Carbonite Announces Agreement with TDS Telecom

Business Wire, May 1, 2008

TDS Telecom Releases Backup Online Service, Powered by Carbonite

BOSTON -- Carbonite, Inc., the leading provider of online backup services to consumers and small businesses, announced today a partnership agreement with TDS Telecommunications Corp., under the brands of TDS Telecom and TDS Metrocom. As part of the collaboration, Carbonite will provide core technologies for the new online backup service, TDS Backup Online, Powered by Carbonite.

"Backing up critical data online is a simple, low-hassle service that every computer owner needs," said David Friend, chairman and CEO of Carbonite. "TDS recognizes that offering backup online is an easy way to enhance revenue per subscriber, and Carbonite's focus on simplicity makes it the ideal product for mass-market consumers and small businesses."

With Backup Online, Powered by Carbonite, TDS customers can quickly and conveniently back up their PC's digital content and enjoy the peace-of-mind of knowing their personal data are secure. The service, which offers users unlimited storage space for important emails, documents, photos, music and video files, is available as a 12-month subscription for $49.99.

"Backing up files online is a simple but valuable service that we can sell to every one of our broadband consumers," said Michael LeaVesseur, vice president - Consumer Marketing and Product Development. "We scoured the industry for the best possible backup partner and decided to go with Carbonite because of their 'simple-is-better' product philosophy, unlimited backup space, proven reliability and scalability of their platform."

TDS Telecommunications Corp. joins other internet service providers such as Frontier Communication, BBSoft Japan and Arcor in Germany, who have turned to Carbonite for their customer's online backup needs. ISPs and resellers find it easy to utilize Carbonite through a robust set of APIs on Carbonite's back end service. The APIs permit easy integration with partners' existing billing, customer support and product delivery platforms and allow for a custom-branded look and feel.

About TDS Telecom

TDS Telecommunications Corp. markets communications services to business and residential customers in 30 states, through its brands TDS Telecom and TDS Metrocom. With nearly 1.2 million access line equivalents in service, TDS Telecommunications Corp. connects customers to phone, broadband, and digital television service in hundreds of rural, suburban, and small metropolitan communities. Headquartered in Madison, Wis., TDS Telecommunications Corp. employs approximately 2,700 people. Visit www.tdstelecom.com and www.tdsmetro.com for more information.

TDS Telecommunications Corp. is a wholly owned subsidiary of Telephone and Data Systems, Inc. (TDS) (AMEX: TDS, TDS.S), a Fortune 500[R] company. TDS operates primarily by providing wireless and local telecommunications service through its strategic business units, TDS Telecommunications Corp. and U.S. Cellular (AMEX: USM). Headquartered in Chicago, TDS employs approximately 11,800 people and serves approximately 7.3 million customers in 36 states. Visit www.teldta.com for more information.

About Carbonite

Carbonite launched its Online PCBackup[TM] service in May 2006. Carbonite's industry-first offer of unlimited backup space for a flat low price revolutionized the market for consumer and small business backup services. So far the company has backed up more than three billion files, has restored more than 200 million lost files for its customers and has a large data center where capacity is measured in petabytes. There are Carbonite users in nearly 100 countries.

Founded in 2005, Carbonite believes that computer users should not have to think about backup. The company's mission is to provide an affordable, reliable, secure and easy-to-use solution for the mainstream computer user. Carbonite is available to consumers and small business through numerous channels, including its corporate Web site, major US retailers and international distributors. For more information, please visit www.carbonite.com.