http://www.kace.com

Acquisition of Computers in Motion to Result in Next-Generation Application Virtualization Offerings

MOUNTAIN VIEW, Calif. - September 11, 2008 - KACE, the leading systems management appliance company, today announced its entry into the application virtualization market with its acquisition of Computers in Motion.

Founded in 2001, Austin-based Computers in Motion provides technology focused on making applications easy to distribute and secure through application virtualization technologies. Application virtualization is a sophisticated technology that separates applications from the underlying operating systems on which they execute. Unlike desktop virtualization solutions that require an entire copy of the host operating system, application virtualization technology applies a similar technology at the application level and serves to simplify deployment and eliminate conflicts that may exist between applications.

With this acquisition, KACE plans to revolutionize the application virtualization market by extending the benefits of virtualization to other desktop management areas such as application security and data management. The technology and development staff of the Computers in Motion team will form the foundation of KACE's next-generation application virtualization products, which will include areas such as:

Application Management - execution control, license monitoring, reporting, and other features for Virtual Kontainers will combine to provide unprecedented management capabilities for users of KBOX;

Data Management - Virtual Data Kontainers will provide security and portability with version control, backups, and cross-platform syncing;

Secure Browsing - Virtual Browser Kontainers will offer a safe Internet browsing environment where malware and viruses can be safely contained and discarded within a virtual instance.

A preview of KACE Virtual Kontainers will be offered at KACE's booth #756 at the upcoming VMworld Conference, held September 15-18, in Las Vegas.

"Through the acquisition of Computers in Motion, we are taking our innovative approach to systems management to a new level with the ability to offer cutting-edge application virtualization capabilities," said Rob Meinhardt, CEO and co-founder of KACE. "Customers will soon be able to reap the many benefits of application virtualization to not just simplify deployment, but to also address security and data management concerns with the end result of dramatically lowering total cost of ownership for IT organizations."

The Computers in Motion acquisition fits in squarely with KACE's strategy of lowering the total cost of ownership for IT organizations through its appliance-based systems management and virtualization technology. This acquisition also builds on the product momentum KACE has made throughout the year in the virtualization market, including the recent launches of the Virtual KBOX Systems Management and KBOX Virtual Remote Appliances offerings.

"This announcement demonstrates KACE's ability to innovate and bring highly impactful technology to companies of all sizes," said Andi Mann, research director at Enterprise Management Associates. "Computers in Motion gives KACE the application virtualization technology it needs to solve some of the most difficult and costly challenges that their customers face in delivering applications to their end users."

KACE helps customers save time and money. Systems managers are often forced to wear many hats throughout the day to work on a myriad of IT functions. KACE helps consolidate these functions by providing a single appliance for all projects, while delivering easy-to-use, comprehensive systems management that is affordable. The KBOX family of appliances fulfills all of the systems management needs of a medium enterprise, from initial computer deployment to ongoing management and retirement.

Financial details of the acquisition are not being disclosed.

About KACE(tm)

KACE is the leading systems management appliance company. The award-winning KBOX(tm) family of appliances delivers easy-to-use, comprehensive systems management capabilities. KACE customers usually install in one day and enjoy the lowest total cost compared to software alternatives.

KACE is headquartered in Mountain View, California. To learn more about KACE and its product offerings, please visit http://www.kace.com or call 1-877-MGMT-DONE.

Helpful Links

Computers in Motion

KBOX Systems Management Appliances

KBOX Systems Deployment Appliances

Virtual KBOX Appliances

Editorial contact:

Cathy Wright

Kulesa PR

650.340.1985

cathy@kulesapr.com