Gartner Group Names NICE the Leader and Visionary in CEM.

Business/High Tech Editors

RA'ANANA, Israel--(BUSINESS WIRE)--March 25, 2002

Gartner Joins Datamonitor, Frost and Sullivan and Six Industry

Publications in Praising NICE's CEM Market Strategy

and Related Solutions

NICE Systems (Nasdaq:NICE), a worldwide leader of multimedia recording solutions, applications and related professional services for business interaction management, was named the CEM (Customer Experience Management) industry leader by Gartner Group, the premier industry analysis group in their report that was published last month.

This latest industry recognition follows Datamonitor's report that NICE CEM is the worldwide recording and quality management market leader for the third quarter of 2001 and after NICE received Frost and Sullivan's Competitive Strategy Award for pioneering the Customer Experience Management concept.

Since NICE first popularized the concept of Customer Experience Management in June of 2000, over 20 competing companies and most industry commentators have adopted the terminology. NICE's CEM solutions, which have won 13 product awards, enable contact centers to capture, evaluate, analyze and improve the customer experience to drive customer loyalty, revenues, and profitability.

"This recognition validates both our vision and our ability to execute," said Lior Arussy, NICE vice president, corporate marketing. "We are gratified that all of the industry thought leaders have praised our strategy of introducing innovative value-added applications on top of a state-of-the-art total recording platform. They have also recognized the importance of our integration with CRM applications and other systems. We plan to remain in the forefront of our industry by continuing to introduce innovations that enhance quality and performance and provide a rapid return on investment for our customers."

About NICE

NICE Systems (Nasdaq:NICE) headquartered in Ra'anana, Israel, is a worldwide leader of multimedia digital recording solutions, applications and related professional services for business interaction management. NICE products and solutions are used in contact centers, trading floors, air traffic control (ATC) sites, CCTV (closed circuit television) security installations and government markets. NICE's synergistic technology platform enables customers to capture, evaluate and analyze business interactions in order to improve business processes and gain competitive advantage. NICE's subsidiaries and local offices are based in the United States, Canada, Germany, United Kingdom, France and Hong Kong. The company operates in more than 100 countries through a network of partners and distributors.

NICE's worldwide clients include: ABN Amro, Bank of England, Boston Communications, Charles Schwab, Deutsche Bank, Dresdner Bank, US Federal Aviation Administration, Farmers Insurance, Fidelity, Hong Kong Airport, Japan Ministry of Transport, MicroAge Teleservices, NAV Canada, Nokia, SNT Group, Software Spectrum and Sydney Airport. (NICE Web Site: www.nice.com)

Trademark note: 360(degree) View, Agent@home, Executive Connect, Experience Your Customer, Lasting Loyalty, Listen Learn Lead, LogIt, LogItAll, NICE (and design), NiceAdvantage, NICE Analyzer, NiceCall, NiceCLS, NiceCMS, NICE Feedback, NiceFix, NiceGuard, NICE Learning, NICE Link, NiceLog, NiceSoft, NiceTrack, NiceUniverse, NiceUniverse LIVE, NiceVision, NiceVision Mobile, NiceVision Pro, NiceVision Virtual, NiceWatch, Secure Your Vision, and other product names and services mentioned herein are trademarks and registered trademarks of NICE Systems Ltd. All other registered and unregistered trademarks are the property of their respective owners.

This press release contains forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. Such statements are based on the current expectations of the management of NICE Systems Ltd. (the Company) only, and are subject to a number of risk factors and uncertainties, including but not limited to changes in technology and market requirements, decline in demand for the company's products, inability to timely develop and introduce new technologies, products and applications, loss of market share, pressure on pricing resulting from competition, inability to maintain certain marketing and distribution arrangements, which could cause the actual results or performance of the company to differ materially from those described therein. We undertake no obligation to update these forward-looking statements. For a more detailed description of the risk factors and uncertainties affecting the company, refer to the Company's reports filed from time to time with the Securities and Exchange Commission.