Trading Update

Embargoed Release: 07:00hrs, Thursday 25 October 2007

                                  SOPHEON PLC                                  

                                  ("Sopheon")                                  

                                TRADING UPDATE                                 

Sopheon, the international provider of software and services that improve the
financial return from innovation and product development investments issues a
trading update.

Since the mid year, we have divided our effort between our core pipeline, the
additional pipeline resulting from our acquisition of Alignent Software and the
customer conversion opportunities stemming from our recently announced
agreement with IDe. During that period we added three new customers for our
Accolade solution and three for Vision Strategist, the product acquired with
Alignent. We also closed six extension orders within the combined customer
base. This activity brings the total number of customers licensing Sopheon
software to 131, up from 87 upon entering 2007. The total of 131 is represented
by 99 for the Sopheon platform and 35 for the Alignent platform, of which 3 are
also Accolade users.

The Alignent and IDe transactions, although somewhat disruptive over the summer
months, have substantially strengthened Sopheon's market position and business
prospects. Most of the core integration activities associated with our
acquisition of Alignent are now behind us. People, facilities, and resources
were successfully integrated in the third quarter. In addition to the new sales
noted above, we expect to renew all but one of Alignent's recurring maintenance
and license contracts that were due for renewal between the acquisition date
and year-end, underlining the strong business value of the Vision Strategist
product.

In parallel with commercial activities, we have continued to invest heavily in
product development. In September, our development team released a new version
of Vision Strategist to the market. In the third quarter we announced that an
integration of the portfolio management capabilities of our Accolade solution
with Vision Strategist, and made the integrated solution available for
purchase. Initial orders are expected in the fourth quarter. Looking forward,
we are on track to introduce the most significant new release of our Accolade
solution in our history. Scheduled for introduction at the end of the year,
this release will extend the value and functionality of Sopheon's software for
the non-process manufacturing markets, including the large aerospace, defence
and automobile sectors. As part of this release we will also be introducing a
new version of Vision Strategist. The combination will be the first in the
industry to integrate product planning and product development execution, and
is expected to have immediate impact on our business development efforts.

In August we announced that we had entered into an exclusive agreement to offer
transitional services to the customers of IDe, a former Sopheon competitor. We
have since contacted all of IDe's customers, and three have already signed
agreements to adopt Accolade. This will drive maintenance and services revenue
in the short term, and possible license extension orders in the medium term.
The initial services engagements were kicked off in early October. Two
additional customers have signed letters-of-intent, indicating a desire to work
with Sopheon moving forward. We remain in discussion with a handful of others.

Contracted and recurring revenue visibility for 2007 stands at £5.8m. We have
often noted the influence that the timing of individual sales can have on our
results, and achieving our objectives for the year will remain challenging;
however, in our interim statement we also noted that our sales funnel was
robust, with a number of potentially large deals in the prospect population,
and this remains the case. Subject to the above, the current high levels of
activity in our pipeline, coupled with existing visibility, give us continued
confidence that our full-year performance for 2007 will show substantial
improvement over 2006.

                                    -Ends-                                     

For further information contact:

Barry Mence, Chairman   Sopheon plc                  Tel : + 44 (0) 1483 685 735                       
Arif Karimjee, CFO                                                             
                                                                               
Andrew Tan              Hansard Communications       Tel : + 44 (0) 207 245 1100                      
                                                                               
                                                           + 44 (0) 7957 203 685     
                                                                               
Floor van Maaren        Citigate First Financial     Tel : + 31 (0) 205 754 010
                                                                               
David Newton            Seymour Pierce               Tel : + 44 (0) 207 107 8000



About Sopheon

Sopheon (LSE:SPE) is an international provider of software and services that
help organizations improve the business impact of product innovation. Sopheon's
solutions automate and govern the innovation process, enabling companies to
increase revenue and profits from new products. Sopheon is listed on the AIM
Market of the London Stock Exchange and on the Euronext in the Netherlands. For
more information, please visit www.sopheon.com.