NICE Positioned in Leaders Quadrant in Leading Industry Analyst Firm’s Latest Workforce Optimization Magic Quadrant Report

NICE evaluated for its ability to execute and completeness of vision

Ra’anana, Israel - NICE Systems Ltd. (NASDAQ: NICE), the global provider of advanced solutions that enable organizations to extract Insight from Interactions to drive performance, today announced that it has been positioned in the Leaders Quadrant of Gartner’s September 2008 Magic Quadrant for Workforce Optimization report. Gartner defines leaders as those companies that “ provide functionally broad and deep WFO software portfolios that can be deployed and supported globally. They are suitable for all sizes and complexities of enterprises and have broad industry coverage. Revenue is strong, and new references are readily available.” Vendors in Gartner’s Magic Quadrant are selected based on completeness of vision and ability to execute.

For many companies the contact center is the main interface with customers which places great demands on contact center managers to deliver a first-rate customer experience, identify and respond to high-value customers, understand customer wants, needs, and buying patterns, and to deliver business insights to corporate decision-makers. Today, more than ever, all of this must be done while running the contact center operation at maximum cost efficiency. NICE SmartCenter enables contact center managers to achieve these objectives and improve business performance by leveraging the strategic business insights extracted from customer calls with customer service agents.

NICE SmartCenter is a comprehensive business solution comprised of NICE’s best-in-class contact center solutions, including call recording, quality management, interaction analytics, performance management, workforce management, a customer feedback application, and agent coaching.

According to Gartner, “organizations should be cautious of the widely used term “suite.” Some vendors’ WFO offerings are made up of components that were built using a variety of tools; they have multiple system administration environments, support different platforms and standards, and often have overlapping functionality resulting from the combination of acquired and established products.”

“We believe NICE’s position in the leaders quadrant brings to light the benefits of NICE SmartCenter in enabling corporate decision-makers to understand what customers really think about their company and products and take proactive steps to protect and nurture their customer base, improve operational efficiency, and uncover new revenue opportunities ,” said Tom Butta, Chief Marketing Officer, NICE. “We feel our placement in the Leader’s Quadrant recognizes our efforts and commitment to providing our customers with the best solution for improving business performance in the call center and enterprise-wide .”

About The Magic Quadrant
The Magic Quadrant is copyrighted 2008 by Gartner, Inc. and is reused with permission. The Magic Quadrant is a graphical representation of a marketplace at and for a specific time period. It depicts Gartner’s analysis of how certain vendors measure against criteria for that marketplace, as defined by Gartner. Gartner does not endorse any vendor, product or service depicted in the Magic Quadrant, and does not advise technology users to select only those vendors placed in the “Leaders” quadrant. The Magic Quadrant is intended solely as a research tool, and is not meant to be a specific guide to action. Gartner disclaims all warranties, express or implied, with respect to this research, including any warranties of merchantability or fitness for a particular purpose.

About NICE Systems
NICE Systems (NASDAQ: NICE) is the leading provider of Insight from Interactions solutions and value-added services, powered by the convergence of advanced analytics of unstructured multimedia content and transactional data – from telephony, web, email, radio, video, and other data sources. NICE’s solutions address the needs of the enterprise and security markets, enabling organizations to operate in an insightful and proactive manner, and take immediate action to improve business and operational performance and ensure safety and security. NICE has over 24,000 customers in more than 135 countries, including over 85 of the Fortune 100 companies. More information is available at http://www.nice.com.

Trademark Note: 360° View, Alpha, ACTIMIZE, Actimize logo, Customer Feedback, Dispatcher Assessment, Encorder, eNiceLink, Executive Connect, Executive Insight, FAST, FAST alpha Blue, FAST alpha Silver, FAST Video Security, Freedom, Freedom Connect, IEX, Interaction Capture Unit, Insight from Interactions, Investigator, Last Message Replay, Mirra, My Universe, NICE, NICE logo, NICE Analyzer, NiceCall, NiceCall Focus, NiceCLS, NICE Inform, NICE Learning, NiceLog, NICE Perform, NiceScreen, NICE SmartCenter, NICE Storage Center, NiceTrack, NiceUniverse, NiceUniverse Compact, NiceVision, NiceVision Alto, NiceVision Analytics, NiceVision ControlCenter, NiceVision Digital, NiceVision Harmony, NiceVision Mobile, NiceVision Net, NiceVision NVSAT, NiceVision Pro, Performix, Playback Organizer, Renaissance, Scenario Replay, ScreenSense, Tienna, TotalNet, TotalView, Universe, Wordnet are trademarks and/or registered trademarks of NICE Systems Ltd. All other trademarks are the property of their respective owners.

This press release contains forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. Such statements are based on the current expectations of the management of NICE Systems Ltd. (the Company) only, and are subject to a number of risk factors and uncertainties, including but not limited to changes in technology and market requirements, decline in demand for the Company’s products, inability to timely develop and introduce new technologies, products and applications, difficulties or delays in absorbing and integrating acquired operations, products, technologies and personnel, loss of market share, pressure on pricing resulting from competition, and inability to maintain certain marketing and distribution arrangements, which could cause the actual results or performance of the Company to differ materially from those described therein. We undertake no obligation to update these forward-looking statements. For a more detailed description of the risk factors and uncertainties affecting the company, refer to the Company’s reports filed from time to time with the Securities and Exchange Commission.