Borland and Microsoft Arm Systems Integrators with Application Development and Deployment Best Practices

Application lifecycle management leader provides Microsoft Visual Studio 2005 Team System with learnings from 20 years of accelerating software excellence

(Microsoft TechEd 2004) SAN DIEGO, Calif. - May 24, 2004 : Borland Software Corporation (Nasdaq NM: BORL) today presented alongside Microsoft and leading global systems integrators a Microsoft road map for delivering the Microsoft Visual Studio 2005 Team System. The Visual Studio 2005 Team System will provide a set of best practices, prescriptive architecture guidance and integrated tools designed to enable IT organizations to successfully build and deploy custom solutions for the Windows Server System.

The Microsoft Visual Studio 2005 Team System will include integrated tools that provide traceability, tracking and monitoring across the application lifecycle, and integration with partner processes and tools. As an example, at this week’s TechEd 2004 conference, Microsoft will be demonstrating integration between Visual Studio 2005 Team System and Borland® CaliberRM®, the Borland enterprise requirements management solution that is already in use at thousands of clients worldwide.

"As software becomes a core competency for businesses and organizations of all sizes, the complexity associated with harnessing its value is dramatically increasing," said Patrick Kerpan, Chief Technology Officer at Borland Software. "Providing the industry with a resource and common development methodology for Microsoft .NET technologies is an important step in helping to mitigate risk associated with developing and deploying high-value software."

"Microsoft is pleased that Borland is supporting the Visual Studio 2005 Team System," said Rick LaPlante, general manager of the Visual Studio Product Group at Microsoft Corp. "With the support of Borland CaliberRM, our mutual customers will be better prepared to manage an application throughout its entire lifecycle."

"Microsoft and Borland have a long history of working collaboratively to deliver high-quality customer solutions," said George Paolini, vice president, general manager development tools at Borland Software. "We believe Microsoft’s entry into ALM is evidence that the industry is maturing and will even further expand the market for leaders like Borland who have years of experience in the space and a set of mature products already available to customers. Our support of Visual Studio 2005 Team System will also enable Borland, and in turn our customers, to gain valuable insight into the evolving methodology for the benefit of future product development."

About Borland

Borland Software Corporation (Nasdaq NM: BORL) is a world leader in platform independent software development and deployment solutions that are designed to accelerate the entire application development lifecycle. By connecting managers, testers, designers, developers, and implementers in real time, Borland enables enterprises worldwide to define and sustain their competitive advantage. For more information, visit: http://www.borland.com or the Borland Developer Network at http://bdn.borland.com.

All Borland brands and products are trademarks or registered trademarks of Borland Software Corporation in the United States and other countries. All other marks are the property of their respective owners.

Safe Harbor Statement

This release contains “forward-looking statements” as defined under the Federal Securities Laws, including the Private Securities Litigation Reform Act of 1995 and is subject to the safe harbors created by such laws. Forward-looking statements may relate to, but are not limited to, the projected acceptance by existing or potential customers of new technologies and the potential features of Visual Studio 2005 Team System and Borland Caliber, or benefits to be derived therefrom. Such forward-looking statements are based on current expectations that involve a number of uncertainties and risks that may cause actual events or results to differ materially. Factors that could cause actual events or results to differ materially include, among others, the following: rapid technological change that can adversely affect the demand for Borland products, shifts in customer demand, delays in actions or announcements by competitors, and software errors. These and other risks may be detailed from time to time in Borland periodic reports filed with the Securities and Exchange Commission, including, but not limited to, its latest Annual Report on Form 10-K and its latest Quarterly Report on Form 10-Q, copies of which may be obtained from www.sec.gov. Borland is under no obligation to (and expressly disclaims any such obligation to) update or alter its forward-looking statements whether as a result of new information, future events or otherwise.

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