AppIQ and Intel Collaborate to Develop Standards-Based Management Solutions for iSCSI-Based Storage Networks.

Business Editors/High-Tech Writers

BURLINGTON, Mass.--(BUSINESS WIRE)--March 15, 2004

Enables AppIQ to Provide a Single, Integrated Solution that

Supports DAS, NAS, and SAN for All Major Protocols

AppIQ(TM), Inc., a leading provider of enterprise software that enables data storage to be managed as an IT utility, today announced it is collaborating with Intel Corporation to develop management solutions for iSCSI-based storage networks. The collaboration will enable AppIQ to provide an integrated, standards-based family of storage area management solutions that support all storage technologies - DAS, NAS, and SAN - on all physical protocols - ATA, SCSI, Fibre Channel, and iSCSI. Customers will benefit from the freedom to deploy iSCSI-based storage resources in combination with Fibre Channel-based storage area networks, as well as increased simplicity and consistency of management and dramatically lower operational costs. In addition to the technical collaboration, Intel Capital, Intel's strategic investment program, participated in AppIQ's Series B investment round in July 2003.

The collaboration calls for Intel and AppIQ to begin joint development of SMI-S interfaces for the iSCSI storage components being produced by Intel's Storage Components Division, which will make Intel iSCSI products compliant with the Common Information Model (CIM) and Storage Management Initiative Specification (SMI-S) standards. The joint development efforts will enable AppIQ StorageAuthority(TM) Suite, AppIQ's award-winning storage area management solution, to discover, monitor, provision, automate, report on, and charge back on iSCSI storage resources developed by Intel, giving AppIQ early access to the iSCSI array market segment, which IDC forecasts will grow from $115 million in 2003 to nearly $3 billion in 2007.

"Ethernet offers a fast, affordable way to reduce storage total cost of ownership, overcome distance limitations, improve interoperability, and offer cross-platform scalability, but iSCSI-based SANs will only succeed with standards-compliant devices and powerful management solutions," said Robert Gray, Research VP, Worldwide Storage Systems, IDC. "AppIQ's goal of offering a single management solution that enables storage administrators to centrally monitor, report on, and provision Fibre Channel and iSCSI-based storage networks should be well-received by enterprises looking to maximize application availability, optimize service levels, and control operational costs."

The management challenge presented by iSCSI SANs will be even more complex than for Fibre Channel SANs because of the ubiquity of IP, the mixing of protocols, and the increase in the number of products and vendors from which enterprises can choose. By working together to deliver standards-based hardware and software solutions that help enterprise customers cost-effectively meet business-level quality of service (QoS) objectives for performance, availability, and business continuity, AppIQ and Intel should help meet this challenge.

"We expect our technical collaboration with Intel to significantly broaden our ability to meet customer demand for heterogeneous storage management solutions, and we're pleased to be part of the Intel Capital investment portfolio," said Dave Lemont, CEO, AppIQ. "We expect that this time-to-market advantage in the support of iSCSI components, combined with our existing support for Fibre Channel devices and networks, will favorably position AppIQ as large-scale enterprises and small to medium sized businesses adopt iSCSI solutions. Enterprises look for investment protection and a roadmap to the future from their strategic storage management vendor - this is another indication that AppIQ will be at the forefront of emerging storage technologies."

"Intel is helping pioneer new innovations in iSCSI that can speed the adoption of new and less expensive storage-area networks using existing IP networks," said Mike Wall, general manager, Intel Storage Components Division. "The collaboration with AppIQ is aimed at helping Intel develop iSCSI products with enhanced standards-based management and interoperability. It also will help AppIQ StorageAuthority Suite meet the requirements of Intel customers for complete enterprise-class storage management."

About AppIQ

AppIQ, Inc. provides comprehensive software solutions that enable enterprise IT organizations to efficiently manage data storage as an application-focused IT utility. AppIQ's storage area management solutions seamlessly integrate storage network visualization, provisioning, monitoring, reporting, and policy-based automation, and correlate the availability of business-critical applications with SAN configuration, capacity and performance. Customers that rely on AppIQ solutions to reduce operational costs, improve IT efficiency and ensure application availability include Boston Stock Exchange, Nielsen Media Research, and The Weather Channel. AppIQ, based in Burlington, Mass., is a privately held firm funded by Matrix Partners, North Bridge Venture Partners, and Intel Capital. For more information, visit http://www.appiq.com.

(C) 2004 AppIQ, Inc. AppIQ and StorageAuthority are trademarks of AppIQ, Inc. in the United States and in other countries. All other brands or products are trademarks or registered trademarks of their respective holders and should be treated as such.