Industry Analyst Report Demonstrates NetApp® Market Success (2)

Sunnyvale, Calif. - June 8, 2007 -- Network Appliance, Inc. (NASDAQ: NTAP) today announced that it has gained revenue and capacity share in all of its key storage markets in the first calendar quarter of 2007. According to IDC's Worldwide Quarterly Disk Storage Systems Tracker Q1 2007,1 NetApp grew revenue and capacity faster than the networked storage market both sequentially (Q4 2006-Q1 2007) and year over year (Q1 2006-Q12007). NetApp gained revenue share in networked storage, growing to a 10.5% share in Q1 2007, up from a 9.3% share at year-end 2006. NetApp also gained capacity share in networked storage, growing to 20.4% from 17.5% in the same period.

In Fibre Channel (FC) SAN, NetApp continues to grow faster than the market in both revenue and capacity, both sequentially and year over year. This is the fifth consecutive quarter in which NetApp has grown faster than the FC SAN market in revenue. Sequentially, the FC SAN market revenue dropped 10.4%, while NetApp grew 12.6%. Year over year, the FC SAN market revenue grew 12.6%, while NetApp grew 103.0%. NetApp dramatically outpaced the FC SAN market in terms of capacity, growing at 263.7% year over year, compared to market growth of 57.1% during that period.

In its core NAS market, NetApp grew faster than the market sequentially in terms of both revenue and capacity. Sequentially, the NAS market revenue dropped 8.0%, while NetApp grew 10.7%. NetApp continues to lead the NAS market in terms of capacity, with a 39.3% share in Q1 2007, up from a 32.4% share in Q4 2006.

NetApp demonstrated continued leadership in the iSCSI market in terms of revenue and capacity, with first-place market share for Q1 2007 in capacity shipped (33.3%) and in revenue (24.3%). In Q1 2006, the iSCSI market revenue grew 8.6% sequentially, while NetApp grew 14.9%.

"The increased revenue and capacity market share NetApp gained this quarter in the network storage, SAN, NAS, and iSCSI markets demonstrates the innovation and value NetApp is delivering to the data center," said Elisa Steele, vice president of Corporate Marketing at Network Appliance. "We strive to continually provide our customers with data management solutions that will improve upon their total cost of ownership and simplify complex IT storage environments."

About Network Appliance
Network Appliance is a leading provider of innovative data management solutions that simplify the complexity of storing, managing, protecting, and retaining enterprise data. Market leaders around the world choose NetApp to help them reduce cost, minimize risk, and adapt to change. For solutions that deliver unmatched simplicity and value, visit us on the Web at
www.netapp.com.

1IDC's Worldwide Quarterly Disk Storage Systems Tracker Q1 2007

Safe Harbor" Statement under U.S. Private Securities Litigation Reform Act of 1995
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements include market and market share trends that benefit the Company, continued customer acceptance, and adoption rates of the Company's solutions. These forward-looking statements involve risks and uncertainties, and actual results could vary. Factors that could impact our ability to achieve our goals include general economic and industry conditions, including expenditure trends for storage-related products; our ability to deliver new product architectures and products that meet market acceptance; our ability to design products that compete effectively from a price and performance perspective; and other important factors as described in Network Appliance, Inc. reports and documents filed from time to time with the Securities and Exchange Commission, including our most recently submitted 10-K and 10-Q.

Press Contacts:
Jodi Baumann
Network Appliance, Inc.
(408) 822-3974
jodi@netapp.com

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