HostPro Offers Microsoft Exchange 2000 and Microsoft Outlook 2000 as an Internet Hosted Application

Business Wire, March 6, 2001

Business/High Tech Editors

LOS ANGELES--(BUSINESS WIRE)--March 6, 2001

Web Hosting Leader Enters ASP Market; Enterprise-Class and

Cost-Effective Email Messaging Service Now Available for Small

and Mid-Sized Companies

HostPro, Inc., the Internet and Web hosting subsidiary of Micron Electronics, Inc. (Nasdaq:MUEI), today announced the availability of HostPro(R) Advanced Messaging(TM), an Internet-based hosted application service based on Microsoft Exchange 2000 Server and Microsoft Outlook 2000, the world's leading messaging and collaboration solution.

HostPro Advanced Messaging, the company's first hosted application service, provides managed messaging integrated with Microsoft Outlook features on a cost-effective, monthly service basis. As a result, small and mid-sized businesses can increase productivity while reducing hardware, software, and human resources costs.

"Today's small and mid-size companies are battling to gain a competitive edge and move at Internet speed. With the power of computing moving from the desktop to the network, small and medium businesses are best positioned to compete by embracing outsourced infrastructure and hosted software applications," said Joel Kocher, chief executive officer for HostPro. "On-line communications tools, such as messaging and collaboration, are critical for helping businesses succeed in today's ultra-competitive environment. At HostPro, we've committed to and are now delivering hosted applications, like Microsoft Exchange 2000 Server and Microsoft Outlook 2000, to offer small and medium companies a cost-effective way to use enterprise-class tools to communicate quickly and efficiently internally or with customers, clients, vendors and partners."

"HostPro's Advanced Messaging utilizes the full functionality of Microsoft Exchange and Microsoft Outlook to create a new and compelling service for a range of small and medium business customers," said Mark Chestnut, General Manager, Network Service Provider, Microsoft Corp. "And, by building these services on Microsoft Exchange, HostPro is well positioned to offer the broadest range of messaging and collaboration offerings to meet the current and future needs of its customers."

"As a small businesses, we don't have the luxury to spend a lot on IT resources, from personnel to software to infrastructure," said Joshua Moore, IT Coordinator for Michigan-based Presort Services, a mailing and marketing services firm with approximately 100 customers. "But by outsourcing Exchange 2000, we can finally take advantage of all components and features of Outlook and Exchange including advanced email and global address lists. Additionally, it gives me peace of mind knowing that our data is continually backed-up, so I don't have to worry about losing critical information."

"Outsourcing the hosting and maintenance of resource-hungry business applications such as messaging is an excellent financial strategy that can free up IT departments to focus on projects that increase the bottom line," said Karen Moser, senior analyst in the ASP Program at IDC, a global IT research and consulting firm. "For small and medium businesses, outsourcing applications, such as messaging, allows them to deploy solutions that were previously available only to enterprises with big IT departments and budgets."

Cost Advantages of Outsourcing HostPro Advanced Messaging

HostPro Advanced Messaging is cost-effective way to deliver enterprise-class software that would otherwise be installed on a desktop or internal network, which can be costly to set up and maintain. HostPro Advanced Messaging is offered as a "rented application" requiring no up-front investment, complex installation or set up time.

In a simple cost comparison between an internally managed messaging system (including server, platform and email client), based on standard equipment and licensing charges and a mid-level system administrator, a business with 100 employees can save approximately $20,000 on up-front costs and approximately $3,000 per month, thereafter, on maintenance and management.

By significantly reducing costs associated with hardware purchasing, maintenance, software upgrades, and technical support, customers can better focus on their core competencies while leveraging leading-edge technology and benefiting from the latest on-line communication and collaboration tools.

Competitively Priced

HostPro Advanced Messaging is immediately available on a monthly basis, starting at a price of $19.95 per mailbox with no base fee for a limited time after which, the service will cost $24.95 per month per mailbox with a one-time set up fee of less than $100 per customer. HostPro requires a minimum of only 5 mailboxes and includes 24x7 customer service and support; 10 MB of disk space per mailbox; an easy-to-use Web-based control panel for administrators; virus protection; Outlook Web Access in addition to Outlook client email access; server back up; scheduling, calendaring, and a comprehensive users guide.

HostPro Advanced Messaging will soon offer wireless access through Wireless Access Protocol-enabled devices and through Windows CE devices offering "anytime, anywhere" email access.