LivePerson Accelerates Growth in Communications Industry

Premier Voice, Data and Wireless Service Providers Use Proactive Chat Technology to Combat Churn, Increase Average Revenue per User and Grow Subscriber Base

NEW YORK, NY - July 20, 2005 - LivePerson, Inc. (NASDAQ: LPSN), a provider of communications solutions for online sales, marketing and customer service, announced today that it has increased its number of deployments within the Communications sector by more than 50 percent in the first half of 2005. Based on carrier demand for its Timpani platform, LivePerson has demonstrated continued momentum for its hosted solution, boosting the total number of deployments in this industry vertical to 18, including those currently in production, slated expansion projects and new implementations.

As a result of reduced margins, declining revenues and intensified competition between Telcos and Cable companies, service providers have recognized the importance of reducing costs and simultaneously improving service to achieve profitability. By leveraging LivePerson's Timpani Sales & Marketing to create a compelling online experience, Telecommunication and Internet Service Provider clients have achieved higher sales per interaction than call centers while simultaneously reducing the cost of servicing inbound calls.

"Providing online chat for service and support through LivePerson gives our customers more options and greater control over their Internet experience," said Don Berryman, EarthLink's executive vice president for customer support. "LivePerson's technical expertise has helped us to provide better service and capitalize on sales opportunities for new and existing customers."

While LivePerson's click-to-chat technology supplies a channel for customers to receive real-time service online, its proactive chat solution facilitates revenue-generating interactions. The system automatically identifies qualified buyers who may be at risk of abandoning a site, and proactively engages those who meet the desired customer profile. Telcos have realized dramatic increases in online sales of high-margin products such as DSL, wireless and bundled services by using the Timpani platform.

"Collaborating with Telco and ISP clients has enabled us to develop best- in-class solutions that successfully address the industry's key revenue drivers -- churn, conversions and average revenue per user," said Tony Pante, LivePerson's senior vice president of professional services. "The new projects and expansions we have been awarded are a testament to the results we have achieved and reinforce the value of our solution in this sector."

LivePerson's Communications customers include EarthLink, Verizon, Qwest, Bell South, and Bell Canada.

About LivePerson

LivePerson™ is a leading provider of communications solutions for online sales, marketing and customer service. LivePerson's Timpani™ platform enables online businesses to identify and engage the right customer with the right communication channel at the right time, thereby enhancing the online experience. Chat, marketing and selling tools, a self-service knowledgebase and email management are combined with industry-leading channel matching technology, rules-based intelligence, routing and reporting, to offer clients the opportunity to increase sales, lower customer service costs and enhance the customer experience. The company's roster of more than 3,000 customers, including EarthLink, Microsoft, Hewlett Packard, Qwest, and Verizon, have long reported significant savings, increased sales and high customer satisfaction using LivePerson's technologies. LivePerson is headquartered in New York City.

SOURCE: LivePerson, Inc.

CONTACT: Younjee Kim, +1-212-609-4222, ykim@liveperson.com

Web site: http://www.liveperson.com/