Redwood City, CA - November 14, 2001 - APPower!, a San Mateo, California-based provider of User Relationship Management (URM) solutions, and Connect Direct, a full-service direct marketing agency located in Redwood City, California, have announced a partnership deal.

Under the terms of the agreement, Connect Direct will provide strategic, creative, and project management services to APPower! clients who lack the resources to design and manage e-marketing campaigns in-house. In turn, APPower! will be providing a powerful new option for Connect Direct clients seeking a more effective way to identify and communicate with end users.

APPower! provides a two-way application-integrated channel between Software publishers and each and every end-user using their products. It eliminates several fundamental problems that software companies face in attempting to communicate with end users:

• false email addresses (ex: santaclaus@northpole.com) provided by the user
• identifying actual users of the product beyond just purchasing or technical contacts
• sending email messages that arrive out-of-context and with no relevancy to whatever the user is currently experiencing inside the application

Connect Direct is a full-service agency that specializes in direct marketing for high-technology companies. Founded in 1990, the firm was recently named to the prestigious Inc. 500 list as one of "America's Fastest-Growing Private Companies." Connect Direct will be bringing its experience and expertise in electronic marketing to bear on campaigns that are deployed using APPower!'s info-messaging technology.

"We've seen first-hand the frustration that many software companies feel in simply being unable to identify their users," commented Howard J. Sewell, President of Connect Direct. "We see this partnership as an ideal opportunity to introduce a powerful new tool to our clients that will enable them to more effectively communicate with their user base, and ultimately, increase lifetime customer value."

"We're thrilled that Connect Direct will be joining us in this initiative," said Amir Idan, APPower! CEO and co-founder. "The combination of their proven direct marketing expertise along with the capabilities provided by APPower! add up to a powerful solution for software companies already focused on maximizing the value of their end user relationship."

About APPower Inc.

APPower is the leader in User Relationship Management solutions for Software Publishers. Founded in 1999, the privately held company is most widely recognized for standardizing the way software publishers communicate with their end-users. APPower provides a suite of solutions that foster a direct two-way channel between software publishers and each end-user who is using their applications, addressing a spectrum of Marketing & Sales, Product Development, Beta Test and Customer Support needs. Benefits of implementing APPower include dramatically increased conversion rates, reduced support costs, facilitated product development costs, increased revenues by cross-sale and up-sale, increased retention rates, improved end-user experience, better understanding of customer needs and a boost in customer satisfaction. APPower's key customers and strategic partners include Mercury Interactive, InstallShield Software Corporation, Magic Software and Software Market Solution. APPower is headquartered in the heart of Silicon Valley in San Mateo, California, with R&D facilities in Rosh Haayin, Israel. For more information, visit http://www.appowerinc.com/.

About Connect Direct

Connect Direct (http://www.connectdirect.com/) is a full-service agency that specializes in direct marketing for high-technology companies. Founded in 1990 by company president Howard J. Sewell, a former marketing manager for Oracle Corporation, the firm has produced hundreds of direct mail and online campaigns for a wide range of technology clients. In October of 2001, the company was named to the prestigious "Inc. 500" list for 2000, placing it at #302 amongst "America's 500 Fastest-Growing Private Companies." In addition, the firm was tabbed #10 on a list of the "Top 100 Fastest-Growing Private Companies in Silicon Valley" for 2000 by the San Jose Business Journal.