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GroundWork Exits 2006 with Phenomenal Growth in Revenue and New Customers

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January 25, 2007 8:35 am

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San Francisco, CA – January 23, 2007 – GroundWork Open Source, Inc. (www.groundworkopensource.com), the leader in open source systems and network management software, today announced that 2006 was a major tipping point for the company, bringing more than a 400% increase in subscription revenue while surpassing the 200 customer milestone. GroundWork’s software and services are being utilized by organizations in over 20 countries worldwide to monitor and manage more than a million servers and network devices.

“GroundWork’s unparalleled growth and traction in 2006 is a testament to the confidence IT directors have gained in using open source software to manage business-critical systems and networks,” said Ranga Rangachari, CEO of GroundWork. :2006 has strongly demonstrated that our open source solution is resonating with the mid-market as a proven solution for those that don’t need the feature bloat and associated costs of the ‘Big 4′ proprietary offerings “HP OpenView, IBM Tivoli, CA Unicenter, BMC Patrol.”

Rapid customer traction – including recent customers WebMD, Seton Hall, Royal Bank of Canada, Nutrisystem, and PalmSource – a burgeoning viral community, channel validation, media and analyst affirmation, and frequent product advancements confirm that open source systems and network management is poised for exponential growth in 2007.

Accelerated Channel Expansion

Further validating the company’s open source business model, GroundWork signed 26 new channel partners to its Global Partner Network in 2006 — including Unisys and Fujitsu — with many agreements coming from countries outside North America, including Australia, South Africa, Austria, and Japan.

“We see GroundWork’s open source product as a disruptive technology in the Japanese IT systems and network management market,” said Hirohisa Sugino, Director of Fujitsu SSL. “Open source is on the rise in Japan, and we are pleased to offer a solution like GroundWork Monitor Professional to compliment our portfolio of proprietary IT monitoring solutions.”

A Thriving Community

In a few short months, the GroundWork community has grown to over two thousand members strong – exchanging ideas and providing valuable insight to users who want to harness the power of open source software for managing their business-critical systems and networks.

At LinuxWorld San Francisco in August, GroundWork kicked off their Open Source Council, comprised exclusively of lead developers from today’s best-of-breed open source IT infrastructure and network monitoring projects. And throughout the year the company has been launching Special Interest Groups dedicated to systems and network monitoring by teaming with leading industry organizations.

GroundWork Launches Major New Version of GroundWork Monitor

In September 2006, GroundWork released version 5 of GroundWork Monitor Professional, the company’s flagship solution for monitoring the most demanding IT infrastructures, including servers, applications, and networked devices. The new release added a sophisticated service level monitoring framework, including executive-level dashboards and comprehensive reporting that meets the unique Service Level Agreement (SLA) reporting requirements of any organization.

With more than 50,000 downloads, GroundWork’s IT Monitoring projects have received strong endorsements from customers seeking a GPL-licensed product that solves real-life systems and network management problems. GroundWork Monitor Open Source is available as a free download on SourceForge (http://sourceforge.net/projects/gwmos/).

About GroundWork

San Francisco-based GroundWork Open Source, Inc. (www.groundworkopensource.com) is the leader in the fast-growth segment of open source systems and network management software. We unify proven open source projects extend them with an intuitive user interface, robust service level reporting, comprehensive documentation and world class support, creating a complete solution for monitoring and managing the performance and availability of your entire IT infrastructure. Thousands of systems administrators across hundreds of organizations worldwide have downloaded and deployed our products to monitor and manage the performance and availability of over one million systems and network devices. GroundWork customers represent a variety of industries, including education, financial services, government, manufacturing, and high technology. The company is privately held, with investments from Mayfield and Canaan Partners.

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