KANA Response Named Best in its Category in SearchCRM.com �Products of the Year� Awards

01.24.06 – KANA Response earns honors in e-mail response management for its �compelling functionality, knowledgebase integration and security features�

Menlo Park, Calif., January 24, 2006: KANA Software, Inc. (Pinksheets: KANA.PK), a leading provider of Service Resolution Management (SRM) solutions, today announced that KANA Response 8.0 was judged as one of the three best e-mail response management products released in 2005, in TechTarget�s SearchCRM.com 2005 �Products of the Year� awards.

KANA Response 8.0 was chosen from among more than 75 new products submitted for consideration to SearchCRM.com editors in 12 categories. The awards were judged by a team of users, industry experts, analysts and consultants in conjunction with the editors of TechTarget�s SearchCRM.com. Judges selected the Products of the Year among CRM products introduced, upgraded and shipped between Sept. 30, 2004 and Oct. 1, 2005.

Integrated with KANA IQ, an award-winning solution for enterprise knowledge management, customer service optimization and Web self-service, KANA Response is designed to handle more than 500,000 e-mails every day, in virtually any language, guaranteeing almost immediate response and resolution to customer queries. The latest version includes increased security layers, multi-lingual capabilities and agent management and monitoring tools, as well as a powerful rules-based desktop integration framework. This Active Framework enables KANA Response to automatically pull customer information in real-time from any data source, including KANA IQ and other CRM and back-end systems, automating the resolution of transactional inquiries. By providing access to context-sensitive information residing anywhere in the enterprise, KANA Response enables agents to more quickly and accurately handle customer questions in a consistent manner.

According to the Products of the Year coverage on SearchCRM.com, �Among this year’s submissions, KANA Response 8.0 stood out as a leader in helping companies manage and respond to customer e-mails. Our judges chose Kana as this year’s winner for its �compelling functionality, knowledgebase integration and security features.��

�It is truly an honor to be named one of the best products in the contact center � e-mail response category by such a respected industry publication and demanding team of judges,� said Marchai Bruchey, chief marketing officer at KANA. �This award lends credibility to our customers� choice of KANA Response as the right solution to help them quickly, accurately and consistently respond to large volumes of e-mail in the contact center.�

About SearchCRM.com

SearchCRM.com is the Web’s most relevant and extensive guide dedicated to Customer Relationship Management (CRM) practitioners and decision makers. CRM is a business process that requires a special combination of customer-centric strategy and technical know-how. Visit SearchCRM.com for original daily news, expert tips, discussion forums, Webcasts and customized research that will help you develop, design and implement CRM initiatives. More information can be found at www.SearchCRM.com

About KANA

KANA is a leading provider of Service Resolution Management (SRM) solutions that improve customer satisfaction, reduce service costs, and increase revenues. KANA’s award-winning suite of customer service solutions for assisted, self, and proactive service enables companies to resolve customer requests quickly and accurately across multiple channels. Built on the industry’s most advanced Web architecture, KANA’s solutions are in use at approximately half of the world’s largest 100 companies. For more information visit www.kana.com.