SOURCE: NaviSite, Inc.

October 30, 2006 08:30 ET

NaviSite Ushers in the Next-Generation of Content Delivery and Acceleration

Designed for Today's Content and Business Requirements, NaviSite's Content Delivery & Acceleration Services Deliver the Complete End-User Experience Sought by Market-Moving Enterprises

ANDOVER, MA -- (MARKET WIRE) -- October 30, 2006 -- NaviSite (NASDAQ: NAVI), a leading provider of application management, professional services, and secure content delivery solutions for enterprises, today announced its vision for the next-generation of content delivery and the advancement of its Content Delivery and Acceleration Services (CDN). Optimized for today's dynamic content and business requirements, NaviSite's CDN extends beyond the network to drive rich media and application content into the hands of customers, partners and other end users for maximum business value.

Today's business context for content delivery is very different from five or 10 years ago, driven by increased sophistication in the types of content that need to be delivered and the devices on which that content is viewed. First-generation content delivery networks were designed primarily to ease network congestion caused by the delivery of static web pages through congested public peering points. With advancements in broadband technology, the proliferation of private optical peering, and high-speed fiber optic networks, these legacy networks are now burdened with supporting an unnecessary technology infrastructure not designed for the more proactive delivery capabilities demanded by today's dynamic data and global audiences.

NaviSite's Content Delivery & Acceleration: The Next-Generation Content Delivery Solution

NaviSite's CDN is the first, next-generation content delivery solution designed specifically to meet the content and business requirements driven by "virtual" collaboration amongst end-users (remote, mobile, fixed, etc.); new and highly competitive global markets; the need for 24x7 "anytime/anywhere" access to all content types; and the ability to move content across the entire delivery chain (from the disk on which it sits to the device on which it is viewed). NaviSite uses advancements in the Internet backbone, the Company's unique intelligent delivery technologies, and its extensive expertise in critical supporting services -- hosting, Ecommerce site development, application management, Software-as-a-Service (SaaS), and infrastructure management -- to deliver a holistic solution for getting content into the hands of end users rapidly, efficiently, and flexibly.

"Our experience and vision place us at a unique point within this new content delivery landscape," said Doug Mow, VP of Marketing, NaviSite. "As we began to envision what a next-generation CDN would look like, we drew upon our customer experiences and the technology and expertise from everything NaviSite has built and acquired in the past 10 years, from hosting to application management to SaaS. In doing so, we were able to develop a next-generation content delivery framework from the customer point of view; one designed for today's business context that puts NaviSite in the market leadership position as the only company offering a holistic CDN solution for today and the future."

Much more than just an optimized delivery pipe, the CDNs of today must be multifaceted service delivery platforms, created to provide users with the best experience possible and designed to handle dynamic content beyond just cached static files. These solutions need to combine a number of key components beyond basic delivery to include business decision support, an open and flexible platform, end-to-end delivery perspective, and a choice in services -- such as a shared or dedicated network -- to ensure content is available and accessible with the required control, integration capability, and flexibility needed to drive a company's business.

NaviSite's CDN offers other advantages that existing first-generation networks cannot, including:

--  Better Price for Performance -- Using a next-generation architecture,
    NaviSite's CDN offers a flexible, cost-effective solution for all companies
    that optimizes the delivery path, facilitates dynamic content distribution;
    and charges customers only for what they use (and not for maintaining the
    infrastructure) to meet this key business metric;
    
--  Open Systems -- Built on an open systems platform, NaviSite's CDN
    eliminates the "force-fitting" typically required by first-generation
    networks and easily operates within the context of a company's back-end
    systems;
    
--  Choice -- NaviSite can cost-effectively offer a shared or dedicated
    network infrastructure, giving companies more options and more control over
    how to address their business needs;
    
--  Complete Business Support -- NaviSite supports the complete spectrum
    of business operations -- not just the "network" component -- to tie in the
    CDN to whatever application, security software, or program necessary to
    support the business, regardless of location; and
    
--  Proprietary Delivery Technologies -- NaviSite utilizes its own
    advanced network-level delivery technologies, including HotRoute® for
    intelligent network routing; DeltaEdge(SM) for efficient delivery of
    dynamic content based in content "deltas" or changes; and InSync(SM) for
    the proactive "push" of content to end users at a defined time.
    

Clear Evolution Path

By focusing on the complete solution required for the networked economy and customers' current and long-term business needs, NaviSite's CDN is built to grow toward a new compute and delivery fabric that does not have an application bias, CDN bias, or infrastructure bias. In the future, grid computing, content delivery, and application delivery will converge, creating tomorrow's intelligent networks that will facilitate "Whenever/Wherever/Whatever" access to both content and computing resources for the ultimate efficiency in delivery and utilization of electronic assets, whatever they may be. Further, as these three technology categories become one, service providers will be required to provide expertise and capabilities across the complete technology value chain -- infrastructure, applications, and network -- to enable clients to fully leverage the benefits that this vision has to offer.

For a demonstration of NaviSite's Content Delivery & Acceleration Services, please visit NaviSite's booths (#518 & #520) at Streaming Media West in San Jose, CA, Oct. 31-Nov. 2, or visit www.navisite.com for more information.

About NaviSite

NaviSite, a leading provider of application and technology services for companies who seek to accelerate their business IT performance, provides support for the complete continuum in the digital domain. NaviSite's Content Delivery and Acceleration Services include Electronic File Delivery (EFD), Content Streaming, Website Acceleration, and Application Acceleration services. With over 950 customers in 14 data centers and offices in the US, UK and India, NaviSite is the partner of choice for many of the fastest growing companies for outsourcing enterprise application and related IT services to drive their IT Efficiency and Effectiveness. NaviSite delivers a unique combination of application implementation, management, and content delivery services to provide full lifecycle support for today's industry leaders. For more information, please visit www.navisite.com.

This release contains forward-looking statements that address a variety of subjects, including the success and performance of NaviSite's service offerings. All statements other than statements of historical fact, including without limitation, those with respect to NaviSite's goals, plans and strategies set forth herein, are forward-looking statements. The following important factors and uncertainties, among others, could cause actual results to differ materially from those described in these forward-looking statements: NaviSite's success is dependent on its ability to achieve and maintain profitability; NaviSite's success is dependent upon its ability to integrate the companies and assets it recently acquired; NaviSite's recent acquisitions may not produce expected cost savings, operational efficiencies or revenues; NaviSite's products, technologies and resources may not successfully interoperate with the technology, resources and/or applications of third parties; NaviSite's success, including its ability to decrease its cash burn rate, improve its cash position, and grow its business and revenues to reach profitability, depends on its ability to execute on its business strategy and the continued and increased demand for NaviSite's services and the Internet in general; NaviSite's business may be adversely affected by further slow down in general economic conditions; the loss of customers due to the shutdown of their businesses; decreased or delayed purchase patterns of prospective or current customers or loss of current customers and market consolidation; the decreased renewal rate of our customers; increased competition and technological changes in the markets in which NaviSite competes; the effects of recent combinations involving affiliated entities of ClearBlue Technologies, Inc. and the effects of the recent acquisition of Surebridge; the effects of any future acquisitions of businesses or technologies; changes in the uses of the Internet; and possible failure of systems or internal infrastructure. For a detailed discussion of these and other cautionary statements, please refer to the filings made by NaviSite with the Securities and Exchange Commission, including the most recent Annual Report on Form 10-K of NaviSite. We do not undertake any obligation to update forward-looking statements made by us.

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