SOURCE: Cistera Networks, Inc.

January 17, 2007 11:07 ET

/ CORRECTION - Cistera Networks Introduces Convergence Server 5500 and Announces Transition to High Efficiency Servers

DALLAS, TX -- (MARKET WIRE) -- January 17, 2007 -- In the news release, "Cistera Networks Introduces Convergence Server 5500 and Announces Transition to High Efficiency Servers," issued earlier today by Cistera Networks (OTCBB: CNWT), we are advised by the company that a subheader has been added, the third sentence of paragraph 3 should read "These servers support more users from a single platform and are powered by the more efficient Intel® Quad-Core Xeon® processor 5300 series." rather than "These servers support more users from a single platform and are powered by the more efficient Intel® Dual-Core Xeon® processor 5100 series." The first sentence of the fifth paragraph should read "The new Quad-Core Intel® Xeon® processor 5300 series (code-named Clovertown) is fueling a major shift toward higher-performing and more energy-efficient servers." rather than "The new Dual-Core Intel® Xeon® processor 5100 series (code-named Woodcrest) is fueling a major shift toward higher-performing and more energy-efficient servers." Additional text has been added to paragraphs 1, 3 and 4 with minor changes throughout the release. Complete corrected text follows.

Cistera Networks Introduces Convergence Server 5500 and Announces Transition to High Efficiency Servers

New Products Reflect Growing Enterprise Demand for IP Telephony

DALLAS, TX -- January 17, 2007 -- Cistera Networks (OTCBB: CNWT), the leading provider of advanced IP phone application platforms and engines in the Enterprise IP Communications environment, today introduced its newest server, the Cistera ConvergenceServer™ (CCS) 5500 and announced an initiative to aggressively reduce environmental impact by designing products that use less power, less harmful materials, and encourage reuse and recycling.

The CCS 5500 is designed to support large-scale deployments. Depending on the configuration, it can support up to 50,000 directory users and up to 250 concurrent recordings. "We have already sold the first CCS 5500 to a large European financial services company," said Jim Miller, vice president of operations. "There is a lot of demand for more capacity with a smaller footprint, and the CCS 5500 delivers just that."

"Our customers have been asking for a roadmap of how we intend to reduce our energy consumption and heat output footprint in the computer room," commented Cistera CTO, Greg Royal. "We have begun a transition to more efficient power supplies and processor technologies provided by Intel® on our newly released CCS 5500 and the CCS 7500 which was released last year. These servers support more users from a single platform and are powered by the more efficient Intel® Quad-Core Xeon® processor 5300 series. Intel's just-released 5300 processor series boasts industry standard server performance per watt and greater efficiency per square-foot for data center infrastructures. Intel's Enhanced SpeedStep™ technology, incorporated into the 5300 series microarchitecture, uses demand-based switching to reduce average system power consumption."

The technologies Cistera builds with its manufacturing partners enable a more efficient network-computing environment. Although Cistera's Convergence Servers are already the fastest and highest performance platforms in the industry, the company is focused on designing even faster and more efficient Convergence Servers that use fewer resources in the computer room. "This is especially important in very large deployments of over 50,000 users such as those of some of our Fortune 500, government and hosted customer environments. "We have recently been called upon to design and provision very large-scale IP Communications application environments, some with over 100,000 users across hundreds of locations. The new processor platforms from Intel® are key to our ability to address the needs of this type of customer," said Royal.

The new Quad-Core Intel® Xeon® processor 5300 series (code-named Clovertown) is fueling a major shift toward higher-performing and more energy-efficient servers. Based on the new Intel® Core™ microarchitecture, this processor boosts server performance by as much as three times compared to the fastest single-core Intel Xeon processors, while increasing energy-efficiency by more than three times, according to Intel. Cistera is also introducing redundant 700-watt high-efficiency (85%+) power supplies, enabling these servers to maximize system availability by reducing single point-of-failure shutdowns, reducing energy costs and operating at lower temperatures as compared to previous generations.

The CisteraConvergenceServer (CCS), with its robust suite of application engines, offers comprehensive solution-sets for vertical markets including Financial Services, Education, Government and Healthcare that deliver the functionality to enhance productivity and extend the capabilities of the IP Communications network. The CCS adds critical competency and features such as text and audio broadcasting, messaging, recording and content streaming to IP Communications environments. Cistera has platforms that support 100 to 100,000 users.

About Cistera Networks:

Cistera Networks makes Application Driven Telephony a reality by setting the new standard in advanced IP phone application platforms and engines for the Enterprise IP Communications environment. The Cistera ConvergenceServer ™ (CCS) uses the industry-leading Cistera Enterprise Platform for IPT to provide Unified Application Administration as well as Fault and Performance Management for enterprise IPT Application deployments. Cistera provides next-generation solutions for numerous vertical markets including education, finance, healthcare and government. Cistera Networks maximizes IP phone capabilities -- taking the communications platform to an entirely new level. Cistera's products are marketed by more than 60 Value-Added Resellers and Partners including Cisco, AT&T, Bell Canada and Comstor. www.cistera.com

This release may be deemed to contain forward-looking statements that are subject to the safe harbor provisions of the Private Litigation Reform Act of 1995. These forward-looking statements include, among other things, statements regarding future events and the future financial performance of Cistera Networks that involve risks and uncertainties. Readers are cautioned that these forward-looking statements are only predictions and may differ materially from actual future events or results. Readers are referred to the documents filed by Cistera Networks with the SEC, specifically the most recent reports on Form 10-K and 10-Q, each as it may be amended from time to time, which identify important risk factors that could cause actual results to differ from those contained in the forward-looking statements.

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