NEW YORK, NY -- (Marketwire) -- 02/04/10 -- Intermedia, the world's largest Microsoft Exchange hosting provider, today reported a 20 percent increase in year-over-year revenue and a 15 percent increase in the size of its customer base. The company attributes this growth to its continued focus on the customer experience, including development of its new DataEcho™ architecture that guarantees the safety and availability of customers' Microsoft Exchange data.

In 2009, Intermedia was the first to market with hosted Exchange 2010, launching the service moments after Microsoft announced the availability of its Exchange Server 2010 software. Eighty-two percent of Intermedia's new customers are choosing hosted Exchange 2010 over hosted Exchange 2007, which Intermedia continues to offer. Intermedia also made substantial investments in the service, support and proprietary technology it delivers around hosted Exchange and other communications services, a key source of the company's differentiation versus niche hosting players and online service providers. Milestones included:

--  Reaching 225,000 premium hosted Exchange seats: Intermedia is the
    world's largest hosted Exchange provider.
--  The first SaaS industry 100 percent data protection guarantee:
    Intermedia guarantees that customers' email and other business-critical
    data stored in Exchange are fully protected in any eventuality.
    Intermedia is able to credibly offer this guarantee, which is enforced
    by stiff financial penalties, because of the proprietary DataEcho
    architecture the company developed to work with hosted Exchange 2010.
--  Addition of fourth US datacenter: Intermedia opened a new East coast
    datacenter featuring multiple Tier-1 Internet provider connections and
    hardware from Cisco, Dell and EMC -- investments that assure high
    reliability and the fastest round trip for email. Exchange 2010
    customers are able to choose among Intermedia's East and West coast
    datacenters for the location of their mailboxes, further accelerating
    round trip times for email.
--  New features for greater customer control over the Exchange
    environment: Intermedia added new features to its proprietary
    HostPilot® Control Panel that further enable Exchange administration
    to be delegated to non-technical staff. These features included remote
    device management, which enables customers to remotely wipe data from a
    lost BlackBerry in just a few clicks. Intermedia also developed
    UserPilot -- a product that enables clients to unify log-in
    capabilities across their hosted Exchange and on-premise Microsoft
    applications.
--  Continued excellence in reliability and customer support: Average 2009
    speed-to-answer for 24x7 phone-based customer support was under 60
    seconds.  Intermedia continued to offer a service level guarantee for
    99.999 percent availability, which is less than six minutes of downtown
    a year.
--  Expanding reseller network to over 4,000 private label partners: The
    number of partners and affiliates reselling Intermedia to their own
    customers substantially increased. Intermedia also extended its partner
    program to Latin America and inked a North American distribution deal
    with Fortune 100-ranked Ingram Micro.

"Small and mid-size businesses demand enterprise communications capabilities that are incredibly simple to set-up and reliable to use," says Serguei Sofinski, chief executive officer, Intermedia. "To deliver that kind of experience, we invest heavily in our premium infrastructure, support, HostPilot Control Panel and Exchange Concierge™ migration service. We will continue to make these investments in 2010."

ABOUT INTERMEDIA

Intermedia is the premier provider of communications services, including hosted Microsoft Exchange, to small- and mid-sized businesses. For an affordable monthly fee, customers get business email, telephony, smartphones, instant messaging, fax and other communications delivered as a service with 24x7 support. Intermedia also empowers thousands of smaller VARs and MSPs -- as well as select Fortune 500 companies -- to sell communications services under their own brand. Founded in 1995, Intermedia was the first company to offer cloud-based business-class email and now has over 225,000 premium hosted Exchange mailboxes under management -- more than any other provider. For more information, visit www.intermedia.net.

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