BELLEVUE, Wash. and SEATTLE - Onyx® Software Corporation (NASDAQ: ONXS), a global supplier of customer relationship management (CRM) enterprise applications, and Avanade, a leading technology integrator, are partnering to take advantage of Microsoft .NET technology in creating and delivering a prime example of how CRM technology can deliver on its original vision - enabling companies to profitably acquire and retain customers, build brand loyalty and continually enhance the kind of experience the discerning customer demands as part of an ongoing service relationship.

Onyx and Avanade are part of the Microsoft .NET My Services early adopter program and have worked together to develop a demonstration of how the Onyx CRM platform can work with .NET technology to put each individual customer at the center of a unique and seamless experience across mediums, devices, applications and partners. Avanade is a Premier Partner of Onyx, and the two companies are working together on a number of .NET initiatives.

Mark Lucovsky, distinguished engineer and member of the Microsoft .NET design team, demonstrated the Onyx/Avanade prototype today at the Microsoft Professional Developers Conference in Los Angeles.

"Microsoft has always considered Onyx a leading-edge CRM vendor - one that continually strives to leverage technology on behalf of its customers' customers," said Bob Muglia, group vice president of Personal Services for Microsoft Corp. "Together with Avanade, Onyx has developed a striking example of how .NET and CRM technology can work together, enabling deeper customer relationships through enhanced Web service offerings."

"We believe Microsoft .NET My Services will be the building blocks a new business world will use to communicate, and as the only CRM vendor participating in the early adopter program, we recognize the advantage this technology will bring to our CRM platform," said Eben Frankenberg, Onyx Software Executive Vice President. "With Onyx CRM, Avanade's delivery capabilities, and Microsoft .NET, companies will be able to truly deliver on the vision of CRM - delighting each and every customer by creating and delivering original experiences that fulfill that individual's unique expectations within the context of the company's brand."

".NET represents an immense opportunity for our customers to leverage Microsoft technology to gain strategic advantages in their market places," said Adam Warby, Avanade's Vice President and General Manager of the Americas. "Adopting this new paradigm will enhance the flexibility of their applications - including their CRM tools - and open the user experience to an endless array of functionality all the while reducing development costs and time-to-market."

Onyx and Avanade worked with leading home construction companies to develop a prototype centered on a new home buying experience. Using .NET My Services will allow the home builders to offer superior service to their customers, increase efficiency of the building process for both business and the consumer, allow seamless integration of sub-contractors, and enhance communication across all communications channels. The Onyx/Avanade prototype follows a typical home-buying experience and enhances it through the smooth and complete flow of information among all parties, devices and applications:

• When the new home shopper logs on to the web site, which is being powered by the Onyx Customer Portal, all of his information from his .NET My Services profile: name, address, phone numbers, email, credit card - literally everything, - is entered into the site with just one click. With .NET My Services, the consumer is in complete control of what information is shared through a 100-percent opt-in model.
• The builder's call center automatically receives the information via the Onyx Employee Portal, and all of the customer's information is captured.
• A representative at the call center uses Onyx's Employee Portal to view the customer's and real estate broker's schedules and requests an open time for them to meet. With .NET My Services, both are notified by their chosen method or device; for example, by cell phone or e-mail. .NET My Services even adds the meeting to their calendars.
• The Onyx Employee Portal also adds all of the relevant contacts in the system for the rest of the real estate transaction, home improvement, local schools - everything the buyer needs or wants as part of the overall experience. With .NET My Services, scheduling is integrated among all the players, and with .NET Alerts updates are received on any device.

"This prototype showcases the power of .NET My Services working with the Onyx CRM Platform, and Avanade's participation in it is a key piece of how we're moving forward with .NET," said Frankenberg. "Avanade's expertise in .NET development was crucial to our ability to blend our technologies into a concrete manifestation of what CRM is really supposed to do for our customers."

Onyx is developing a leading .NET CRM platform - designing an architecture that takes full advantage of the potential Web services and Microsoft .NET technology. Onyx has built its data-driven n-tier Internet-native architecture on XML to enable its customers to fully capitalize on Microsoft .NET initiatives now and in the future. Onyx's architecture is open and extensible so a firm can "adapt-to-enrich" a customer's experience.

The emergence of XML, Web services, and especially Microsoft .NET technology provides an infrastructure that makes it possible for companies to deliver on the promise of a branded customer experience. It's a platform that allows systems, applications, and processes to interact seamlessly, creating strong collaboration among customers, partners, and businesses. .NET will change the way applications can be developed, giving developers the ability to create programs that transcend device boundaries and fully harness the connectivity of the Internet.

Said Avanade's Warby: "The Onyx architecture was made for .NET. Their strategic, business-driven approach to CRM is directly complementary to the .NET vision and - with the delivery skills of Avanade's experienced solution developers, it's a great combination. We look forward to providing this solution to our customers."

"That's why we're so excited about what .NET can do," said Frankenberg, "This technology is oriented around people rather than systems, and it puts the control of data and information in the hands of the user. It allows businesses to deliver customer-created experiences. That is precisely our vision for the future of CRM."

About Onyx Software
Onyx Software Corp. (Nasdaq: ONXS) is a global supplier of customer relationship management (CRM) enterprise applications that power a company's entire business world, connecting sales, marketing and service organizations with customers, prospects and partners. Through an innovative mix of Internet technology, strategic services and customer commitment, Onyx helps companies create the seamless, branded customer experiences they need to forge competitive advantage and build real business value. Its reliable, scalable, flexible, holistic solutions enable companies to attract, acquire and retain customers and partners across all channels and touch points. Onyx customers include American Express, Broadwing, Commerce One, Credit Suisse, Dreyfus, FirstWorld Communications, Portland Trail Blazers, Prudential Investments and The Regence Group. Get more information at 888-ASK-ONYX or info@onyx.com.

About Avanade
Avanade is the world's premier technology integrator for Microsoft solutions in the enterprise. With Development Centers in Europe, Asia-Pacific, and the Americas, Avanade delivers secure, reliable, scalable Microsoft-based solutions to help Global 2000 companies optimize their technology investments across the connected enterprise.

Founded in April 2000 as a joint venture between Microsoft and Accenture, Avanade offers customers unique value based on a heritage of commitment to superior service, paired with unmatched insight into cutting-edge Microsoft technologies. Additional information can be found on the Avanade Website at www.avanade.com.

This press release contains forward-looking statements. Forward-looking statements are based on the opinions and estimates of management at the time the statements are made and are subject to risks and uncertainties that could cause actual results to differ materially from those anticipated in the forward-looking statements. The words "believe," "expect," "intend," "anticipate," variations of such words, and similar expressions identify forward-looking statements, but their absence does not mean that the statement is not forward-looking. These statements are not guarantees of future performance and are subject to risks, uncertainties and assumptions that are difficult to predict. Factors that could affect Onyx's actual results include, but are not limited to, the "Important Factors That May Affect Our Business, Our Results of Operations and Our Stock Price" described in our quarterly report on form 10-Q for the period ending June 30, 2001. Readers are cautioned not to place undue reliance upon these forward-looking statements that speak only as to the date of this release. Onyx undertakes no obligation to update publicly any forward-looking statements to reflect new information, events or circumstances after the date of this release or to reflect the occurrence of unanticipated events.

Onyx is a registered trademark of Onyx Software Corporation in the United States and other countries.
Other product or service names mentioned herein are the trademarks of their respective owners.

Contact:

For Onyx: Joan Speich Waggener Edstrom Telephone: 503.443.7265 Fax: 503.443.7001

For Avanade: Christine Olmsted Avanade 206.239-5925

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MEDIA CONTACTS

Americas / Corporate Headquarters Mitch Briggs Public Relations Coordinator Consona Corporation Telephone: 317.249.1620 Mobile: 317.829.4210 Europe, Middle East, Africa Richard Furby Managing Director, Onyx UK Telephone: +44 (0) 1344 322 199 Fax: +44 (0) 1344 489 035 Japan Daisuke Sawamura Director, Professional Services Telephone: +81 03 5215 7311