SumTotal Listed in Leader Quadrant in 2005 Learning Management Systems Magic Quadrant

MOUNTAIN VIEW, Calif. – November 4, 2005 – SumTotal™ Systems (NASDAQ: SUMT), the largest provider of learning and business performance technologies and services, announced
that it has been positioned by Gartner, Inc. in the Leader Quadrant in the 2005 Learning Management System (LMS) Magic Quadrant report (*). According to Gartner, “leaders” are vendors who 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 believe our ability to make 17 million users around the globe successful with their strategic, enterprise learning initiatives is among the reasons Gartner positioned us in the leader quadrant,” said Kevin Oakes, president of SumTotal. “We are increasingly finding that our customers are using our platform for mission-critical functions, and are relying on us in order to be more competitive and operationally efficient in their marketplace. SumTotal’s ability to scale on the largest, enterprise-levels and provide a global presence to our customers is what we feel really sets us apart in our industry.”

Gartner’s Magic Quadrant positions vendors between vertical and horizontal axes with the horizontal axis representing completeness of vision and the vertical axis indicating ability to execute. To be a leader, vendors must have a clearly defined vision and strategic plan that allows them to anticipate, direct and initiate market trends. Ability to execute measures how well a vendor sells and supports its LMS product and services on a global scale. According to Gartner, vendors in the Leaders quadrant have the highest combined measures of ability to execute and completeness of vision.

* 2005 Gartner Magic Quadrant for Learning Management Systems, by W. Arevolo and J. Lundy, October 2005.

About the Magic Quadrant

The Magic Quadrant is copyrighted 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 SumTotal Systems Inc.

SumTotal Systems Inc. (NASDAQ: SUMT) is the largest provider of learning and business performance technologies and services. SumTotal deploys mission-critical solutions that align learning with organizational and business goals to generate significant bottom-line results. With more than 17 million users worldwide, SumTotal has helped accelerate performance and profits for more than 1,500 of the world’s best-known companies and government agencies including Accenture, Aetna, Cendant, D&B, DaimlerChrysler, Delta Air Lines, Harley-Davidson, Microsoft, Novartis, PNC Bank, U.S. Army, U.S. Air Force, U.S. Navy, U.S. Coast Guard, U.S. Bancorp, United Airlines, Vodafone, Wachovia and Wyeth. SumTotal has offices in Hong Kong, Hyderabad, India, London, Paris, Sydney, Tokyo, and the United States. For more information about SumTotal's products and services, visit www.sumtotalsystems.com.

Safe Harbor Statement/ Forward-Looking Statements
Information in this press release contains forward-looking statements. These statements represent SumTotal Systems’ expectations or beliefs concerning future events and include statements, among others, regarding SumTotal Systems’ new product, SumTotal Enterprise Suite 7.1. These statements are not historical facts or guarantees of future performance or events and are based on current expectations, estimates, beliefs, assumptions, goals and objectives, and involve known and unknown risks, uncertainties and other factors that may cause actual results to be materially different from the results expressed or implied by these statements. Readers of this press release are cautioned not to place undue reliance on any forward-looking statements. Additional factors that could cause actual results to differ include, but are not limited to (i) unknown errors or bugs in SumTotal Enterprise Suite 7.1; (ii) inability to fix in a timely fashion unanticipated bugs, errors or defects that material impact the functionality or usability of SumTotal Enterprise Suite 7.1, or unanticipated problems in customer upgrades to SumTotal Enterprise Suite 7.1 from prior SumTotal products (iii) unexpected shipment problems or delays of SumTotal Enterprise Suite 7.1; (iv) customers or partners delaying purchasing or upgrade decisions until there is widespread market acceptance of SumTotal Enterprise Suite 7.1; (v) the acceptance of SumTotal Enterprise Suite 7.1 and future product offerings; (vi) the ability to successfully implement SumTotal Systems’ solutions; (vii) the ability to successfully address technological developments and standards; (viii) ability to successfully manage growth, significant current and expected additional competition, and the need to continue to expand product distribution and services offerings; and (ix) other events and other important factors disclosed previously and from time to time in SumTotal Systems' filings with the Securities and Exchange Commission, including the Annual Report for fiscal year 2004 on Form 10-K and its quarterly report for the first and second quarter of fiscal year 2005 on Form 10-Q filed August 1, 2005 and August 9, 2005, respectively.