft Exchange and Lotus Notes Domino messaging architecture, noted: "Before we decided to resell Commtouch's solution, we tested the product using our own employees. Since implementing Commtouch's Anti-Spam software, we have freed our employees from all the annoying useless spam that came through our email server. In fact, we estimate that 99% of all spam we receive is now being detected, enabling our employees to be more productive. Another benefit not to be overlooked is that the Commtouch software has served as another safeguard against email viruses infiltrating our Exchange server."

Serge Mnatzkanian, vice president of technology at Pinnacle Inc., based in Southern California, commented, "Pinnacle is a firm believer in the Commtouch product. Pinnacle has adopted Commtouch for its own internal use after being frustrated with many other competing products' inefficiencies or their constant need for tweaking. As a reseller we strongly recommend Commtouch to our customers and we have closed the sale after each and every demo/evaluation installation. The product practically sells itself!"

Tim Straight, vice president of sales at Commtouch, remarked: "The automaker Saab advertises that those who test-drive a Saab usually purchase or lease one. Likewise, the integration partners make it a point of testing the products they plan to bring to market internally before they bring them to market. We're pleased that we have 67 instances where after the successful testing of our technology, companies such as Apollo, Enabling, Pinnacle and Unicom have chosen our solution."

Said Commtouch CEO Gideon Mantel, "Commtouch is 100% committed to its CAP program and continues to progress in expanding its overall channel coverage in North America."

About Commtouch

Commtouch Software Ltd. is a global developer and provider of proprietary anti-spam solutions featuring Recurrent Pattern Detection (TM) technology. Its mission is to protect and preserve the integrity of the world's most important communications tool -- email. The company's core technologies reflect its 13 years of experience as a leading vendor of email software applications and provider of global messaging services. Commtouch's patent-pending technologies are employed in solutions that are sold through channels and resellers and also sold directly to enterprises. In addition, Commtouch anti-spam technologies are incorporated in software applications of security and messaging OEMs. Commtouch is headquartered in Netanya, Israel and its subsidiary, Commtouch Inc., is based in Mountain View, CA. The company was founded in 1991 and has been publicly traded since 1999 (NASDAQ: CTCH). To learn more about Commtouch visit www.commtouch.com.

This press release contains forward-looking statements, including projections about our business, within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. For example, statements in the future tense, and statements including words such as "expect", "plan", "estimate", anticipate", or "believe" are forward-looking statements. These statements are based on information available to us at the time of the release; we assume no obligation to update any of them. The statements in this release are not guarantees of future performance and actual results could differ materially from our current expectations as a result of numerous factors, including business conditions and growth or deterioration in the Internet market, commerce and the general economy both domestic as well as international; fewer than expected new-partner relationships; competitive factors including pricing pressures; technological developments, and products offered by competitors; availability of qualified staff for expansion; and technological difficulties and resource constraints encountered in developing new products as well as those risks described in the company's Annual Reports on Form 20-F and reports on Form 6-K, which are available through www.sec.gov.

Other terms and product names in this document may be trademarks of others.

Recurrent Pattern Detection and RPD are trademarks and Commtouch is a registered trademark of Commtouch Software Ltd.