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Press Release

Alert Logic Starts 2007 with 167% Customer Growth and Company Expansion

SaaS IT Security Gaining Wide Spread Acceptance as a Wide Range of Companies Look to Alert Logic to deliver On-Demand Protection

HOUSTON - JANUARY, 17, 2007 - Alert Logic, the only IT network security company leveraging a Software-as-a-Service (SaaS) platform to deliver on-demand protection to mid-sized businesses, today announced an almost three-fold increase in its customer base in 2006, from 60 to 160 clients. Alert Logic also said it doubled its number of employees last year and is in the process of meeting all of its product, revenue and corporate goals.

Mid-sized businesses face a dilemma when it comes to network security. As with large enterprises, their IT networks are often highly distributed and vulnerable to malicious threats. Mid-sized businesses are often responsible for protecting highly confidential customer data and are required to meet strict IT regulatory and industry compliance mandates. What they don't generally share in common with large enterprises are the deep pockets necessary to deploy and manage a sophisticated network security solution.

Alert Logic's on-demand security solution works to the advantage of mid-sized companies. For a flat monthly fee, no upfront hardware or software costs, and no additional staffing, Alert Logic offers mid-sized companies a hosted intrusion protection, vulnerability assessment, and IT compliance automation solution - as well as an optional 24x7 threat monitoring service - at a fraction of the cost of comparable products and services.

In the past year, Alert Logic's customer base has spread across a variety of industries and geographies, including the energy/oil/gas, state and local government, and education sectors. The company has also seen significant growth in the managed hosting market, securing partnership deals with many of the industry's top hosting companies, including Rackspace and Data Return.

Beyond the dramatic increase in customers and employees, Alert Logic introduced three new product updates, doubled the number of employees in their Houston headquarters, added three seasoned executives to their management team, launched the new Vanguard Partner Program, and added more than 20 new corporate partners across the US.

"It is becoming more apparent that firewall and antivirus technology alone are not sufficient to keep mid-sized business networks properly protected, and our success is a testament to our ability to provide superior levels of protection for these networks. Mid-sized companies love our on-demand technology because it offers rapid deployment, zero maintenance, and no investment in staff or infrastructure," said Chris Smith, vice president of marketing at Alert Logic. "As network threat activity evolves over time, Alert Logic has remained focused on protecting medium-sized businesses from network threats."

Alert Logic has been able to grow quickly by offering a unique Software-as-a-Service (SaaS) delivery model that delivers on-demand network protection. Facing a growing increase in IT threats and compliance issues, coupled with a shortage of affordable IT security options, medium-sized businesses have quickly turned to Alert Logic to help them meet their IT security needs.

About Alert Logic

Alert Logic's on-demand network security solutions deliver intrusion defense and improved compliance at a fraction of the cost of traditional products. Unlike appliance or software products, its Software-as-a-Service platform delivers solutions on-demand - featuring rapid deployment, zero maintenance, and no hardware or software costs. As a result, Alert Logic customers can defend against intrusions and worms, continuously discover and correct network vulnerabilities, and help ensure compliance with policies and regulations. Headquartered in Houston, Texas, more information about Alert Logic's Network Protection On Demand is available at http://www.alertlogic.com.

Contact:

Sarah Gonzales
Public Relations Manager
phone: 713.351.1761
email: sgonzales@alertlogic.com

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