Taleo Corporation (NASDAQ: TLEO), the leading provider of on demand talent management solutions, today announced the launch of Smart Sourcing with new product enhancements for Taleo Business Edition. Taleo’s Smart Sourcing offering will provide small and medium businesses (SMBs) with a sophisticated set of tools to help level the playing field in the war for talent.  The new offering streamlines the sourcing workflow, provides predictive analytics on the immediate state of the local job market, and facilitates active and passive sourcing. 

Taleo Smart Sourcing helps companies gain a competitive advantage with new product enhancements, including an Outlook® Plug-In and a Facebook® Platform application. With the Outlook Plug-In, users can create candidate profiles, track e-mail correspondences and search e-mail addresses in Taleo Business Edition without ever leaving Outlook.  The Plug-in creates a seamless workflow and gives HR managers the ability to track and store all hiring correspondence and profiles.  The Facebook Platform application, called Now Hiring!, lets users post jobs listed by Taleo Business Edition customers to their Facebook profile. Jobs listed within the application will link back to an employer’s website and will appear in order of proximity to the Facebook user. 

The Smart Sourcing offering also includes a partnership with eQuest, the worldwide leader in job posting and Internet management services, whose products include eQuest Prophesy, Advantage and FreeBug.  ProphesyTM is a predictive analysis tool that suggests which job boards will be most effective for a job posting prior to a recruiter making a selection, eQuest AdvantageTM allows customers to post jobs through Taleo without the need for a direct contract with any job board and FreeBUG (Free Board User Group) allows customers to have unlimited access to the most popular free job boards on the Internet. These features allow SMBs to optimize their job board spend, automate the posting process and source the most qualified candidates in a timely fashion.
 
“We are very excited to expand our partnership with Taleo,” said John Malone, CEO of eQuest. “eQuest is dedicated to providing advanced HR technology products and services to its partners’ clients. Taleo Business Edition customers will now have access to the same high-end features normally utilized by our larger customers.”

Businesses today can grow to a certain revenue size through sheer force, commitment, and their skill capacity, but maintaining growth depends on the quality and quantity of talent.  The pain points SMBs face in finding top talent is supported by the latest research conducted by Achilles Group on “2007 SMB Owner Trends: Aligning People with Business Goals,” which found that 33 percent of small business owners claim that finding and attracting top talent is their number one concern.

 “Practically every industry, from startups to multi-nationals, is experiencing a talent shortage, and scouring for talent has become the number one concern for SMBs today,” said Jason Blessing, group vice president and general manager of Taleo’s Small and Medium Business unit.  “Taleo remains committed to helping SMBs win the war for talent, and by expanding our partner ecosystem and adding product enhancements, we’re making it easier for SMBs to find and retain top talent. Taleo’s SMB Business Unit is growing at a rapid rate, and recently passed a milestone with our 1,000th customer.  This shows that the need for SMBs to source for talent is a significant issue that Taleo can solve for them.”

More information about Taleo Business Edition and Smart Sourcing can be accessed at www.taleo.com.

About Taleo
Taleo (NASDAQ: TLEO) is the leader in on demand, web-based talent management solutions that empower organizations of all sizes, around the world to assess, acquire, develop and align their workforce for improved business performance. More than 1,200 organizations use Taleo, including 33 of the Fortune 100, for talent acquisition and performance management, with over 1,080,000 users processing 66 million candidates from over 100 countries. Requiring no capital investment, Taleo’s software as a service and on demand delivery offers 99.9% availability.

Forward-looking Statements
This release contains forward-looking statements, including statements regarding the demand for Taleo’s solutions, results from use of Taleo’s solutions and general business conditions.  Any forward-looking statements contained in this press release are based upon Taleo's historical performance and its current plans, estimates and expectations and are not a representation that such plans, estimates, or expectations will be achieved. These forward-looking statements represent Taleo's expectations as of the date of this press announcement. Subsequent events may cause these expectations to change, and Taleo disclaims any obligation to update the forward-looking statements in the future. These forward-looking statements are subject to known and unknown risks and uncertainties that may cause actual results to differ materially.  Further information on potential factors that could affect actual results is included in Item 1A of Taleo’s Annual Report on Form 10-K, as filed with the SEC on March 16, 2007, in Item 1A of Taleo’s Quarterly Report on Form 10-Q, as filed with the SEC on August 9, 2007, and in other reports filed by Taleo with the SEC.