Press Release

ON24 Raises $3.3 M in Funding

Company Delivers 13th Consecutive Quarter of Revenue Growth, and Continued Operating Profitability

San Francisco, CA – May 10, 2004 – ON24 Inc., the leading webcast and multimedia communication solutions provider for the enterprise, today announced that the company has secured approximately $3.3 million in new funding. U.S. Venture Partners, Canaan Partners, and Rho Management led this round of funding, which brings the company's total private equity funding to $40 million.

ON24 achieved profitability in Q4 2003, and the new funding will enable the company to further accelerate company growth. ON24 will use this round of funding to execute on certain strategic business development and sales initiatives; expand operations to support the growing customer base; and develop new products.

"We are pleased to have secured this round of funding and continued support from top-tier venture groups," said Sharat Sharan, CEO and President of ON24. "The funding round will extend our momentum as the market leader for webcasting and multimedia solutions."

This round of funding follows another successful quarter for ON24. In addition to achieving 13 consecutive quarters of revenue growth in its core business in Q1 2004, the company also announced the appointment of Chuck Ellison as vice president of sales and marketing. In his new position, Ellison will be responsible for the company's sales and marketing initiatives during this rapid period of company growth. ON24 also opened new offices in New York and New Jersey.