Employment Agreement - Screaming Media.Net Inc. and Marianne Howatson

Dear Marianne,

         We are delighted to welcome you to the ScreamingMedia team. We believe
your background and skills will be a great fit for the company at this crucial
growth stage.

         We offer the following terms for your employment with
ScreamingMedia.Net, Inc. Your salary will be paid at the rate of $180.000 per
year. We will pay you a signing bonus of $70,000 when you accept this offer. The
company agrees to grant you a stock option to purchase 300,000 shares of the
company's Common Stock at an exercise price of $3.60 per share. The option will
vest at the rate of 36 equal monthly installments of 8,333 shares (8.345 for the
36th month). Vesting will continue for so long as you remain an employee of the
company, but will stop if your employment with the company terminates. You will
participate on standard terms in the company medical plan and future benefits as
they become available.

         If this offer is acceptable to you, please sign the attached copy of
this letter in the space provided below. Upon your signature, this letter will
act as our final and complete agreement as to the terms of your employment with
the company, and any prior agreements or understandings with respect to such
terms will be superseded. As part of our standard company policy, we ask that
all new employees sign a confidentiality agreement in the form attached to this
letter.

         We look forward to accomplishing great things with you,

                                        Very truly yours,

                                         
                                        /s/ Alan S. Ellman
                                        ------------------     
                                        Alan S. Ellman
                                        President

Accepted and agreed:
Marianne Howatson
/s/ Marianne Howatson