eGain Positioned in the "Leaders" Quadrant of the Magic Quadrant for Web Customer Service

Evaluation Based on Completeness of Vision and Ability to Execute


MOUNTAIN VIEW, CA--(Marketwire - September 23, 2010) - eGain (OTCBB: EGAN), a leading provider of cloud and on-site customer interaction hub software, today announced it has been positioned by Gartner, Inc. in the "Leaders" quadrant of the "Magic Quadrant for Web Customer Service."

In the report, Johan Jacobs, Research Director at Gartner, defines "leaders" as vendors who "demonstrate market-defining vision and the ability to execute against that vision through products, services, demonstrable sales figures, and solid new references for multiple geographies and vertical industries. Clients report that the vendors deliver a high level of value and return on their commitment. The development team has a clear vision of the implications of business rules, and the impact of WCS [Web Customer Service] on customer service requirements. A characteristic of a leader is that clients look to the vendor for clues as to how to innovate in customer service. The vendor does not necessarily drive a customer toward vendor lock-in, but rather provides openness to an ecosystem. When asked, their clients reply that this product has affected the organization's competitive position in their markets and helped lower costs. Leaders provide functionally diverse and rich WCS suites that can be deployed and supported globally, and have at least five of the seven WCS framework components supported as an OEM solution."

According to the report, "80% of multichannel product buyers preferred a more comprehensive WCS suite, as opposed to a stand-alone single-channel or point-based product that requires extensive cross-channel integration each time a new channel is added."

Proven in cloud and on-site deployments for over a decade, the eGain® Customer Interaction Hub™ suite is a comprehensive solution for multichannel customer service and knowledge management. Modular applications, built on a unified platform, enable businesses to offer rich interactions on company websites, through contact centers, and on the Social Web.

"We are honored to be in the Leaders quadrant," said Ashu Roy, eGain Chairman and CEO. "The latest release of our suite is our best yet. We are confident that it can power the most innovative and ambitious of customer interaction hub (CIH) strategies."

The 2010 Gartner Magic Quadrant for Web Customer Service is available at http://www.egain.com/docs/analysts/2010_Gartner_MQ_Web_Customer_Service.pdf.

Details of the eGain customer interaction hub suite are available at http://www.egain.com/products/multichannel_service.asp.

About the Magic Quadrant
The Magic Quadrant is copyrighted 2010 by Gartner, Inc. and is reused with permission. The Magic Quadrant is a graphical representation of a marketplace at and for a specific time period. It depicts Gartner's analysis of how certain vendors measure against criteria for that marketplace, as defined by Gartner. Gartner does not endorse any vendor, product or service depicted in the Magic Quadrant, and does not advise technology users to select only those vendors placed in the "Leaders" quadrant. The Magic Quadrant is intended solely as a research tool, and is not meant to be a specific guide to action. Gartner disclaims all warranties, express or implied, with respect to this research, including any warranties of merchantability or fitness for a particular purpose.

About eGain
eGain (OTCBB: EGAN) is the leading provider of cloud and on-site customer interaction hub software. For over a decade, hundreds of the world's largest companies have relied on eGain to transform their traditional call centers, help desks, and web customer service operations into multichannel customer interaction hubs (CIHs). Based on the Power of One™, the concept of one unified platform for multichannel customer interaction and knowledge management, eGain solutions improve customer experience, optimize service processes end to end, increase sales, and enhance contact center performance.

Headquartered in Mountain View, California, eGain has operating presence in North America, EMEA and APAC. To learn more about us, visit www.eGain.com or call our offices: +1-800-821-4358 (US), +44-(0)-1753-464646 (EMEA), or +91-(0)-20-6608-9200 (APAC). Also, follow us on Twitter at http://twitter.com/egain and Facebook at http://facebook.com/egain.

eGain, the eGain logo, and all other eGain product names and slogans are trademarks or registered trademarks of eGain Communications Corp. in the United States and/or other countries. All other company names and products mentioned in this release may be trademarks or registered trademarks of the respective companies.

Contact Information:

eGain Contacts:

Jamie Abayan
eGain
650-230-7532
jabayan@egain.com

Kristin Miller
SS|PR
719-634-8292
kmiller@sspr.com