Continuous Computing Announces Agreement to Acquire Key Assets from UPTech; Acquisition Will Enhance Company's Position in China and Strengthen Global Product Development and Regional Customer Support Capabilities.

CHICAGO & SAN DIEGO -- Continuous Computing(R) Corporation, global provider of high availability platform solutions that enable telecom equipment manufacturers to rapidly deploy converged communications, today announced the signing of an agreement to acquire key people, products and technology from the product division of China-based UPTech (United Platform Technologies). When closed, this acquisition will enhance Continuous Computing's market position in China and add global product development and regional customer support resources. The addition will increase Continuous Computing's total staffing by approximately 80 people, primarily in Shenzhen, China.

According to PJ Go, president, CEO and co-founder of Continuous Computing, "The acquisition will help Continuous Computing achieve its 2005 corporate goals for extending global reach and augmenting sales, development and manufacturing capabilities. We also expect the acquisition to significantly accelerate our ability to deliver Network Service-Ready Platforms(TM) to telecom equipment manufacturers. Continuous Computing is excited about its new position in the worldwide marketplace and optimistic about additional growth prospects in the future."

UPTech is a leading software and product provider in the rapidly-growing Chinese VoIP market. The entrepreneurial spirit of the acquired team is expected to streamline the division's integration with Continuous Computing and to help accelerate the company's development of additional VoIP products.

"This is a win/win situation for both UPTech and Continuous Computing," said Chareleson Zheng, CEO of UPTech. "Continuous Computing will benefit from the success of the products and the market in China while UPTech will be able to focus its energy on the rapid growth of software and services."

King Chen, CTO of UPTech and general manager of the product division, will lead the new business unit at Continuous Computing, to be called IP.Enterprise. Chen, who was formerly vice president of fixed networks for Huawei Technologies before joining UPTech, brings well-established relationships with Chinese telecom equipment manufacturers to his new role. "The combination of key UPTech assets with Continuous Computing yields a comprehensive offering not currently available today," said Chen. "We are delighted to be part of Continuous Computing and look forward to expanding our strong team in China."

The acquisition is expected to close in approximately 30 days. More information is available on Continuous Computing's web sites at www.ccpu.com and www.ccpu.com/cn and at the company's SUPERCOMM trade show booth (#32076) at Chicago's McCormick Place from June 7 to 9.

About Continuous Computing

Continuous Computing Corporation provides high availability platform solutions that enable telecom equipment manufacturers to rapidly deploy converged communications. The company supplies integrated solutions in the wireless and Voice over IP markets to over 125 customers worldwide who rely on Continuous Computing to accelerate time to market, reduce total life cycle costs and increase return on investment. The company offers a comprehensive set of Trillium(R) protocol software; AdvancedTCA and CompactPCI platforms; upSuite(R) platform management; Trillium+plus Network Service-Ready Platforms(TM); and customization and product life cycle management services. Founded in 1998, Continuous Computing is based in San Diego, with offices globally. The company is ISO-9001 certified and a member of the Intel(R) Communications Alliance. Additional information is available at www.ccpu.com.

Continuous Computing, the Continuous Computing logo, Create/Deploy/Converge, Flex21, FlexChassis, FlexCompute, FlexCore, FlexDSP, FlexPacket, FlexStore, FlexSwitch, Network Service-Ready Platform, Quick!Start, TAPA, Trillium, Trillium+plus, the Trillium logo, upBeat, upDisk and upSuite are trademarks or registered trademarks of Continuous Computing Corporation. Other names and brands may be claimed as the property of others.

Continuous Computing is an Associate member of the Intel Communications Alliance. The Intel Communications Alliance is a member-based program comprised of communications and embedded developers and solution providers. Members are committed to providing a strategic supply of standards-based solutions to the communications and embedded market segments. For more information, please visit: www.intel.com/go/ica.