eGain Placed in Leaders Quadrant in Leading Industry Analyst Firm's E-Service Suites Magic Quadrant

MOUNTAIN VIEW, CA--(Marketwire - September 17, 2009) - eGain Communications Corporation (OTCBB: EGAN), the leading provider of multichannel customer service and knowledge management software, on-site and on-demand, announced today that it has been placed in the Leaders quadrant of the Gartner Magic Quadrant for E-Service Suites 2009 report, authored by Johan Jacobs and Michael Maoz (published September 11, 2009).

Gartner defines Magic Quadrant leaders as companies that "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. Leaders provide functionally diverse and rich e-service suites that can be deployed and supported globally, and have at least five of the six e-service components supported by OEMs. They are suitable for all sizes and complexities of enterprises, and have broad industry coverage. Revenue is strong, and new references are readily available. When asked, their clients reply that this product has affected the organization's competitive position in the market."

The report also observes that there is an increasing acceptance of the need for customer interaction hubs and that "... during the past 12 months, 87% of multichannel product buyers preferred an e-service suite solution as opposed to a stand-alone single-channel or point-based product." eGain Service™, available on-site or on-demand, is the industry's most comprehensive customer interaction hub (CIH) software suite. It includes award-winning applications for call tracking and resolution, knowledge management, multimodal web self-service, email management, automated and live chat, web collaboration, IVR, notifications, service fulfillment, social media interactions, and more.

"We are delighted to be positioned in the Leaders quadrant," said Ashu Roy, Chairman and CEO of eGain. "We believe this is recognition of our ability to deliver market-leading customer service and knowledge management solutions year after year."

About the Magic Quadrant

The Magic Quadrant is copyrighted 2009 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 Communications Corporation

eGain (OTCBB: EGAN) is the leading provider of multichannel customer service and knowledge management software for on-site or on-demand deployment. 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 @eGain (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 media contact: Connie Pheng Phone: 650-230-7449 Email: pr@egain.com