MessageOne Reports 100 Percent-Plus Revenue Growth, More Than 500 New Customer Wins and Major International Expansion In 2006


AUSTIN, TX -- (MARKET WIRE) -- February 1, 2007 -- MessageOne, the leading global provider of business continuity and email management solutions, today announced that the company more than doubled revenues in 2006, significantly exceeding forecasts for the year. Revenue from outside North America grew by 400 percent in 2006 and now accounts for 20 percent of MessageOne's business.

Last year was the fourth consecutive year that the company's revenue grew by more than 100 percent, making MessageOne the fastest growing firm in the industry today. MessageOne provides award-winning managed services to ensure that mission-critical applications, email and data are always available no matter what system fails or disaster strikes. The company also offers the most complete email archiving service which fully addresses corporate requirements for email retention management, e-discovery, storage management, and end user access.

Additionally, MessageOne reported that in 2006, the company:

--  Added more than 500 new customers;
--  Provided service to millions of users around the world; and
--  Increased the number of employees by nearly 70 percent.
    
Hundreds of new customers from virtually every sector of the global economy signed on with MessageOne in 2006, including Allianz, American Red Cross, Consolidated Edison, Educational Testing Service, Fulbright & Jaworski L.L.P, Hearst Corporation, Macy's, New York City Economic Development Corporation, Oppenheimer & Co., Siemens Business Services, Tulane University and the Washington Post.

"By all key metrics, 2006 was a banner year for MessageOne with a tremendous showing across sales, product development and international operations," said Satin Mirchandani, MessageOne's President and CEO. "As email has become the killer application for conducting virtually all business, we are seeing rapidly accelerating demand for our robust and comprehensive products and services. Today's organizations increasingly want the complete email protection and management that MessageOne uniquely provides."

New Archive Product and International Expansion Drive Growth

Drivers of MessageOne's impressive 2006 growth include:

--  Continued leadership in the email continuity market;
--  Launch of EMS Email Archive™; and
--  Significant international expansion.
    
MessageOne's EMS Email Continuity™, a breakthrough business continuity managed service that makes email outages invisible to end users, continues to lead the market for solutions that prevent downtime with Microsoft Exchange and Lotus Notes. EMS is unique in its ability to defend against all categories of downtime. It is the only email continuity solution available today that provides complete protection, and it does this at a fraction of the cost of other less effective options.

Launched at the end of the second quarter in 2006, MessageOne's new archiving solution, EMS Email Archive, played a large role in acquisition of new customers last year. During the third and fourth quarters, more than 100 companies selected the versatile email archive solution built on MessageOne's groundbreaking "Store Once, Use Everywhere" architecture. EMS Email Archive is the only email archiving managed service to meet the major enterprise requirements for email archiving: storage management, e-discovery, compliance, end-user access and disaster recovery/business continuity.

MessageOne's international business also grew significantly in 2006. Revenue from outside North America jumped 400 percent -- with particular strength in the United Kingdom and Continental Europe -- and now accounts for 20 percent of the company's revenue. MessageOne operates a network of top tier data centers around the world and last year expanded this footprint in the United Kingdom and Germany to meet growth requirements, fully comply with EU data privacy requirements, and provide a strong foundation for future business in Europe.

MessageOne Eliminates Email Risks

For most organizations, email is the most important and ubiquitous business application. For senior IT executives, email management presents many risks: outages are common, security threats are everywhere, data loss windows are significant, legal and compliance requests are increasingly complex, and server and storage performance challenges continue to escalate. This year alone, more than 75 percent of companies are expected to experience a major email outage with an average duration of more than 26 hours.

MessageOne's rapid growth is the result of the company's unique position in the market. Today, MessageOne offers the only total solution for email continuity, BlackBerry continuity, email security, email recovery, email archiving, e-discovery, and storage management. Together, these managed services eliminate virtually all email-related problems that dominate the CIO agenda. These benefits, combined with the breakthrough economics of the "Store Once, Use Everywhere" architecture and single-day deployment process, make MessageOne the de facto standard in the email management marketplace.

In particular, MessageOne enables an organization to manage all of these email threats and challenges, ensuring that:

--  Users always have access to email and BlackBerry Services;
--  No email messages will ever be lost;
--  Message stores can be reduced in size by as much as 80 percent;
--  Organizations can quickly meet legal e-discovery requests;
--  The performance and reliability of  the production email environment
    is optimized; and
--  Email will be secure and protected from spam and viruses.
    
About MessageOne

Headquartered in Austin, Texas, MessageOne is the leading provider of managed services for email management, archive, and business continuity. The company's Email Management Services (EMS) provides comprehensive email archiving, continuity, recovery, security, and storage management for enterprise email systems. In addition, MessageOne's AlertFind™ provides guaranteed emergency notification and escalation to help companies protect their employees during any crisis or disaster. Millions of users around the world depend on MessageOne for its award-winning managed services. For more information, please visit www.messageone.com.

Contact Information: For more information, contact: Susie Tull Vice President, Corporate Communications MessageOne, Inc. Phone: 512-652-4500, x. 372 Email: Email Contact Lisa Hendrickson Public Relations MessageOne, Inc. Phone: 516-767-8390 Email: Email Contact