EXHIBIT 1

                      JACADA INITIATES COST-REDUCTION PLAN


ATLANTA - October 15, 2001 - Jacada Ltd. (Nasdaq: JCDA) today announced a
cost-reduction plan aimed at better aligning the Company's expenses to projected
near-term business levels. The cost-reduction initiatives, which include a 25%
reduction in workforce, compensation reductions for the remaining workforce, and
other expense reductions, are expected to reduce operating expenses by
approximately $10.0 million on an annualized basis.

         "We decided to take these steps to better align our resources to
current and projected near-term business levels. While Jacada has the largest
pipeline in our history, we made the decision to proceed conservatively. These
cost-cutting measures will enable us to preserve our cash position while
remaining nimble as we wait for overall market conditions to improve," said
Gideon Hollander, CEO of Jacada. "We firmly believe that we can implement these
reductions and maintain our leadership position within the industry, while
preserving our ability to provide quality service and support and leading-edge
software to our customers. Jacada has a solid financial foundation with over
$40.0 million in cash and investments and no debt. We believe the actions we
initiated today will leave Jacada well positioned to weather this turbulent
period in history. We expect to emerge an even stronger company as we help
organizations leverage the significant investments they have in their legacy
systems."

         Jacada is planning to issue its third quarter 2001 financial results
and review these results in a teleconference on October 31, 2001. Any investor
or interested individual can listen to the teleconference, which is scheduled to
begin at 10:30 a.m. EST on October 31st, via the Internet at www.jacada.com.
This web site will host an archive of the teleconference for 30 days. A
telephonic playback will be available from 12:30 p.m. EST on October 31st
through 5:00 p.m. EST on Friday, November 2nd. The playback can be accessed by
calling (800) 846-4849 for domestic callers or (402) 998-0951 for international
callers.

         ABOUT JACADA - Jacada Ltd. is a leading provider of interface and
workflow solutions that accelerate the delivery and maintenance of enterprise
applications. Jacada products address the need for extending, web-enabling and
integrating legacy systems, automating enterprise workflow, and delivering a
universal user interface for new and existing applications. Jacada solutions are
in use today at major corporations and government organizations such as AIG,
Caterpillar, Citibank, Conseco, Delta Air Lines, Enterprise Rent-A-Car, The
Federal Reserve Bank, Fireman's Fund, Porsche Cars North America, Prudential
Insurance Company of America, US Department of Interior, and Verizon. Jacada





operates globally with headquarters in Atlanta, Georgia; Herzliya, Israel; and
London, England. Jacada can be reached at www.jacada.com or at 1-800-773-9574.


This press release may contain "forward-looking statements" within the meaning
of Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange
Act"). When used in this report, the words "may," "could," "should," "would,"
"believe," "anticipate," "estimate," "expect," "intend," "plan" and similar
expressions or statements regarding future periods are intended to identify
forward-looking statements. All forward-looking statements are inherently
uncertain as they are based on various expectations and assumptions concerning
future events, which by their nature involve substantial risks and uncertainties
beyond the Company's control. The Company undertakes no obligation to update or
revise any forward-looking statement for events or circumstances after the date
on which such statement is made. The Company cannot assess the impact of or the
extent to which any single factor or risk, or combination of them, may cause
actual results to differ materially from those contained in any forward-looking
statements. For a more complete discussion of risk factors, please see the
Company's filings with the Securities and Exchange Commission, including its
Registration Statement on Form F-1 filed on October 14, 1999 and its Annual
Report on Form 20-F for the year ended December 31, 2000.

                                       ###

Jacada Contacts:  Ann Conrad
                  Manager, Corporate Communications
                  Jacada Ltd.
                  (770) 352-1300
                  aconrad@jacada.com
                  or
                  Investor Relations:
                  Philip Bourdillon
                  Silverman Heller Associates
                  (310) 208-2550
                  bourdillon@sha-ir.com