Press Release

Exagrid Announces Exagrid Release 2.0 Turnkey Disk-based Backup Appliance

Westborough, Mass., -- December 21, 2005 - ExaGrid Systems, Inc., the leader in Intelligent Disk-based Data Protection today announced ExaGrid® release 2.0, a new, enhanced version of its turnkey disk-based backup appliance with broader integration capabilities and automated remote diagnosis and notification features.

ExaGrid release 2.0 provides seamless integration with industry-leading backup applications for simple plug and play disk-to-disk-to-tape (D2D2T) or disk-to-disk-disk (D2D2D) backup. ExaGrid 2.0 has concluded detailed testing with CA ARCserve®, and Symantec/VERITAS Backup ExecT and NetBackupT. In addition, ExaGrid 2.0 now supports SQL Server "dump" directly to the system, enabling users of Microsoft® SQL Server 2000 to write directly to ExaGrid to take advantage of its efficient byte-level delta data reduction technology.

"Many of our customers choose ExaGrid to place at their primary site for disk-based backup, and at a second site to eliminate tape and for disaster recovery," said Bill Andrews, president and CEO of ExaGrid. "ExaGrid 2.0 seamlessly integrates with their existing backup software, speeding deployment and preserving their technology investments in both single and second site situations."

ExaGrid Intelligent Disk-based Data Protection
ExaGrid's turnkey disk-based backup appliance works in conjunction with existing data protection environments to replace onsite tape backups with disk, providing fast and more reliable online data restores and recovery. With ExaGrid, administrators simply point existing backup applications to write directly to ExaGrid, and then write from ExaGrid to a tape library to maintain an offsite tape set. An optional second site ExaGrid system can be deployed at another location to supplement or eliminate offsite tapes with a live data repository and for disaster recovery.

ExaGrid is extremely cost-effective, providing data reduction through byte-level delta technology, which stores only the changes from backup to backup instead of storing full file copies. This unique approach reduces the amount of disk space needed to at least 20 to 1, resulting in a solution that is 25% the cost of standard SATA drives. When ExaGrid is used at a second site, additional cost savings are achieved because the byte-level delta technology only moves changes, requiring minimal WAN bandwidth.

ExaGrid release 2.0 highlights
Integration with leading backup applications: Moving from traditional tape-based backup to ExaGrid 2.0 disk-based backup is as simple as using one web-based management screen to create a file share. The backup application is configured to point to the ExaGrid system through its standard disk backup functionality. Supported backup applications include:

CA ARCServe 11.1 and 11.5
Symantec/VERITAS Backup Exec 9.1, 10.0 and 10d/10.1
Symantec/VERITAS NetBackup 5.1 and 6.0

Support for SQL Dump: Users of Microsoft SQL Server 2000 can configure SQL dump to write directly to the ExaGrid system for efficient delta-compressed storage of weeks of database backups.

Automated Notification: Conditions such as a drive failure or of storage reaching capacity are automatically sent to the administrator and/or ExaGrid for action. ExaGrid's grid-based technology enables additional capacity to be added to the system at any time by simply adding another server, which is automatically detected and added to the grid. ExaGrid's RAID 6 storage ensures that if any two drives in a set fails, the system will continue to operate without losing any data. Drive failure notifications received by ExaGrid will result in immediate shipment of a new drive that can then be installed by the customer.

Pricing and availability
The ExaGrid Intelligent Disk-based Data Protection system release 2.0 is currently available, with configurations starting at $27,445.

About ExaGrid
ExaGrid Systems, Inc. is a leading provider of Intelligent Disk-based Data Protection solutions. Located in Westborough, Massachusetts, ExaGrid is privately held with funding from top-tier investors Highland Capital Partners and Sigma Partners.

For more information, contact ExaGrid at 800-868-6985 or visit www.exagrid.com.

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ExaGrid is a registered trademark and Intelligent Disk-based Data Protection is a trademark of ExaGrid Systems, Inc.

For additional information contact:
Wayne St. Amand
ExaGrid Systems, Inc.
(508) 898-2872 ext. 286
wstamand@exagrid.com