SugarCRM Receives 2006 Product of the Year by Customer Inter@action Solutions Magazine

SugarCRM recognized for product vision, leadership and attention to detail

Cupertino, CA - January 16, 2007 - SugarCRM Inc. announced today that Technology Marketing Corporation (TMC®)'s Customer Interaction Solutions® has awarded Sugar 4.5 the 2006 Product of the Year for Customer Relationship Management (CRM). The award recognizes Sugar 4.5 for product vision, industry leadership and attention to detail.

This award is yet another industry accolade for SugarCRM, which was recently recognized by CRM Magazine as a 'Rising Star', named 2006 Selling Power Sales Excellence Award winner for CRM Implementation & User Adoption, and recognized as a finalist by the CODiE Awards in two categories - Best CRM solution and Best Open Source solution. For more information about these awards, please visit: http://www.sugarcrm.com/crm/about/about-sugarcrm.html.

"We're grateful to receive an award that recognizes how we have partnered with companies to make them successful with our CRM solutions," said John Roberts, CEO of SugarCRM. "SugarCRM is committed to providing companies with the industry's most flexible, easy-to-use CRM solution in the market, and we are honored to be continually recognized as a CRM industry leader."

Sugar 4.5 revolutionized how users interact with their CRM system and changed the way companies communicate with clients. By offering the first fully AJAX-enabled user interface with the ability to change the look and feel of the application on the fly, Sugar 4.5 tackled the number one barrier to CRM success - user adoption. In addition, by offering multiples deployment options and support for multiple platforms, including Oracle, Microsoft, Apple and Linux, SugarCRM mitigates the risk of companies becoming locked into a single system of vendor.

Customer Interaction Solutions has been the premier publication in call center, CRM and teleservices industries since 1982. Nadji Tehrani, Executive Group Publisher and Editor-in-Chief of Customer Inter@ction Solutions magazine commented, "SugarCRM has proved that they are committed to quality and excellence in solutions that benefit the customer experience as well as ROI for the companies that use them. We're proud to honor their hard work and accomplishments."

A list of all 2006 Product of the Year award recipients can be found in the January and February issues of Customer Inter@ction Solutions Magazine.

About SugarCRM

SugarCRM is the world's leading provider of commercial open source customer relationship management (CRM) software for companies of all sizes. SugarCRM easily adapts to any business environment by offering a more flexible, cost-effective alternative than proprietary applications. SugarCRM's open source architecture allows companies to more easily customize and integrate customer-facing business processes in order to build and maintain more profitable relationships. SugarCRM offers several deployment options, including on-demand, on-premise and appliance-based solutions to suit customers' security, integration and configuration needs.

For more information, call (408) 454-6900 or 1 87 SUGARCRM tollfree in the US, email contact@sugarcrm.com, or visit http://www.sugarcrm.com.

About Customer Interaction Solutions®

Celebrating 25 years as the voice of the contact center, CRM and teleservices industries, Customer Interaction Solutions magazine continues leading the way with the most comprehensive editorial. Senior management decision makers, as well as customer interaction professionals rely upon Customer Interaction Solutions to keep them current in the most critical technologies and services for the contact center. In fact, 65,000 BPA-audited subscribers turn to Customer Interaction Solutions magazine with an additional 165,000 pass-along readers.

About TMC

Technology Marketing Corporation (TMC) publishes four print publications: Customer Interaction Solutions, INTERNET TELEPHONY, SIP Magazine and IMS Magazine. TMCnet, TMC's Web site, is the leading source of news and articles for the communications and technology industries. Ranked in the top 2,600 sites in the world by alexa.com*, TMCnet serves more than one million unique visitors each month. TMC is also the first publisher to test new products in its own on-site laboratories, TMC Labs. In addition, TMC produces INTERNET TELEPHONY Conference & EXPO, The VoIP Developer Conference, VoIP Demo, IMS Expo and Call Center 2.0 Conference. TMCnet.com publishes more than 15 topical online newsletters. For more information about TMC, visit www.tmcnet.com.

(*alexa.com is an amazon.com company that ranks Web sites by their traffic levels. Neither alexa.com nor amazon.com is affiliated with TMCnet.)

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