Critical Path's Messaging Solutions Selected by NETIAN; Major Korean Service Provider Chooses Critical Path's Advanced Internet Messaging Server To Power Email Service.

Business Editors/High Tech Writers

SAN FRANCISCO--(BUSINESS WIRE)--July 5, 2000

Critical Path Inc. (Nasdaq: CPTH), the dominant global provider of Internet messaging and collaboration solutions, has announced that NETIAN, the largest Internet Service Provider (ISP) in South Korea, has chosen Critical Path's InScribe(TM) Messaging Server with a Korean language web client interface to power messaging services for 3 million users. Critical Path's InScribe Messaging Server provides NETIAN with a highly scalable messaging server and enables NETIAN to provide its exploding customer base with the enhanced performance and functionality they demand.

At the launch of the service, Yoon-Sun Hong the CEO of NETIAN said, "We selected Critical Path because of their advanced technology and full portfolio of Internet messaging services. Our relationship with Critical Path enables us to meet the present and future messaging demands of our customers. Critical Path's proven email solution seamlessly integrates with our existing service offerings including homepage builder, bulletin boards and instant messaging."

According to eMarketer, a recent Korean government report stated that the Internet will proliferate faster in Korea than in the rest of Asia, excluding Japan, given its high PC penetration rate, mobile phone use and eagerness to adopt new technologies. To meet the demands of the exploding Korean Internet market whose users have increased 10 fold over the past three years, and which Goldman Sachs expects to grow from $1.3 billion in 1999 to $20.6 billion by 2004, Critical Path and NETIAN have teamed to provide the most advanced, reliable, scalable and secure email service available.

"By working with Critical Path, NETIAN is able to expand its Internet strategy and provide additional value-added services to its users as their need for Internet messaging becomes increasingly sophisticated," said Dave Thatcher, president of Critical Path. "Critical Path's strategic mix of technology and proven expertise to deliver cutting-edge messaging solutions enables companies like NETIAN to build strong and loyal communities by providing the advanced messaging solutions their subscribers demand. This relationship highlights Critical Path's expansion in the Asian market and validates our position as the dominant global provider of Internet messaging and collaboration solutions "

About NETIAN

NETIAN was founded in 1997 and has rapidly become the front-runner in Korea's wire and wireless world, embracing E-Commerce and other customer orientated services with a particular emphasis on Communities of interest. NETIAN provides a wide variety of e-clubs with more than 5 thousand members.

Currently NETIAN has in excess of 3 million subscribers with an average of 10 thousand new subscribers signing up every day. Total subscribers are forecast to exceed 5 million in early 2001.

About Critical Path Inc.

Critical Path, Inc. (Nasdaq: CPTH) is the dominant global provider of complete end-to-end Internet messaging and collaboration solutions for wireless, Internet-centric, telecommunication and corporate businesses. Through its allsourcing strategy, Critical Path is the only advanced messaging provider to offer businesses the flexibility to outsource, midsource or insource all or part of their messaging and collaboration applications. Critical Path has built an industry-leading global infrastructure with data centers connected to key Internet exchange points. Critical Path's technology currently reaches more than 100 million end-users through its customer relationships including more than 25 million wireless devices. Critical Path provides reliable, secure, and scalable e-mail and a flexible suite of enhanced messaging services to partners such as E*TRADE, CompuServe, Network Solutions, U S West, Sprint, France Telecom, British Telecommunications, and ICQ. Critical Path is headquartered in San Francisco, with offices in locations nationwide and in Germany, England, Ireland, France, Italy, Switzerland, Japan, Brazil and Argentina. More information on Critical Path can be found at www.cp.net.

Note to Editors: Critical Path and the Critical Path logo are the trademarks of Critical Path, Inc. All other trademarks are the property of their holders.

The statements in this press release relating to matters that are not historical are forward-looking statements. Actual results could differ materially from these forward-looking statements. Risks and uncertainties facing Critical Path are described in its prospectus dated June 1, 1999 and with its periodic filings with the Securities and Exchange Commission (www.sec.gov).