Niku Positioned in the Leader Quadrant in 2005 Project and Portfolio Management Magic Quadrant; Evaluation Based on Completeness

Niku Corporation (Nasdaq:NIKU), the global leader in IT
Management and Governance (IT-MG) solutions, today announced that
Gartner Inc. has placed Niku in the Leader quadrant in the "Magic
Quadrant for IT Project and Portfolio Management, 2005" report. To
request a complimentary copy of the full research report, please visit
http://www.niku.com/go/analysts.
   The "Magic Quadrant for IT Project and Portfolio Management, 2005"
report positions vendors in the PPM segment based on the completeness
of their vision and their ability to execute. Gartner defines leaders
as vendors that are performing well today, have a clear vision of
market direction and are actively building competencies to sustain
their leadership position in the market.
   "We are honored to be positioned by Gartner in the PPM leader
quadrant," said David Hurwitz, CMO of Niku. "As the largest provider
of PPM solutions, we continue to set the market pace in terms of
product innovation and traction with customers worldwide. We feel
Clarity from Niku is becoming the solution of choice for companies
seeking to realize IT governance, better engage IT with the business,
and increase the return on their IT spend."
   Niku's PPM solution, Clarity, couples top-down portfolio planning
and analysis with bottom-up project, program, financial and process
management. The result is a seamlessly integrated system that enables
organizations to achieve IT Management and Governance (IT-MG) success,
beginning with investment selection and extending through project
execution and results assessment, all within a single enterprise
application. Clarity 7.5, introduced in fall 2004, extends the IT-MG
footprint through powerful enhancements that support global governance
and local management.
   The "Magic Quadrant for IT Project and Portfolio Management, 2005"
by Matt Light and Daniel B. Stang is copyrighted June 22, 2005 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 Niku

   Niku Corporation (Nasdaq: NIKU) is the leader in IT Management and
Governance (IT-MG) and New Product Development (NPD) solutions. More
than 400,000 users at industry leaders such as Avon, BT, Eastman
Chemical, HSBC, Manpower, Royal Caribbean Cruise Lines and Unilever
depend on Niku software to maximize their "Return on IT." With
headquarters in Silicon Valley, Niku serves global customers from more
than 20 offices worldwide.
   For more information, contact [e-mail] or visit
http://www.niku.com.

   Niku and the Niku logo are registered trademarks and Clarity, Open
Workbench and Project Workbench are trademarks of Niku Corporation in
the United States and certain other countries. All other trademarks,
trade names, and/or product names are used solely for the purpose of
identification and are the property of their respective owners.