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Hifn and Toyou Join Forces to Deliver Optimized Storage Solutions to China Market

LOS GATOS, Calif., April 9 /PRNewswire-FirstCall/ -- Hifn(TM) (Nasdaq: HIFN), the catalyst behind storage and networking innovation, and Toyou Feiji (Toyou), China's leading provider of storage management solutions and professional services, jointly announced today that both parties have established a program for technical cooperation and innovative development. Additionally, Toyou has selected Hifn's Express DR cards for its industry -- leading, hardware-advantaged compression technology. The cards will be deployed in Toyou's NetStor series of products. Toyou is the first Chinese storage vendor to integrate Hifn's Express DR cards, enabling Toyou to deliver a performance -- and capacity-optimized Virtual Tape Library (VTL) solution.

LOS GATOS, Calif., April 9 /PRNewswire-FirstCall/ — Hifn(TM) (Nasdaq: HIFN), the catalyst behind storage and networking innovation, and Toyou Feiji (Toyou), China's leading provider of storage management solutions and professional services, jointly announced today that both parties have established a program for technical cooperation and innovative development. Additionally, Toyou has selected Hifn's Express DR cards for its industry — leading, hardware-advantaged compression technology. The cards will be deployed in Toyou's NetStor series of products. Toyou is the first Chinese storage vendor to integrate Hifn's Express DR cards, enabling Toyou to deliver a performance — and capacity-optimized Virtual Tape Library (VTL) solution.

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Over the past several years, VTL solutions have gained increasing market acceptance by providing unique advantages, such as the performance and reliability benefits of disk-based backup while enabling users to maintain their existing tape backup infrastructure. As the leader in China's storage market, Toyou developed a VTL solution to meet the growing needs for data security and backup. Meanwhile, China has seen exponential growth in enterprise data, as well as emerging requirements for new data center features such as higher backup capacity, data de-duplication, and instant recovery. Toyou is dedicated to developing and upgrading its products to address these new requirements.

The combination of Toyou's NetStor VTL with Hifn's Express DR card for capacity optimization will enable enterprise customers to readily solve the backup storage problems they are combating. Leveraging Hifn's hardware — advantaged compression allows Toyou to improve the NetStor VTL appliance's backup speed, and effectively reduce the backup window and disk space required. Hifn's Express DR card on average provides a 2:1 compression advantage, effectively freeing up 50 percent more disk space and reducing time, energy and resource costs to manage the data.

"Toyou is dedicated to offering the best storage management solutions," said Zexiang Zhou, General Manager of Toyou. "Working with Hifn and its proven technologies is part of our long term plan for innovation and development, enabling Toyou to provide best-of-breed services to our customers throughout China."

"Hifn's Express DR cards have achieved worldwide recognition for their high performance, superior scalability and overall ability to enhance secondary storage, and this agreement validates the need for high performance data reduction — globally," said Steven Yang, Vice President of Hifn's Asia Pacific Field Operations. "In working with Toyou, we see the NetStor VTL with integrated Express DR as the first step in many of our joint efforts to develop the next-generation storage solutions for the Chinese market."

About Toyou's NetStor VTL

Based on proven products and extensive expertise, Toyou Feiji has successfully provided Tongyou-branded products, integrated solutions and comprehensive professional services to thousands of enterprise customers in finance, government, education, telecommunication, transportation and energy industries. Currently Toyou has launched its second generation VTL system-NetStor(R) G2 Series utilizing advanced storage virtualization technology. By combining NetStor VTL with NetStor(R) disk array, storage server, CDP server and physical tape products from its partners, Toyou is looking to provide customers with more powerful and flexible storage solutions.

About Hifn Express DR Cards

Hifn's Express DR family of data reduction compression cards double the performance of any nearline system, by cutting replication, archiving, migration, and backup windows in half. The Express DR cards also double the capacity of nearline appliances, enabling faster network performance and longer data retention with fewer disk drives.

Utilizing the industry-standard LZS lossless compression algorithm, the Express DR cards offer load-balancing, bus-mastering DMA, and a 4-lane PCI Express bus. The cards also offer a unique "enhanced" LZS (eLZS) technology, eliminating data expansion while maintaining compressed data performance. Hifn provides a Linux driver and high-level APIs to facilitate seamless integration into nearline appliances. Express DR also offers high-assurance features which verify data record integrity during processing, and assure data transfers through host memory and to the storage media and back.

About Toyou:

Toyou Feiji Electronics, as the leading vendor of storage management solutions and professional services in China, is committed to providing a series of storage products and industry storage management solutions for information storage management and data backup of Chinese enterprise clients as well as professional services like solution consulting, application development, system integration, implementation and maintenance.

As one of the first professional storage solutions and services providers in China, Toyou Feiji possesses more than 20 years of storage experience and the development of two advanced laboratories and R&D centers. It is the top domestic storage brand. At present, Toyou Feiji has over 400 employees to provide full-time, local professional support to clients, and is headquartered in Beijing with regional offices in Shanghai, Guangzhou, Chengdu, Xi'an, Ji'nan and Hong Kong. For more information, please visit: http://www.toyou.com.cn.

About Hifn

Hifn (Nasdaq: HIFN) delivers the key channel and OEM ingredients for 21st century storage and networking environments. Leveraging over a decade of leadership and expertise in the development of purpose-built Applied Services Processors (ASPs), we are a trusted partner to industry leaders for whom infrastructure innovation in storage and networking is critical to success. With the majority of secure networked communications flowing through Hifn technology, the 21st century convergence of storage and networking drives our product roadmap forward. For more information, please visit: http://www.hifn.com.

"Safe Harbor" Statement under the U.S. Private Securities Litigation Reform Act of 1995: This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Specifically, statements regarding the Company's future financial performance including, without limitation, statements related to VTL solutions gaining market acceptance, the combined NetStor VTL product with Hifn Express DR cards enabling Enterprise customer to readily solve their backup storage, problems, reducing time, energy and resource costs, Toyou working with Hifn as a long term plan for innovation and development, the combined product as the first step in the joint efforts to develop the next generation storage solutions for the Chinese market are all forward-looking statements within the meaning of the Safe Harbor that may cause actual results to differ materially from the forward-looking statements contained herein. Factors that could cause actual results to differ materially from those described herein include, but are not limited to: dependency on a small number of customers; customer demand and customer ordering patterns; and orders from Hifn's customers may be below the company's current expectations. These and other risks are detailed from time to time in Hifn's filings with the Securities and Exchange Commission. Hifn expressly disclaims any obligation to update or revise its forward-looking statements, whether as a result of new information, future events or otherwise.

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