Industry Breakthrough as First Major Datacenter Server Vendor Commits to Next Generation Standard Interconnect

Cupertino, CA — December 6, 2004 — Neterion Inc. (formerly S2io Inc.), the market-share leader in 10 Gigabit Ethernet Adapter solutions for server and storage environments, announced that its Xframe® product has been selected by Hewlett Packard (NYSE, Nasdaq: HPQ) for its Enterprise Server lines.

"We are proud to have been selected by an industry leader like Hewlett-Packard," said Dave Zabrowski, President & CEO of Neterion. "This announcement with HP represents a major industry milestone in the adoption of 10 Gigabit Ethernet in the datacenter. This win validates the superiority of the Xframe solution and strengthens our leadership in the emerging 10 GbE market."

In its bid to provide a 10 GbE solution, Neterion met all the rigorous standards set by HP in leading-edge procurement situations: superior technical features and performance, best-in-class quality and operational excellence, volume-ready manufacturing capabilities, management team expertise and solid financial position.

Hewlett-Packard will integrate Xframe into its Enterprise Servers equipped with the PCI-X 1.0 extension bus, and running on the HP-UX 11i (Unix) operating environment. The product lines include HP 9000 PA-RISC processor-based servers and HP Integrity Itanium® 2 based servers.

"Hewlett-Packard is pleased to add 10 Gigabit Ethernet to our offering of enterprise server solutions for the datacenter," said Brian Cox, Worldwide Product Line Manager, HP Business Critical Systems Division. "Standard-based Ethernet running at 10 Gigabit complements HP's Adaptive Enterprise strategy and we are pleased to be partnering with Neterion to integrate their Xframe technology."

About Xframe
Xframe is the first in a series of Neterion's performance-leading adapters for Server and Storage connectivity. In its current version, Xframe has many competitive advantages that include: full IPv6 Internet Address support, 10 Gigabit Ethernet speed without "breaking the TCP/IP stack" (maintaining TCP/IP integrity and reliability in all major OSs — HP-UX, AIX, Solaris, Irix, Linux, Windows, etc.), High-Availability (HA) and Reliability-Availability-Serviceability (RAS) features, Carrier-grade environmental characteristics for thermal, noise and power (typical consumption: 15 Watts only).

About Neterion, Inc.
Founded in 2001, Neterion Inc. has locations in Cupertino, California and Ottawa, Canada. Neterion delivers 10 Gigabit Ethernet hardware & software solutions that enable OEMs to solve their customers' high-end networking problems. The company's line of Xframe® products is based on Neterion-developed technologies that deliver new levels of performance, availability and reliability in the datacenter. Xframe and Xframe II include full IPv4 and IPv6 support, and comprehensive stateless offloads that preserve the integrity of current TCP/IP implementations without "breaking the stack." Xframe drivers are available for all major Operating Systems, including Microsoft Windows, Linux, Hewlett-Packard's HP-UX, IBM's AIX, Sun's Solaris and SGI's Irix. Formerly known as S2io, the company changed its name to Neterion in January 2005.

Further information on the company can be found at http://www.neterion.com/

The Neterion, Xframe, Xframe II names and logos and combinations thereof, are trademarks of Neterion, Inc. Other names are for informational purposes only and may be trademarks of their respective owners.

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