FalconStor Partners with H3C and Starline to Distribute Multipurpose Storage Systems in Europe

High-Performance Storage Systems Powered by FalconStor Software Showcased at SNW Europe

FalconStor Software, Inc. (NASDAQ: FALC), the provider of TOTALLY Open™ data protection solutions, today announced its collaboration with China-based H3C Technologies and Starline Computer GmbH for European distribution of a high-performance line of storage appliances based on H3C hardware and FalconStor software.

H3C specializes in the provision of IP-based products and solutions for networking, security, storage and video surveillance. Through its partnership with H3C, which already sells FalconStor-based storage appliances in Asia, and a new distribution agreement with Starline (see press release dated 22.10.2008, “FalconStor Software Signs Distribution Agreement with Starline Computer GmbH”), FalconStor initially will introduce the NSS HC6XX line of multiprotocol storage systems into Europe.

“By leveraging our partnership with both H3C and Starline, we can bring to the European market a promising new line of storage solutions for the SMB as well as the enterprise market,” said Guillaume Imberti, vice president and general manager of EMEA operations for FalconStor Software.

“We are pleased to expand the distribution of our FalconStor-based storage appliances into Europe,” said Arthur Lee, president of storage product line at H3C. “Building on an already successful relationship with FalconStor, we have the opportunity to develop a complete family of storage virtualization and data protection appliances for international markets.”

The NSS HC6XX family offers four models, including two entry-level iSCSI-based storage arrays, an advanced multiprotocol system offering both iSCSI and Fibre Channel, and a high-performance 10 Gigabit Ethernet storage array. The NSS HC670 10 GigE iSCSI storage array is highlighted by FalconStor in its booth at this year’s SNW Europe show in Frankfurt (27.10 to 29.10, Booth #6).

The NSS HC6XX family of storage arrays features FalconStor® Network Storage Server (NSS) intelligence and advanced features, including storage virtualization, thin provisioning, synchronous data mirroring, optimized replication, application-aware snapshots, and other enterprise-class capabilities. The new H3C/FalconStor storage systems will be distributed by Starline Computer and sold by FalconStor’s network of channel partners throughout Europe.

In addition to FalconStor NSS and the new H3C appliances, Starline will distribute FalconStor’s complete line of data protection software, including FalconStor Continuous Data Protector™ (CDP) and FalconStor Virtual Tape Library (VTL) with Deduplication. In the future, the H3C/FalconStor-based appliances will be available as CDP, VTL, and Data Deduplication systems.

“With the addition of FalconStor’s enterprise-class data protection solutions and the new H3C-based storage appliances to our portfolio, we can target the growing market for high-performance and high-availability storage solutions,” said Bernd Widmaier, sales director of Kirchheim/Teck-based Starline Computer.

About Starline

Starline Computer GmbH (www.starline.de) has 25 years of professional experience in the storage area, in which it is increasingly specializing. Initially one of the first providers in the area of RAID systems, Starline is now a leader in this field. Starline offers total solutions such as storage area networks (SAN), RAID sub-systems and controllers, network-attached storage (NAS), IP storage, tape libraries and autoloaders, storage switches, backup software, HBAs and others.

About H3C

Part of 3Com Corporation, H3C is a leading global supplier of IP-based products and solutions. H3C provides a full portfolio of end-to-end networking solutions including switches, routers, network security systems, IP storage, IP surveillance, and voice-and-video-over-IP products. As an innovative IP-based network architecture solutions provider, H3C aims to create maximum value for its global customers and partners by providing excellent service and quality products with a high performance-to-cost ratio.

Based in China, with research and development centers in Beijing, Hangzhou and Shenzhen, the company employs 4,800 people with more than half engaged in R&D. Additional information can be found at www.h3c.com.

About FalconStor Software, Inc.

FalconStor® Software, Inc. (NASDAQ: FALC), #5 in Forbes’ 2008 list of America´s Fastest-Growing Technology Companies, is the market leader in disk-based data protection. We deliver proven, comprehensive data protection solutions that facilitate the continuous availability of business-critical data with speed, integrity, and simplicity. Our TOTALLY Open™ technology solutions, built upon the award-winning IPStor® platform, include the industry leading Virtual Tape Library (VTL) with Deduplication, Continuous Data Protector™ (CDP), Network Storage Server (NSS), and Replication option for disaster recovery and remote office protection. Our products are available from major OEMs and solution providers including Acer, Brocade, COPAN Systems, EMC, H3C, IBM, MPC, Pillar Data Systems, and SUN and are deployed by thousands of customers worldwide, from small businesses to Fortune 1000 enterprises.

FalconStor is headquartered in Melville, N.Y., with offices throughout Europe and the Asia Pacific regions including Paris, Tokyo and Taiwan. FalconStor is an active member of the Storage Networking Industry Association(SNIA). For more information, visit www.falconstor.com or call 1-866-NOW-FALC (866-669-3252).

FalconStor, FalconStor Software, and IPStor are registered trademarks, and Continuous Data Protector and TOTALLY Open are trademarks of FalconStor Software, Inc. All other company and product names contained herein may be trademarks of their respective holders.

Contacts

For more information:
FalconStor Software, Inc.
Herman Chin, 631-773-5863
herman.chin {at} falconstor(.)com
or
Metis Communications
Melissa Cohen, 617-236-0500
melissa {at} metiscomm(.)com