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ZL Technologies Improves Standing in 2008 Magic Quadrant for Email Archiving

Evaluation Based on Completeness of Vision and Ability to Execute

San Jose, CA – June 6, 2008 – ZL Technologies, Inc. (ZL), the leader in email archiving for regulatory compliance, is proud to announce that it has been included in this year’s competitive Gartner Magic Quadrant for Email Archiving. Gartner, the leading research and advisory firm, evaluated the industry’s strongest vendors against stringent criteria, including the company's vision, market understanding, sales strategy, innovation, business model, market responsiveness and track record, product execution, and customer service experience.

While ZL was judged to improve in both vision and execution, Gartner also found customers commenting on ZL’s “ease of deployment, strong performance, and comprehensive supervision and discovery modules.” The report also describes ZL’s discovery solution as “a strong offering” bolstered by “the addition of case management and integrated file archiving.”

The report “is focused on enterprise-class products that met [specific] criteria and were able to prove, through strong references, their ability to address the need of an organization looking to support thousands of users.” Gartner analysts found that for many vendors “product scalability continued to be a significant issue.” ZL concentrates and succeeds in large, high-volume, enterprise accounts, proving time and again that ZL is architected for extreme scalability.

By continuing to adapt to the needs of the constantly changing market, ZL has consistently improved its position on the Gartner scale over the past several years. Gartner applauds ZL’s improvement in market traction with ever growing customer references, including the acquisition of strategic partners such as Oracle in the archiving market. Having been acknowledged for superior performance in large-scale archiving and e-discovery deployments, ZL is now focused on educating the enterprise market on why most of these installations risk failure and how such failures are avoidable by asking the “hard questions” earlier on.

“We are pleased by our continuing rise in the Gartner Magic Quadrant. But, as you might expect, we are not surprised, as ZL has consistently advanced our technology lead in areas such as our GRID-based architecture, unified applications platform, one policy enforcement, true single-instance storage, and 100% virtual machine deployments. The cumulative impact of our leading-edge technology is to ensure far superior performance but at much less than half the TCO (Total Cost of Ownership) of our nearest competitors,” said Dr. Arvind Srinivasan, ZL’s CTO.

About the Magic Quadrant
The Magic Quadrant is copyrighted May 20, 2008 by Gartner, Inc. and is reused with permission. The Magic Quadrant is a graphical representation of a marketplace at and for a specific time period. It depicts Gartner's analysis of how certain vendors measure against criteria for that marketplace, as defined by Gartner. Gartner does not endorse any vendor, product or service depicted in the Magic Quadrant, and does not advise technology users to select only those vendors placed in the "Leaders" quadrant. The Magic Quadrant is intended solely as a research tool, and is not meant to be a specific guide to action. Gartner disclaims all warranties, express or implied, with respect to this research, including any warranties of merchantability or fitness for a particular purpose.

About ZL Technologies Inc.
Established in 1999, ZL Technologies, Inc. (ZL) provides cutting-edge enterprise software solutions for e-mail and files archiving for regulatory compliance, litigation support, corporate governance, and storage management. ZL’s Unified Archive, offers a single unified platform to provide all the above capabilities, while maintaining a single copy and a unified policy across the enterprise. With a proven track record and enterprise clients which include top global institutions in finance and industry, ZL has emerged as the specialized provider of large-scale email archiving for e-discovery and compliance. For more information, please visit www.ZLTI.com

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