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Virtustream Acquires Two Data Centers from NaviSite

Added Capacity Addresses Customer Colocation Demands and Allows for Redundancy Within xStream Cloud Offering

03/31/2010

Bethesda, MD -- Virtustream, Inc., a privately held infrastructure services firm, today announced it has acquired two data centers from NaviSite (NASDAQ: NAVI) as part of Virtustream’s data center growth strategy and support for its xStream hybrid enterprise cloud platform. Virtustream will continue to service existing customers with expanded data center services, and it will offer capacity within the San Francisco, Calif. and Vienna, Va. facilities to new customers, including those that deploy the xStream cloud platform. Details about the transaction can be found in a related announcement from NaviSite.

Unveiled earlier in March, xStream is the first enterprise cloud platform that delivers cost and resource savings through flexible internal (private) and external (off‐premise) cloud nvironments—commonly referred to as hybrid cloud environments—through one centralized subscription‐based deployment, with guaranteed resources, capacity on demand and industry leading SLAs. xStream provides virtual, elastic and externally managed resources for running applications, and it is based on Virtustream’s long track record of successful enterprise virtual IT deployments.

Virtustream not only incorporates higher levels of security than most clients’ own internal systems, but also addresses end user concerns about availability by building redundancy into xStream deployments— data is replicated in real‐time in a second data center located in a separate geography. In the event of an issue, services switch to the second data center with minimal interruption.

“The benefits of cloud computing have been well‐advocated, but customers are only willing to pick
cloud computing services from vendors with deep knowledge and experience about virtual, elastic
environments, world class security execution and a keen understanding of strategies to ensure that
services don’t go offline,” said Kevin Reid, chief executive officer at Virtustream. “We can assure uptime and guarantee the compute resources available to our clients’ workloads whether on or off‐site. Through the acquisition of the assets from NaviSite, we are furthering our vision, adding to our data center strategy, and providing capacity for the expected growth of customers on the xStream platform.”

“The sale of these two colocation data centers is consistent with our strategy to focus on our Enterprise customers with application management and complex hosting services,” said Arthur Becker, NaviSite’s chief executive officer. “We are pleased to continue the process of sharpening our focus and deleveraging our balance sheet.”

For more information on the xStream platform visit:
http://virtustream.com/content/xstream_platform.html