Press Release

Aliso Viejo, Calif.—September 5, 2007—3Tera, Inc., the leading innovator of grid computing and utility computing services for web applications, announces today the following executive changes effective September 4, 2007:

• Barry X Lynn, Chairman, has assumed the additional role of Chief Executive Officer.
  
• Peter Nickolov, CTO, has been named President and Chief Operating Officer
  
• Eric Tessler has been named VP of Engineering
  

The changes follow the sudden passing of 3Tera's founder and utility computing visionary Vladimir Miloushev, age 45, from a brain aneurysm on August 30.

Barry X Lynn, 3Tera Chairman and newly appointed CEO commented: "Vlad was a brilliant, extraordinary visionary who will be missed by everyone that knew him. He built a strong company by surrounding himself with exceptional people. 3Tera is strong and fully capable of not only achieving its goals, but exceeding them."

"For twenty years Vlad has been my mentor, my friend and an extraordinary person that I've always looked up to," said Peter Nickolov, president and COO of 3Tera. "What we have built together is in good hands. 3Tera has a great and very capable team. Our development roadmap remains on track. AppLogic is already setting the standards for true utility computing, enabling more and more companies to scale computing effortlessly."

Barry X Lynn has assumed the role of Chairman and CEO of 3Tera. Prior to joining the company he has been president and CEO of Be eXceL Management, Inc. Prior to founding Be eXceL, Barry was with Wells Fargo & Co. for 16 years, where he held numerous positions, including President of Wells Fargo Technology Services and CIO of Wells Fargo & Co. where he implemented the first online banking system completely based on Internet technology.

Peter Nickolov, who has assumed the role of President and Chief Operating Officer, also serves as CTO of the company, a post he has held since the formation of the company in 2004. He is one of the principal inventors of 3Tera's core technology who designed and led the development of AppLogic grid operating system. Peter is a serial entrepreneur who has founded four technology companies. He brings to 3Tera 20 years of experience as technology executive combined with technical expertise in operating systems, real-time software, networking and storage. Peter has authored 24 patents and has over 30 innovations in the areas of operating systems, multithreading, kernel mode and real-time software, network protocols, file systems and computing resource aggregation. Prior to 3Tera, Peter founded Z-force, a storage networking startup, and served as the VP Software for the company until May 2003.

Eric Tessler, the newly appointed VP of Engineering has more than 12 years of experience in object-oriented software development to define and deliver new product concepts that transform the way users work with computers. As VP of Engineering at 3Tera he will be responsible for leading the engineering team and all product development. Eric has been with 3Tera since the company's founding as Lead Software Engineer in 3Tera's core engineering team responsible for the development of the AppLogic grid operating system. Prior to 3Tera, Eric was Team Lead of the scalable file system group at Z-force, where he built an aggregated file system combining multiple file servers for increased capacity, high availability and performance. Before Z-force, he worked as a Staff Engineer in Object Dynamics, developing Windows user and kernel mode components and applications, Embedded NT utilities and user interfaces for various systems. Eric has Bachelor of Science degree in Computer Science from California State University, Fullerton.




About 3Tera, Inc.
3Tera, Inc. is the leading innovator of grid and utility computing, simplifying the deployment and scaling of Web applications. Named a 2007 Category Breaker by NetworkWorld magazine, 3Tera's AppLogic grid operating system enables the first true utility computing services that completely remove the cost and complexity associated with infrastructure. The operating system converts commodity servers into scalable grids on which users can visually operate deploy and scale transactional Web applications without any modification of code. Software-as-a-Service providers, Web 2.0 companies, enterprises and open source developers can now get new online services quickly to market by utilizing resources from commodity hosting providers on a pay-as-you-go basis, while maintaining complete control of applications including visual operation, scaling and on-demand resource provisioning using only a browser. For more information, visit www.3tera.com.