Releases

posted on 22 May 2008 17:03

LOS GATOS, Calif., May 21, 2008 Ð Hifnª (NASDAQ: HIFN), the catalyst behind storage and networking innovation, today
announced that Chi Corporation, one of the country's leading storage value added resellers (VARs), has become the latest VAR
to add Hifn's award-winning Swarm iSCSI storage appliances to its product line.

Chi Corp., based in Cleveland, is a storage specialist serving SMB to enterprise customers with a full-line of storage and
network products, solutions and professional services. Chi's decision to start selling Hifn Swarm appliances was based on the unmatched feature set and superior ease of use of the Swarm appliances, according to Greg Knieriemen, Vice President of Marketing at Chi.

"Hifn's Swarm line has an incredible feature set for the price," said Knieriemen. "It gives us a real strong value proposition walking in the door talking to end users. Hifn redefines 'easy.' They are easy to work with and their products are easy to use, easy to sell, easy to install and there's a very high degree of customer satisfaction."

Knieriemen also praised the design of HifnÕs Swarm iSCSI appliances, which are built to support both SAN and NAS storage as well as provide Enterprise-class storage services that are part of the standard Swarm configuration, rather than extra-cost
add-ons as is typical with other iSCSI products.

"The fact that you can do both SAN and NAS is pretty critical, especially for an SMB customer, they need to have a combination of those features in a size and scale that's appropriate for a small
business. It's that combination of features that makes Swarm a winner." he said. "Hifn really packed all the things that
SMBs need in an all-in-one appliance. The automatic backup feature that is compatible with any major backup software
eliminates the need for a separate backup server, which would be a typical design for an iSCSI-based solution. It is a huge
value proposition to an SMB customer."

The iSCSI market is one of the fastest growing areas in storage technology with industry analyst firm International Data
Corp. (IDC) projecting double-digit growth through 2010, when the market for iSCSI technology will grow to more than $5.1
billion.

"Chi Corporation represents the ideal channel partner we are targeting to help us keep pace with the demand for iSCSI
storage technology," said John Matze, Vice President Business Development at Hifn. "The design of our Swarm product line
took into account the features, functionalities and pricing that a VAR needed to compete in the market. We are committed to
our partners with a 100 percent channel-only strategy, a very robust partner program, and our determination to make Hifn the
premiere option for resellers looking to cash in on the iSCSI market opportunity."

About Swarm IP SAN Appliances from Hifn
The Swarm is a series of IP SAN appliances that delivers the benefits of storage networking to small and mid-sized business
that want encryption, storage consolidation, centralized management, automatic backup, high availability and seamless
integration with the Microsoft operating environment. The Hifn Swarm Series of iSCSI storage appliances provides an ideal IP
SAN storage alternative to complex and costly Fibre Channel products with up to 9.75 terabytes of RAID-6 protected storage
along with a full suite of storage services, including encryption, replication, point-in-time copy backup used for Windows
Volume Shadow copy Service (VSS)-consistent snapshots and multipath I/O for high availability active-active configurations.
Swarm IP SAN solutions are available now starting at $8,995. For more information please visit: http://www.hifn.com/appliance.

About Chi Corporation
Chi Corporation is a Storage Solutions Provider specializing in data storage, backup, and disaster recovery. Its offerings
include tiered storage (DAS, SAN, NAS), tape and D2D backup. Chi is known for its expertise in iSCSI & Fibre Channel SAN
technologies, replication, disaster recovery, & business continuance. Chi Corporation provides these products and services for the SMB market place to enterprise environments. The companyÕs staff of certified application and integration engineers
specialize in addressing diverse IT requirements while delivering comprehensive solutions that exceed customer expectations.
More information is available from the company's website, www.ChiCorporation.com, or by calling 800-828-0599.

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 Service 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: www.hifn.com.

^{[Formatted by Paul Warren.]}