Network Appliance Makes Advancements with Simple, All-Inclusive Regulatory Compliance Storage Solution

Sunnyvale, Calif. - September 23, 2003 -- With regulatory enforcement becoming increasingly stringent, Network Appliance, Inc. (NASDAQ: NTAP), a leading provider of enterprise network storage solutions, today announced its regulated data storage solution, SnapLock Compliance is making significant advancements within customers' real-world data environments and has successfully passed the SEC required 90-day notification period, meeting the storage safeguards required by SEC Rule 17a-3 and 17a-4. NetApp data storage solutions used in such industries as financial services, healthcare, life sciences, and more broadly across all significant publicly-traded companies, enable compliance with various US regulations including SEC Rule 17a-4, HIPAA, 21 CFR Part 11, and Sarbanes-Oxley.

To meet new and old regulation requirements for securely storing an increased amount of information electronically for longer periods of time, NetApp has enhanced its SnapLock Compliance data permanence solution. SnapLock Compliance is now available on both NetApp FAS servers and the NearStore® platform, enabling companies to meet compliance mandates for a variety of applications and industries with the same architecture and platform for primary and nearline storage. SnapLock Compliance also supports record-level retention dates, allowing customers to make records non-erasable and non-rewritable until a specified date is reached, and only allowing deletion of records after their retention date has passed. This helps IT administrators automate the process of using archival or records management applications to purge data that is no longer needed, solving management headaches caused by manual search and delete processes for expired records. SnapLock Compliance data permanence capability, automatic data verification, and strong security features make it ideal for almost all types of regulated data environments, as well as for protecting the integrity of any business records that are particularly sensitive or important to an enterprise. Additional existing features in NetApp storage allow for flexible access controls on data, transmission encryption, secure authentication of users, and auditing of data access activity. These features are important for meeting with various data management and privacy regulations and also can be used on both standard and SnapLock Compliance volumes.

"Addressing regulatory compliance and protecting valuable and sensitive information doesn't need to be any more complex than it already is," said Peter Gerr, analyst at the Enterprise Storage Group. "Network Appliance's SnapLock Compliance solution provides a cost-effective and secure way for IT and business professionals to protect their compliant records without further complicating their storage infrastructure. By offering SnapLock Compliance as an option on its entire family of products, all managed under the same common framework, NetApp is really helping their customers simplify how they meet the unique demands of compliance in regulated industries."

"With business and government needs for regulated data storage solutions growing, interest in SnapLock Compliance has been very high across all verticals," said Mark Santora, senior vice president of marketing at NetApp. "Customers expect and demand a regulated data storage solution that is fast, flexible, robust, and based on open standards. We're delivering one comprehensive set of storage solutions that is flexible enough to meet the needs for high performance storage, reference data, disk-to-disk backup, data archival, and regulated data. This gives us a huge advantage over our competition in this space.

Cohasset Associates, the premier consulting organization in the area of regulatory compliant records management, produced an independent report recently published by NetApp, stating that the NetApp FAS server and NearStore platforms with SnapLock Compliance enable compliance with SEC's storage requirements for regulated electronic records. The SEC requires that brokerage and investment houses deploy solutions that are "non-erasable" and "non-rewritable," plus the solution must automatically verify the accuracy of each record. For more details, the complete report is available on the NetApp web site at http://www.netapp.com/ftp/CohassetReport_SnapLock.pdf.

Customers want to install a proven, totally compatible storage infrastructure for regulated data. NetApp provides a solution for regulated data based on our existing, proven platform, which we've been shipping for more than ten years and installed on more than 50,000 systems."

The SnapLock Solution Difference

NetApp SnapLock software utilizes open, industry standard protocols, such as CIFS and NFS, allowing customers to access business records without difficulty and enabling third-party application vendors to experience simple and seamless technology integration. These factors distinguish SnapLock from other magnetic disk-based WORM (write once, read many) solutions that require applications to write to proprietary, closed APIs that make access and integration more challenging. SnapLock also leverages the optimized performance of the NetApp FAS server and NearStore hardware platforms, allowing customers to easily archive emails, documents or other fixed content much more quickly than competing solutions such as optical, tape, or proprietary disk systems.

About Network Appliance

Network Appliance is a world leader in unified storage solutions for today's data-intensive enterprise. Since its inception in 1992, Network Appliance has delivered technology, product, and partner firsts that continue to drive "The evolution of storage.™" Information about Network Appliance™ solutions and services is available at www.netapp.com.

Press Contacts:

Eric Brown
Network Appliance, Inc.
(408) 822-3463
ebrown@netapp.com


Jaime Leigh Le
Network Appliance, Inc.
408-822-3761
jle@netapp.com