Graham V. Smith to Join salesforce.com as Chief Financial Officer Designate

Current CFO Steve Cakebread to Become President and Chief Strategy Officer in First Quarter FY09; Smith to Assume CFO Duties in First Quarter FY09

SAN FRANCISCO - August 20, 2007 - Salesforce.com [NYSE: CRM], the market and technology leader in on-demand business services, today announced that Graham V. Smith, age 47, will be joining the Company as Executive Vice President and Chief Financial Officer Designate in the company's fiscal fourth quarter. Steve Cakebread, age 55, the company's current CFO, will continue in his current role until Smith assumes CFO duties in the company's first quarter of Fiscal 2009 (February-April, 2008). At that time, Cakebread will be promoted to President and Chief Strategy Officer, where he will focus on coordinating salesforce.com's global strategy with a particular focus on expanding the company's international business. In addition, he will continue in his capacity as Executive Vice Chairman of the company's majority-owned subsidiary, salesforce.com Japan.

"Steve is an amazing CFO who has led us from our initial public offering and up to the fiscal year in which we are expected to pass the billion-dollar annual revenue run-rate," said Marc Benioff, Chairman and CEO, saleforce.com. "We are now asking Steve to use his vast industry and international experience to work with me and our team next year in developing our strategy, and we are delighted that he will take on this critical role in FY09."

Salesforce.com's annual revenue was $25 million when Cakebread joined the company in 2002. On its recent financial results conference call, the company reported FY 2008 second quarter revenue of $176 million, or approximately $25 million every 13 days. Salesforce.com held an initial public offering on the NY Stock Exchange at $11 per share in June 2004 with net proceeds to the company of approximately $118 million.

"Building salesforce.com from a challenger to a leader has been the thrill of a lifetime," said Cakebread.  "Now I am looking forward to working with Graham to ensure a seamless transition and then focusing on our fantastic potential for international growth."

Salesforce.com CEO Marc Benioff noted that he and incoming CFO Graham Smith will be building on a long track record of collaboration and mutual respect.

"I have known Graham for almost 20 years, and worked with him at Oracle for ten. I am looking forward to bringing one of the industry's finest financial executives into our company, and on to the management team as our CFO."

Smith, a 20-year finance veteran of the software industry, is the current Chief Financial Officer of Advent Software, one of the leading providers of software and services to the investment management industry.  Prior to Advent, Smith was CFO of Vitria Technology, an enterprise application integration software company. Prior to Vitria, Smith served four years as CFO for Nuance Communications, a voice-recognition software company, where he led the company through both private and public financings. Earlier in his career, Smith spent eleven years at Oracle Corporation in a variety of senior finance roles, most recently as Vice President of Finance for worldwide operations, reporting to Oracle's President and Chief Operating Officer. Smith holds a bachelor's degree in economics and politics from Bristol University in England and is a member of the Institute of Chartered Accountants in England and Wales.

"I am looking forward to joining the salesforce.com management team and bringing my years of experience in software to the leader in on-demand," said Smith. "I look forward to building on Steve's amazing track record at salesforce.com as we expand and refine the business models that are changing this industry."

Smith will serve on salesforce.com's President's Committee, which consists of Benioff's direct reports, including, in alphabetical order, Cakebread, John Freeland (President, Worldwide Operations), Parker Harris (EVP, Technology), George Hu (Chief Marketing Officer), Kenneth I. Juster, (EVP, Law, Policy and Corporate Strategy), Jim Steele (President, Worldwide Sales and Distribution), and Frank van Veenendaal (President, Worldwide Corporate Sales and Services).

About Salesforce.com

Salesforce.com is the world’s largest provider of customer relationship management (CRM) software. For more information about salesforce.com (NYSE: CRM), visit: www.salesforce.com/ap/.

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