FalconStor® EZStart™ Program Provides Channel Partners a Revolutionary New Way to Build and Deliver Data Protection Appliances in Less Than 10 Minutes

Business Wire, August 18, 2008

EZStart Makes it Easy for Solution Integrators to Sell, Build, Grow and Support FalconStor Solutions

MELVILLE, N.Y. -- FalconStor Software, Inc. (NASDAQ: FALC), the provider of TOTALLY Open[TM] data protection solutions, today announced the launch of the FalconStor([R]) EZStart([TM]) Program, allowing authorized solution provider partners to quickly and easily build, market and support FalconStor Network Storage Server (NSS), FalconStor Continuous Data Protector[TM] (CDP), and FalconStor Virtual Tape Library (VTL) with deduplication solutions as turnkey appliances based on major, industry leading platforms.

"This is another avenue to help our channel partners meet business objectives and their revenue goals. EZStart leverages each of our partner's existing expertise in the hardware and servers they're already selling and supporting," said Wendy Petty, FalconStor vice president for North American Sales. "EZStart is designed as a channel enablement program and a delivery vehicle for partners to easily build, sell, grow and support FalconStor solutions for their customers."

EZStart enables the building, testing and delivery of FalconStor data protection and storage virtualization solutions on turnkey appliances. Once a channel partner's technical staff plugs in a provided pre-loaded USB drive, the EZStart installation wizard automatically starts, installing the necessary operating system, proper drivers and RAID configuration on server and storage hardware familiar to the channel partner. The EZStart wizard then walks the installer through basic manual steps to configure the FalconStor software and completes the appliance build in less than ten minutes.

FalconStor EZStart is designed from the ground up to be very scalable for any organization. Solution providers can expand EZStart appliances quickly and easily for their customers. The turnkey appliance solutions can be configured by channel partners on the server platform of their choice, free from any hardware vendor lock-in, to meet the needs of a business today. EZStart also allows integrators to grow their business based on FalconStor data protection solutions.

What partners are saying about FalconStor EZStart:

DNS ARROW, a specialist IT distributor providing enterprise-class solutions and Services

John Ward

HP Business Manager

"The best part about FalconStor EZStart is that it leverages the storage servers and hardware we've been selling and supporting for years, which leaves us well positioned to address the market need for data protection solutions."

Jardine OneSolution (JOS), a leading provider for IT solutions and services in Singapore

Kent Lee

PDS, Director

"FalconStor EZStart offers channel partners the means for flexible and streamlined implementation, support and scalability. This helps speed our value proposition of providing continuous availability, simplified management and real-time business solutions for our enterprise customers."

SYNNEX Corporation, a leading business process services company

Steve Ichinaga

Senior Vice President and General Manager, Systems Integration Division

"Using FalconStor EZStart with our solutions offerings gives our VARs a flexible, efficient and high quality turnkey solution on hardware they're familiar with - a competitive edge in the storage market place."

Total Tec Systems, Inc., a Bell Microproducts Company

Paul Collins

Vice President of Technology

"We have been offering FalconStor appliances to ensure the business continuity of our customers, and FalconStor EZStart provides us with a method for rapid deployment of leading data protection solutions that complement our current offerings."

YoungWoo, a leading IT solutions and services provider in Korea

Myoung Choul Jeong

President

"Through our partnership with FalconStor, we are able to provide our customers with top-of-the-line data protection solutions from industry leading vendors. At the same time, FalconStor EZStart allows us to gain tremendous traction within the high-end enterprise customers that we already serve."

About FalconStor Software, Inc.

FalconStor Software, Inc. (NASDAQ: FALC), #5 in Forbes' 2008 list of Americaos Fastest-Growing Technology Companies, is the market leader in disk-based data protection. We deliver proven, comprehensive data protection solutions that facilitate the continuous availability of business-critical data with speed, integrity, and simplicity. Our TOTALLY Open[TM] technology solutions, built upon the award-winning IPStor([R]) platform, include the industry leading Virtual Tape Library (VTL) with Deduplication, Continuous Data Protector[TM] (CDP), Network Storage Server (NSS), and Replication option for disaster recovery and remote office protection. Our products are available from major OEMs and solution providers including IBM, EMC, SUN, Acer, Brocade, COPAN Systems, H3C, MPC, and Pillar Data Systems and are deployed by thousands of customers worldwide, from small businesses to Fortune 1000 enterprises.

FalconStor is headquartered in Melville, N.Y., with offices throughout Europe and the Asia Pacific regions including Paris, Tokyo and Taiwan. For more information, visit www.falconstor.com or call 1-866-NOW-FALC (866-669-3252).