Telecom Argentina Selects Portal Software to Bring Voice, Data, and Next Generation Services to Market; Portal Successfully Demonstrates Its Capabilities in One-Tenth the Time of the Competition

Telecom Argentina selected Portal because of Portal 7'sflexibility and its ability to support both the company's currentbusiness requirements and its long term growth plans. Portal was ableto quickly demonstrate Portal 7's superior capabilities through apilot rating project which Portal successfully completed in one-tenththe time of Portal's competitor.

"In the highly competitive Argentine market, it is essential thatwe are able to quickly capitalize on emerging trends in broadband,"said Guillermo Desimoni, executive director of information technology,Telecom Argentina. "Portal, through pilot programs and references, wasable to demonstrate its superior ability to rapidly create innovativepricing and promotional offers that lead to higher margins andimproved customer satisfaction."

Telecom Argentina, an operator with over three million subscribersof its services, selected Portal because of Portal 7's flexibility andits ability to support both the company's current businessrequirements and its long term growth plans.

"Telecom Argentina is pioneering new levels of customer servicesin the Argentine market," said Bruce Grainger, Portal's vice presidentof sales for the Americas. "Portal provides Telecom Argentina with aflexible system that can support its entire range of services, frombroadband to fixed and mobile, all on a single, scalable platform."

About Portal Software, Inc.

Portal is the leading worldwide provider of billing and RevenueManagement solutions for the global communications and media markets.The company delivers the only platform for the end-to-end managementof customer revenue across offerings, channels, and geographies.Portal's solutions enable companies to dramatically accelerate thelaunch of innovative, profit-rich services while significantlyreducing the costs associated with legacy billing systems. Portal isthe Revenue Management partner of choice to the world's leadingservice providers, including Vodafone, AOL Time Warner, DeutscheTelekom, Telstra, NTT, China Telecom, Reuters, China Mobile, TelenorMobil, and France Telecom.

Forward Looking Statement

Statements in this release regarding potential customerrelationships, the possibility of Portal providing contracted servicesand realizing future financial gains are forward looking statements.Such forward looking statements may not materialize and involvesignificant uncertainties and risks. These and other factors aredescribed in detail in our Annual Report on Form 10-K for the fiscalyear ended January 31, 2004 and our quarterly reports on Form 10-Q.All statements made in this press release are made only as of the dateset forth at the beginning of this release. Portal undertakes noobligation to update the information in this release in the eventfacts or circumstances subsequently change.

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