Novato - May 5, 1997 - Inference Corp. (NASDAQ: INFR) today announced a business partner agreement with AltaVista Internet Software, Inc., a subsidiary of Digital Equipment Corporation. Under the agreement, Inference will market a solution that leverages Inference's customer service self-help Internet product, CasePoint WebServer, with AltaVista Search, AltaVista Forum, AltaVista Firewall and AltaVista Tunnel. The joint solution allows end users to securely search the Internet, an intranet or extranet to solve their own customer service queries, 24-hours-a-day, seven-days-a week.

"AltaVista's search and security technologies, coupled with our CasePoint WebServer, allows Inference to offer a complete solution for corporations who want to manage their intellectual capital to offer customer service self-help sites on the Web," said Peter R. Tierney, chairman, president and CEO of Inference Corp. "CasePoint WebServer combined with AltaVista's #1 Firewall, Search and Tunnel provides a powerful environment to offer self-service support, thus reducing call volumes and improving customer service without any security worries."

"We are pleased to partner with the leading self-service Internet support tool provider," said Ray Wilkes, vice president of sales, Americas, for AltaVista Internet Software, Inc. "AltaVista Tunnel will complement Inference's self help tool by providing OnSite Access without having to be physically at work. With it, customers and employees can use the Internet for real business by creating a highly-secure connection with the information, people, and resources that reside behind their corporate firewalls.

To launch the new partnership, Inference and AltaVista are jointly hosting a 1-day seminar on May 20 at the Hotel Sofitel in Redwood Shores. To register, call 1-888-222-6644, e-mail seminar@inference.com or visit http://www.inference.com/welcome/altavista.html.

ALTAVISTA ONSITE COMPUTING SOLUTIONS
AltaVista's vision is OnSite Computing -- leveraging the real benefit of the Internet's universal presence of being able to do business wherever you are. AltaVista's OnSite Computing solutions includes the AltaVista Search Network, AltaVista Search services and software, AltaVista Firewall and Tunnel security solutions, as well as NT-based directory, mail and library solutions, all providing secure, simple and direct access to information and people over the Internet and private intranets. AltaVista Internet Software, Inc. is a Digital company. Further information is available at http://altavista.software.digital.com, or by calling 1-800-336-7890.

INFERENCE CORPORATION
Inference is the leading provider of knowledge management solutions that help people in business solve problems for other people. Inference's knowledge management products, developed around its Case-Based Reasoning (CBR) technology, are used by leading organizations around the world - at telesales and telemarketing centers, customer support and service call centers; on help desks for technology, human resources and policies; for self-help sites over the Internet, and automated resolution on the desktop. The company's headquarters is located in Novato, Calif., with its international headquarters in Slough, UK. The company also offers a comprehensive set of pre-packaged knowledge and a complete line of consulting, support and training services from offices throughout the U.S. and Europe. For information regarding products and services, contact Inference Corp. at 415/893-7200, send an e-mail to info@inference.com or visit its World Wide Web page at www.inference.com.

For further information, please contact:
Susanna Cesar
Inference Corporation
415/893-7208
susanna.cesar@inference.com

Jenni Chang
Phase Two Strategies
415/772-8424
jenni_chang@p2pr.com

The Inference logo, CasePoint and CBR Express are a registered trademarks of Inference Corporation. All other company names and products are trademarks or registered trademarks of their respective companies.