Siebel Systems Positioned as a Leader in the EMEA Customer Service and Support Magic Quadrant Q4 2002.

Business Editors/High-Tech Writers

SAN MATEO, Calif.--(BUSINESS WIRE)--Dec. 17, 2002

Siebel Systems, Inc. (Nasdaq:SEBL), a leading provider of multichannel eBusiness applications software, today announced that Siebel Systems was the only vendor listed in the Leader Quadrant of Gartner's EMEA (Europe, Middle East, Africa) Customer Service and Support (CSS) Magic Quadrant for Q4 2002.(1)

The report, published by Gartner, Inc., a premier research and advisory firm, evaluated 15 vendors in the EMEA CSS market, based on their completeness of vision and ability to execute. Leaders are defined as vendors who are performing well today, have a clear vision of market direction, and are actively building competencies to sustain their leadership position in the market. Specifically, Gartner's evaluation criteria for a Leader are the following:

-- Possesses at least 40 references in EMEA, including both SMB (small and midsize business) and large enterprises, demonstrating the CSS application functionality required for Leaders. This CSS application functionality is defined as advanced customer service functionality for call centers; presence in all of the seven CSS functional areas; and strength in four areas areas, three of which must be e-service, analytics, and field service.

-- Generates at least $50 million in EMEA CRM applications revenue on a rolling 12-month basis.

-- Includes at least 150 trained professional service personnel for its service applications, employed by the vendor or a partner. Capabilities in CRM and CSS vision, strategy, and change management should also be demonstrated.

-- Provides vertical solutions with specific functionality, data models, workflow and best practices, business processes, and integration to industry-specific systems in at least seven industry verticals.

-- Possesses EMEA-wide distribution and support capabilities with direct operations in at least five countries in EMEA. Has the ability to support EMEA-wide rollouts and localized international installations.

-- Moving to a Web-based architecture -- a technology platform on which to expand or integrate the application with other enterprise systems, legacy systems, or best-of-breed products, including telephony applications.

"Siebel Systems' position in the leader quadrant confirms our skills in executing large-scale, industry specific customer service and support implementations on behalf of hundreds of customers throughout EMEA," says Neil Morgan, Vice President for European Marketing, Siebel Systems.

"Using Siebel Call Center, BT Retail experienced a 12 percent increase in customer satisfaction during one peak month and has experienced a 20 percent increase in revenue per customer compared with other areas of the contact center not yet using Siebel eBusiness Applications," says Pierre Danon, CEO, BT Retail. "In addition, Siebel Call Center has been pivotal in delivering an impressive 34 percent increase in advisor satisfaction."

Leading European organizations across all industries have selected Siebel Systems as their customer service and support standard, including Bayer AG, British Telecommunications, DGZ DekaBank, Leeds City Council, Marks & Spencer, and Telecom Italia Mobile.

About Siebel Systems

Siebel Systems, Inc. is a leading provider of eBusiness applications software, enabling corporations to sell to, market to, and serve customers across multiple channels and lines of business. With more than 3,500 customers worldwide, Siebel Systems provides organizations with a proven set of industry-specific best practices, CRM applications, and business processes, empowering them to consistently deliver superior customer experiences and establish more profitable customer relationships. Siebel Systems' sales and service facilities are located in more than 28 countries.

Except for the historical information contained herein, this press release contains forward-looking statements that involve risk or uncertainties. Future operating results of Siebel Systems may differ from the results discussed or forecasted in the forward-looking statements due to factors that include, but are not limited to, risks associated with customer relations, such as the availability of Siebel Systems' products and services, customer implementation of products and services, relationships with customers, third-party vendors and systems integrators, concentration of revenues in a relatively small number of customers, existence of errors or defects in products, ability to successfully manage growth, significant current and expected additional competition and the need to continue to expand product distribution and services offerings. Further information on potential factors that could affect the financial results of Siebel Systems are included in Siebel Systems' Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and its other filings with the Securities and Exchange Commission, which are available at www.sec.gov. Siebel Systems assumes no obligation to update the information in this press release.

Note to Editors: Siebel is a trademark of Siebel Systems, Inc. and may be registered in certain jurisdictions. All other product and company names mentioned are the property of their respective owners and are mentioned for identification purposes only.

(1) EMEA CSS Magic Quadrant 4Q02, A. Bona, J. Davies, December 2002.

The Magic Quadrant is copyrighted December 2002 by Gartner, Inc. and is reused with permission. Gartner's permission to print or reference its Magic Quadrant should not be deemed to be an endorsement of any company or product depicted in the quadrant. The Magic Quadrant is Gartner's opinion and is an analytical representation of a marketplace at and for a specific time period. It measures vendors against Gartner-defined criteria for a marketplace. The positioning of vendors within a Magic Quadrant is based on the complex interplay of many factors. Gartner does not advise enterprises to select only those firms in the Leaders segment. In some situations, firms in the Visionary, Challenger, or Niche Player segments may be the right match for an enterprise's requirements. Well-informed vendor selection decisions should rely on more than a Magic Quadrant. Gartner research is intended to be one of many information sources including other published information and direct analyst interaction. Gartner expressly disclaims all warranties, express or implied of fitness of this research for a particular purpose.