Quadstone and Art Technology Group Partner

Quadstone, a privately held premier provider of customer intelligence software and services and Art Technology Group Inc ("ATG"), a leading developer of e-commerce and personalization applications, announced a strategic alliance aimed at providing integrated product offerings for strengthening online customer relationships. Through the partnership, eBusinesses will be able to conduct immediate and comprehensive customer behavior analysis to allow them to create richer customer relationships by targeting those customer segments that are most important to their business. The interoperability between the two products was shown at the ATG Dynamo Open at the La Quinta Resort in Palm Springs, California.

The two companies will be working together on joint marketing and sales initiatives to support the industry's growing need to better understand and predict customer behavior to build and manage dynamic relationships. The ability to anticipate customer needs and proactively satisfy them will allow eBusinesses to extend the traditional customer relationship beyond a single online session to encompass a customer's entire relationship lifespan.

"For a company to differentiate itself in today's Internet economy requires an intricate understanding of customer behavior across all channels," said Ken Volpe, ATG's vice president of product management. "Our partnership with Quadstone provides our customers with the ability to thoroughly analyze the relationships that they are creating with their own customers, suppliers, and partners - enabling them to focus on those relationships that address their key business initiatives."

"We're seeing increasing momentum and industry support for the Quadstone System as industry leaders add predictive analytics to drive the most ROI from their existing CRM system investments," said Quadstone president Mark Smith. "We aim to capture a lion's share of this market by forming partnerships with E-business infrastructure leaders such as ATG, who have an excellent open, flexible and component-based approach which makes integration that much easier."

The Dynamo architecture, in concert with the Quadstone System, will deliver the following benefits to joint customers:

• Comprehensive behavior modeling: couples real-time updated customer profiles with predictive off-line behavior measurements to quickly build a picture of the customer relationship.
• Immediate customer analysis: gives business managers the ability to rapidly respond to changing market dynamics.
• Multi-channel personalization: based on insights gathered from Quadstone's analytics, ATG Dynamo applications can extend personalized customer touch points to include wireless devices and targeted e-mail as well as Web-based interactions.
• Data visualization and mining: provides the business manager with a highly visual environment for analyzing and modeling their customer segments and mining their customer information databases. This allows them to use this information as they create business rules that drive their eBusiness.

About Art Technology Group

Art Technology Group Inc is a leading provider of Internet customer relationship management and electronic commerce products and services. ATG offers an integrated suite of Java application server-based products and services, as well as related application development, integration, and support services. The ATG Dynamo Product Suite enables Global 1000 enterprises, as well as new businesses using the Internet as their primary business channel, to understand, manage, and build their online customer relationships and to more effectively market, sell, and support their products and services over the Internet.

The Dynamo solution is designed to provide businesses with the core platform and software tools required to develop and deploy personalized, scalable, and reliable e-commerce Web sites. Dynamo is licensed to more than 300 customers including 3M, BabyCenter, BMG Direct, Eastman Kodak, General Motors, Informix, J. Crew, Network Solutions, Sun Microsystems, and TheStreet.com. The company is headquartered in Cambridge, MA, with additional locations throughout North America and Europe.

About Quadstone

Quadstone provides the most powerful customer behavior modeling and predictive marketing software currently available. Quadstone's products allow business and marketing executives to instantly and easily employ predictive modeling techniques to produce sophisticated analyses that visually represent customer behavior from every marketing channel - Web, direct marketing, sales, call centers, and operations. Because these tools can be installed and deployed to produce results within two weeks - faster and more precise than any other offering available - executives can quickly measure and influence more profitable customer behavior while decreasing marketing's reliance on IT or statisticians. Quadstone's international clients are market leaders in the e-tail/retail, banking, insurance, and telecommunications sectors and include CVS.com, Barclays Bank, CustomerLinx, Marshall & Ilsley Bank, and Verbind among others. Quadstone was named "Best Business Start-up" by the Financial Times (1998) and earned Deloitte & Touche's "Fast 50" award in 1999. Founded in 1995 in Edinburgh, Scotland, Quadstone has U.S. headquarters in Boston, MA, and a European operations center in London, England.

Contact Art Technology Group, Nancy Morrisroe, 617-386-1282, nancy@atg.com.