Commtouch Software to Present at the C.E. Unterberg, Towbin, LLC Emerging Growth Company Conference.

MOUNTAIN VIEW, Calif. -- Commtouch(R) (Nasdaq:CTCH), the developer of ground breaking RPD(TM) technology for real time anti-spam and zero-hour virus protection, today announced that the company will be presenting at the C.E. Unterberg, Towbin, LLC ("CEUT") emerging growth company conference in New York City on Tuesday, July 12, 2005, at 11:10 a.m. EST.

CEUT's Emerging Growth Conference will feature presentations by, and investor meetings with, nearly 100 public companies with market caps under $250 million. It will be held at the Mandarin Oriental Hotel in New York City, Tuesday, July 12, 2005, and Wednesday, July 13, 2005.

The presentation, carried by Commtouch CEO Gideon Mantel, will also be presented online by Wall Street Webcasting, at http://www.wsw.com/webcast/ceut2/ctch/. The webcast can be accessed on the presentation time, and for the next 90 days.

About C.E. Unterberg, Towbin

With more than 70 years of history, C.E. Unterberg, Towbin supplies capital and financial advice to growth companies in the technology, life sciences and global security sectors. CEUT services and operations include public offerings, mergers and acquisitions, private placements, direct investments, research, asset management and private client work. Principal offices are in New York, San Francisco, Menlo Park, Boston, Herzelya (Israel) and Hong Kong.

About Commtouch

Commtouch Software Ltd. (Nasdaq:CTCH) is dedicated to protecting and preserving the integrity of the world's most important communications tool -- email. A global developer and provider of proprietary anti-spam solutions, Commtouch has an installed base of over 25 million users. The company's core technologies, including RPD(TM) Recurrent Pattern Detection, reflect Commtouch's 14 years of experience developing messaging software. Commtouch solutions are incorporated into OEM applications and are also sold through channels and resellers. Commtouch's headquarters is in Netanya, Israel, and has a subsidiary in Mountain View, Calif. For more information, see: www.commtouch.com.

For coverage of Commtouch technology by industry analysts such as IDC and Osterman Research, see: http://www.commtouch.com/site/ResearchLab/research.asp.

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 the failure of Commtouch to satisfy the conditions imposed by the Nasdaq Listing Qualifications Panel for the continued listing of Commtouch shares on The Nasdaq SmallCap Market; 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; fewer than expected license agreements resulting from Commtouch's exclusive rights to market DCC; competitive factors including pricing pressures; technological developments, and products offered by competitors; the ability of our OEM partners to successfully penetrate markets with products integrated with Commtouch technology; a slower than expected acceptance rate for real time AV solutions in general and the Commtouch Zero Hour(TM) Virus Protection product in particular; availability of qualified staff for expansion; and technological difficulties and resource constraints encountered in developing new products, such as the Zero Hour solution, as well as those risks described in the text of this press release and the company's Annual Reports on Form 20-F and reports on Form 6-K, which are available through www.sec.gov.

Recurrent Pattern Detection, RPD and Zero-Hour are trademarks, and Commtouch is a registered trademark, of Commtouch Software Ltd. U.S. Patent No. 6,330,590 is owned by Commtouch.