Neterion, Inc.

Neterion, Inc.

February 24, 2005 08:00 ET

Neterion Launches Industry's First PCI Express 10 Gb Ethernet Adapter


NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR: NETERION INC.

FEBRUARY 24, 2005 - 08:00 ET

Neterion Launches Industry's First PCI Express 10 Gb
Ethernet Adapter

CUPERTINO, Calif.--(CCNMatthews - Feb 24, 2005) -

Major Server and Storage Vendors Adopting the PCI Express Serial I/O
Interconnect to Meet Rapidly Growing Bandwidth Requirements

Today Neterion Inc., formerly S2io Inc., the industry leader in the
emerging 10 Gigabit Ethernet adapter market, announced Xframe E™, a
new adapter based on the PCI Express bus architecture as a response to
the growing demand by OEMs to offer products based on this next
generation of I/O (Input/Output) interconnect.

The industry's first PCI Express-based adapter ensures that the 10
Gigabit Ethernet market offers a range of choices to end users, since
server and storage OEMs can now incorporate the performance leading
Xframe solution in all three major bus architectures: PCI-X 1.0, PCI-X
2.0 and now, PCI Express.

"The design for Xframe E is based on customer requests, as OEMs
recognize the need to include the next generation I/O architecture in
their server and storage platforms," noted Dave Zabrowski, Neterion's
President & CEO. "With the addition of Xframe E, we are proud to offer
the ultimate customer choice in standard bus architecture for 10 Gigabit
Ethernet connectivity."

Neterion meets each of the vendor requests by adding PCI Express support
to already deployed PCI-X solutions. The new 10 Gigabit Ethernet adapter
requires no expensive rewrites to the end users' operating system
software and they are able to keep their host-based TCP/IP stacks intact
for reliability and security purposes.

"There's no question that PCI Express is gaining momentum in the
marketplace and Neterion's 10 Gigabit Ethernet adapter is a natural
complement to this improved interconnect technology," stated Bob
Wheeler, senior analyst at The Linley Group and co-author of a new
report entitled A Guide to Gigabit and 10G Ethernet Silicon.

"There's real value in the bandwidth scalability inherent in the PCI
Express architecture, which should deliver immediate benefits to server
and storage OEMs."

PCI Express is serial, rather than parallel, interconnect technology
featuring advantages such as scalable bus bandwidth, lower overhead and
lower latency and improved QoS. All major server and storage vendors are
designing products equipped with PCI Express to meet the needs of
customers who are requiring higher I/O performance resulting from
factors like the exponential growth of enterprise data, server
consolidation, virtualization of IT assets, increased need for security
and regulatory compliance, etc. Major vertical markets include
pharmaceutical, financial, energy, transportation, education, government
and defense.

As the OEMs roll out their products based on the varying interconnect
architectures, IT managers for enterprise data centers will now be able
to select the platform that optimizes the performance of their server
and storage networks. Neterion will be making additional product and
customer announcements throughout 2005.

About Neterion Inc.

Founded in 2001, Neterion Inc. has locations in Cupertino, Calif. and
Ottawa, Canada. Neterion delivers 10 Gigabit Ethernet hardware &
software solutions that enable OEMs to solve their customers' high-end
networking problems. The company's line of Xframe® products is based
on Neterion-developed technologies that deliver new levels of
performance, availability and reliability in the datacenter. Xframe,
Xframe II and Xframe E include full IPv4 and IPv6 support, and
comprehensive stateless offloads that preserve the integrity of current
TCP/IP implementations without "breaking the stack." Xframe drivers are
available for all major Operating Systems, including Microsoft Windows,
Linux, Hewlett-Packard's HP-UX, IBM's AIX, Sun's Solaris and SGI's Irix.
Neterion has raised over $42M in funding with its latest C round taking
place in June 2004. Formerly known as S2io, the company changed its name
to Neterion in January 2005.

Further information on the company can be found at
http://www.neterion.com/

About Xframe E

In addition to the PCI Express bus interface, Xframe E benefits include
ease-of-design and implementation by reusing many of the same
technologies introduced by Neterion's existing products. Xframe E
maintains hardware and software compatibility with the previous
generation products.

The Neterion, Xframe, Xframe II and Xframe E names and logos and
combinations thereof, are trademarks of Neterion, Inc. Other names are
for informational purposes only and may be trademarks of their
respective owners.

-30-

Contact Information