Press Release

Aliso Viejo , CA – June 17, 2008 – Net One Systems, Japan's largest network integrator, and 3Tera, Inc., the leading innovator of cloud computing technology and utility computing services, announced today that the two companies have signed a multi-year agreement naming Net One Systems as the exclusive distributor of 3Tera's AppLogic, the world's leading commercial grid OS for cloud computing, in Japan. Starting immediately, Net One Systems will offer cloud computing infrastructure and services using 3Tera's AppLogic. First customer deployments will be announced later this month.

"Net One Systems focuses on helping our customers leverage emerging technologies to provide robust and efficient ways to manage IT infrastructure," said Mikio Yanashita, vice president, Business Development, Net One Systems, USA. "Cloud and utility computing allow companies to focus on building applications instead of configuring hardware, installing software, moving data or modifying code. We are excited to work closely with 3Tera and be the first to offer these solutions on the Japanese market."

"Net One Systems shares our vision of the future of the data center," said Peter Nickolov, president & COO, 3Tera, Inc. "Together we will leverage cloud computing to fundamentally change the economics of building and operating Internet-scale infrastructure. The scalable, on-demand, utility offering is an ideal solution for the rapidly advancing and ever expanding technology user base in Asia."

"We have a high expectation of 3Tera and the AppLogic cloud computing technology, which potentially will change the way IT platforms work", said Takehiro Kobayashi, senior executive manager, Systems Platform Sector, NTT Data Corporation, Japan. "We believe that both 3Tera and Net One Systems are leading companies in introducing this disruptive technology to the Japanese market."

About Net One Systems Co. Ltd.
Net One Systems is Japan's largest network integrator. The company is continually searching and scrutinizing most advanced technologies to provide highly reliable high value added comprehensive solutions that include consultation, designing, deployment and management services. This is made possible through Net One Systems' technical center for technology research, quality control center for inspection of both incoming and outgoing products, and network academy for providing engineering education. For more information, visit www.netone.co.jp

About 3Tera, Inc.
3Tera, Inc. is the innovator of cloud computing technology and utility computing services, simplifying the deployment and scaling of Web applications. Named "Cool Vendor in IT operations, 2008" by Gartner Group and one of the "Top 20 Companies to Watch in 2008" by Linux Magazine, 3Tera offers the AppLogic™ grid operating system that enables the first true utility computing services to completely remove the cost and complexity associated with infrastructure. AppLogic 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. For more information, visit www.3tera.com.