Pinnacle Data Systems Releases the Industry's First Telco-Grade AMD Opteron Processor-Based Server.

COLUMBUS, Ohio -- PDSi's TS260 Offers Leading-Edge Performance, Multiple Operating System Support and a Carrier-Grade, Rugged Form Factor for Next-Generation Network Infrastructures

Pinnacle Data Systems, Inc. (PDSi) (AMEX:PNS), with support from AMD (NYSE:AMD) and Sun Microsystems (Nasdaq:SUNW), today announced that it has developed and released the first AMD Opteron(TM) processor-based server specifically designed to meet the stringent demands of telecommunication equipment providers (TEPs) and carriers.

The TS260 offers support for up to two 32- and 64-bit AMD Opteron processors, two hard drives and up to 16 GB of memory with support for both AC and DC power inputs. A Dual-Core AMD Opteron processor-based version of the TS260 is scheduled to be released in the second quarter of 2005.

The server is housed in a 2U-high, less than 20 inch deep chassis specifically designed to support the telecommunication industry's environmental requirements - electromagnetic compatibility; thermal requirements; fire, earthquake and vibration resistance - as outlined in the NEBS(R) specification. PDSi has also developed a telco-grade alarm and monitoring package that comes as a standard feature on the TS260.

Christopher L. Winslow, President and COO of PDSi commented, "The TS260 offers break-through application performance and long-term value as compared with currently available carrier-grade server solutions. Combined with PDSi's innovative and comprehensive product lifecycle solutions, the TS260 will allow TEPs, carriers, and application developers the ability to seamlessly deploy single- or multi-core hardware and 32- and 64-bit-based applications for leading-edge wireless and wire line solutions such as VOIP, soft switches, and media transport."

"The AMD64 Longevity program, which makes the industry-leading AMD Opteron processor available to the telecommunications market, among others, for more than 5 years, is providing a tremendous opportunity for telecommunications companies to improve the performance and cost-effectiveness of their network elements," said David Rich, director of 64-bit Embedded Business at AMD. "PDSi's TS260 server offers telco carriers the first opportunity to deploy AMD64 technology in a configuration designed to meet their specific needs."

An important aspect of the TS260 solution is its support for multiple operating systems. In addition to Microsoft(R) Windows(R) and various versions of Linux, the TS260 fully supports Sun Microsystem's Solaris(R) 10 operating system, a market share leader in the telecommunications industry. "PDSI's reputation for leading edge products and their choice of the Solaris 10 OS for their TS260 solution reaffirms our position that Solaris 10 is the most advanced operating system on the planet", said Tom Goguen, vice president, Operating Platforms Group, Sun Microsystems. "We believe that the high availability features such as predictive Self-Healing, built-in advanced security technologies from Trusted Solaris and demonstrated world record performance make Solaris 10 the best platform for TEP's and carriers deploying wireless and wire line solutions."

The TS260 is available today and more information can be found on PDSi's website http://www.pinnacle.com/products/intelligent/index.html.

About Sun Microsystems

Since its inception in 1982, a singular vision -- "The Network Is The Computer" -- has propelled Sun Microsystems, Inc. (Nasdaq:SUNW) to its position as a leading provider of industrial-strength hardware, software and services that make the Net work. Sun can be found in more than 100 countries and on the World Wide Web at http://sun.com.

About PDSi

PDSi provides product lifecycle service solutions to Original Equipment Manufacturers (OEMs) in the medical, telecommunications, defense, imaging and computer equipment industries, among others. PDSi offers a full range of computer and computer-related product development and manufacturing services to increase product speed to market and engineered product life, and service and support solutions for units in the field through comprehensive product lifecycle management programs encompassing depot repair, advanced exchange, contact center support and end-of-life control. For more information, visit the PDSi Website at http://www.pinnacle.com.

AMD, the AMD Arrow logo, AMD Opteron, and combinations thereof, are trademarks of Advanced Micro Devices, Inc.

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