Crossroads, IBM, Intel, and StorageTek Demonstrate Interoperable iSCSI Storage Solutions; Crossroads Joins Industry Leaders in iSCSI Demo at N+I Show.

Business Editors & High-Tech Writers

NetWorld+Interop 2002 Las Vegas 

AUSTIN, Texas--(BUSINESS WIRE)--May 8, 2002

Crossroads Systems Inc. (Nasdaq:CRDS), a leading global provider for storage networking solutions, today announced it is demonstrating broad interoperability in iSCSI storage routing with Intel Corporation, IBM and StorageTek at NetWorld + Interop (N+I) Conference, May 6-10, 2002, Las Vegas, Nev.

"Crossroads is at the forefront in driving industry-wide standardization of iSCSI as the networking technology of choice for tape backup/restore applications," said Blaine Kohl, director of high end server product marketing at Intel's LAN Access Division. "By demonstrating our iSCSI adapter with Crossroads, IBM and StorageTek, Intel continues to strengthen its commitment to provide leading, interoperable iSCSI storage solutions."

The demonstration, seen in the Intel Booth (#7183) at the N+I conference, will show customers how to protect their data using iSCSI storage solutions. It combines the Crossroads(R) 10000(tm) storage router, the Intel(R) PRO/1000 T IP Storage Adapter, StorageTek L40 tape library, an IBM eServer xSeries, and IBM TotalStorage IP Storage 200i system. In this demonstration, the 10000 storage router performs data movement and data backup over Gigabit Ethernet using the emerging iSCSI protocol and forwards the data to the StorageTek library.

"By working with leading companies such as IBM, Intel and StorageTek, Crossroads demonstrates our expertise in developing next-generation industry-standard I/O products and supports our goal of delivering simple, cost-effective and interoperable iSCSI solutions to customers," said Rich Lautzenheiser, vice president of marketing and business development, Crossroads Systems.

"IBM is pleased to be working with vendors such as Crossroads and Intel to demonstrate interoperable IP SANs based on the emerging iSCSI protocol," said Paul Mattson, manager for IP SAN in IBM Storage Systems Group. "Real-world demonstrations, using products such as the IBM TotalStorage 200i, can help show customers how to deploy interoperable iSCSI solutions today."

As a long time partner of Crossroads and an expert in high-performance, efficient, digitized data storage, StorageTek has provided its high-performance, high-capacity L40 tape library for the N+I demo. "As storage leaders, Crossroads and StorageTek continue to work together to deliver maximum interoperability as the industry embraces the emerging iSCSI standard," said Pete Koliopoulos, director, product marketing, StorageTek. "By providing StorageTek's tape technology, we continue to extend our leadership in being an early adopter of technological advances to address the fast-changing needs of customers."

For more information about the iSCSI demonstration please visit the Intel booth #7183.

About Intel Corporation

Intel, the world's largest chip maker, is also a leading manufacturer of computer, networking and communications products. Additional information about Intel is available at www.intel.com/pressroom.

About Crossroads Systems Inc.

With headquarters in Austin, Texas, Crossroads Systems (Nasdaq:CRDS), is a leading global provider for storage networking solutions. Crossroads' products are in solutions from leading companies such as Compaq, Fujitsu-Siemens, Hewlett-Packard, and StorageTek, and are distributed through partners such as ARROW, Datalink and Tidal Wire. Crossroads is a voting member of the Storage Networking Industry Association (SNIA). For more information about Crossroads Systems, please visit www.crossroads.com or call 800/643-7148.

Forward-Looking Statements

This release may contain forward-looking statements that involve risks and uncertainties. Among the important factors that could cause actual results to differ materially from those in the forward-looking statements are: the quarterly fluctuations of Crossroads' operating results and Crossroads' inability to accurately predict revenues and budget for expenses for future periods; the extent of Crossroads' future operating losses and negative cash flow; the company's ability to maintain its operating margins; the deteriorating economic environment, including in particular related expense reductions by organizations affecting their IT spending and budget; the dependence of Crossroads' business on the storage area network market which is evolving and unpredictable; the possibility that the pending shareholder class action lawsuits could result in an adverse outcome to the company; Crossroads' ability to develop new and enhanced products that achieve market acceptance; the effect of competition; the effect of undetected software or hardware errors, which may affect the company's results or reduce demand for Crossroads' products in the long term; Crossroads' inability to protect its intellectual property rights, including any adverse outcome in the company's pending patent litigation with certain of its competitors; the continuation of Crossroads' successful relationships with its limited number of OEM customers, including its ability to replace revenue from ADIC and Compaq Computer Corporation and/or to realize the benefit of the new agreement with Compaq; Crossroads' ability to retain and recruit key personnel to manage its business successfully; Crossroads' ability to successfully achieve the benefits of the acquisition of Polaris Communications and any subsequent acquisition or strategic relationship; and that Crossroads' stock price could be volatile regardless of Crossroads' actual financial performance and other factors detailed in Crossroads' filings with the Securities and Exchange Commission, including its Annual Report on Form 10-K and Quarterly Reports on 10-Q.