Coraid EtherDrive(R) Storage Reduces Total System Cost for SAN to $1.35/GB; Massively Scalable Ethernet Storage Appliances Provide Shared Storage Pool of Unlimited Capacity.

SAN CLEMENTE, Calif. -- Coraid Inc. today announced that their EtherDrive(R) Storage Appliances are driving total system costs for storage networks to their lowest point ever. When combined with large-capacity SATA disks, standard Ethernet switches and the ATA-over-Ethernet (AoE) protocol, EtherDrive Storage eliminates the need for expensive Fibre Channel technology, host bus adapters or iSCSI TOE cards. The result is a dramatic reduction of total system cost to less than $1.35 per gigabyte.

"Adding an Ethernet network connection to a SATA disk used to cost between $2.00 and $6.00 per gigabyte," explained Coraid CEO Jim Kemp, "and Fibre Channel SANs cost a lot more than that. Our 15-disk EtherDrive Storage Appliance holds up to 7,500 gigabytes of disk storage and sells for $3,995 -- or just $0.53/GB. Large-capacity SATA disks prices range between $0.43 and $0.74/GB. Standard Ethernet switches are inexpensive, and the AoE protocol is free. Add it all up and the total system cost is less than $1.35 per gigabyte. That's what we call true value innovation."

"EtherDrive Storage seems to have a natural home in disk-to-disk back up applications, and appears to be an ideal fit to work with Virtual Tape Library (VTL) systems," said W. Curtis Preston, vice president of Glasshouse Technologies Inc. "A value comparison makes it clear that disk backup is now less expensive than tape systems and the scalability offered by a network storage product like EtherDrive Storage looks like a good fit for this market."

Coraid markets three EtherDrive storage product categories:

--Storage+RAID Appliances provide a shared Ethernet interface for multiple disks. These simple-to-use appliances provide a bridge between the disks and Ethernet using AoE and include a RAID controller. Each disk is individually accessible on the network (JBOD) or can be configured into RAID sets presenting one or more logical EtherDrive storage devices to the network.

--Storage Blades provide a separate Ethernet interface for each disk. The blade's processor (one processor/disk) provides a bridge between a single disk and Ethernet using AoE.

--RAID Appliances provide the RAID controller function for Storage Blades or when RAID sets span across multiple Storage+RAID Appliances. RAID Appliances present logical EtherDrive storage devices assembled from EtherDrive Storage Appliances or EtherDrive Storage Blades.

About Coraid

Coraid designs and manufacturers innovative, affordable networked storage appliances based on the "power of simple." Coraid also developed the open ATA over Ethernet (AoE) protocol used by EtherDrive storage products. This powerful and efficient protocol leverages the cost advantages of Ethernet to provide true networked storage. For more information, please telephone Coraid at 706-548-7200, e-mail [e-mail] or visit www.coraid.com.