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IBM and FalconStor Team Up to Create Backup Appliance for the Midmarket

IBM and FalconStor Team Up to Create Backup Appliance for the Midmarket

FalconStor VTL With Deduplication to be Integrated With IBM Servers and
Storage for Midmarket IBM Customers

MELVILLE, N.Y., June 3, 2013 (GLOBE NEWSWIRE) -- FalconStor Software, Inc.
(Nasdaq:FALC), a market leader in disk-based data protection, today announced
that it has entered into a partnership with IBM through IBM's Indirect OEM
(IOEM) program. Under the program, FalconStor^® Virtual Tape Library (VTL)
with deduplication software will be integrated with IBM servers and storage to
address the needs of IBM midmarket customers.

The new FalconStor VTL IBM Series appliance will be integrated by Avnet
Embedded (see related press release, "FalconStor Teams with Avnet Embedded to
Create Global Supply Chain") and will be sold through FalconStor's channel as
well as through IBM business partners who sign up with FalconStor. The new
product will be available in North America initially and then throughout the
rest of the world early next year.

"In the six years we've been partners with FalconStor, our clients have had
nothing but praise for the FalconStor VTL backup and deduplication solution.
Many of them have been asking for an IBM-based appliance for some time," said
Ken Scott, director of storage sales for Cima Solutions Group. "The FalconStor
VTL IBM Series appliance addresses the needs of small to medium-size
businesses for which IBM's ProtecTIER is much more than they need. With this
new appliance, we can serve the IBM-based midmarket more effectively –
shortening sales cycles and getting customers up and running faster."

"ServIT has been selling FalconStor VTL software and appliances to meet the
data protection needs of the midmarket with great success," said Craig
Jacquez, business development director for ServIT. "The FalconStor VTL
solution helps our customers migrate to disk-based backup and recovery,
dramatically reduce the backup window and optimize tape for archiving – or
eliminate tape altogether. Delivered on the IBM hardware platform, the new
system expands our product offering and enhances our ability to give IBM
customers exactly what they need."

"The partnership between FalconStor and IBM is a big win for both companies.
IBM midmarket customers now have a comprehensive data protection solution
specifically designed for them, and our channel partners gain access to a
large new market," said Gary Quinn, chief operating officer for FalconStor
Software. "Enterprise-class data protection and optimization is not just for
large enterprises. This joint offering provides the mid-size IBM data center
with the same robust, reliable, award-winning technology that is enjoyed by so
many of the largest IT operations in the world today."

About the FalconStor VTL IBM Series appliance

The new FalconStor VTL IBM Series appliance consists of FalconStor VTL
software integrated with IBM System x3650 M4 Express servers and IBM System
Storage EXP2512 Express Storage enclosures, manufactured and quality-tested by
Avnet Technology Solutions. The FalconStor VTL solution provides
enterprise-class disk-based backup and deduplication to businesses of all
sizes. It optimizes backup speed and performance, minimizes backup windows and
makes data secure, available and easy to recover. FalconStor VTL solutions
offer several deduplication methods so that customers can tailor to meet the
needs of their business.

Pricing and availability

The FalconStor VTL IBM Series appliance and pricing will be available in North
America at the end of August and will be rolled out to Europe and Asia-Pacific
in Q1 2014.

About FalconStor Software

FalconStor Software, Inc. (Nasdaq:FALC) is a market leader in disk-based data
protection. The company's mission is to transform traditional backup and
disaster recovery into next-generation service-oriented data protection. Built
upon an award-winning platform, FalconStor solutions deliver disk-based
backup, continuous data protection, WAN-optimized replication and disaster
recovery automation. FalconStor solutions are available through a worldwide
network of partners, including solution providers, top-tier strategic partners
and major OEMs. Thousands of customers worldwide, from small businesses to
Fortune 100 enterprises, entrust their data to FalconStor solutions.
FalconStor maintains headquarters in Melville, N.Y., and offices throughout
Europe and the Asia Pacific region. For more information, visit or call 1-866-NOW-FALC (866-669-3252). 

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FalconStor and FalconStor Software are registered trademarks of FalconStor
Software, Inc., in the U.S. and other countries. All other company and product
names contained herein may be trademarks of their respective holders.

Links to websites or pages controlled by parties other than FalconStor are
provided for the reader's convenience and information only. FalconStor does
not incorporate into this release the information found at those links nor
does FalconStor represent or warrant that any information found at those links
is complete or accurate. Use of information obtained by following these links
is at the reader's own risk.

CONTACT: Roman Kichorowsky
         FalconStor Software, Inc.
         Kathryn Ghita
         Metis Communications

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