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SolarWinds Sets Sights on the Application Performance and Virtualization Management Markets

The Launch of SolarWinds Application Performance Monitor (APM) and the Acquisition of Hyper9 Significantly Extend the Company's Ability to Address the Unmet Needs of Systems and Virtualization Administrators With Powerful and Affordable Management Solutio

AUSTIN, TX -- (Marketwire) -- 01/19/11 -- SolarWinds, Inc. (NYSE: SWI), a leading provider of powerful and affordable IT management software to more than 97,000 customers worldwide, today announced that it is set to address the unmet and growing needs of systems and virtualization administrators. The company is entering the application performance and virtualization management markets through the launch of SolarWinds Application Performance Monitor (APM) and the acquisition of Hyper9, a privately-held virtualization management software provider based in Austin, TX.

Overview:

  • SolarWinds is entering the application performance and virtualization management markets through the launch of SolarWinds Application Performance Monitor (APM) and the acquisition of Hyper9 and its next-generation virtualization management products.
  • The company's experience in making powerful, easy to use network and storage management products accessible to users in a wide range of businesses gives it an advantage in addressing the unmet needs of IT organizations as they work to ensure the performance and availability of business-critical applications and virtual infrastructure.
  • The SolarWinds product family now covers the fundamental aspects of business-critical applications and IT infrastructure -- network, storage and systems -- with integrated visibility into both virtual and physical environments.
  • The company believes that a strong entry into these markets represents an opportunity for continued growth and brand expansion in the IT management space.

"The past couple of years have brought about significant changes in the IT management market. Between the rapid adoption of virtualization technology and the explosion of 'business-critical' applications, IT organizations -- from the small and medium enterprise to the Global 2000 -- are faced with a more dynamic management challenge than ever before," said Kevin Thompson, President and CEO, SolarWinds. "And, for most users, the current crop of management offerings in both application performance management and virtualization management don't cut it."

"The pace of technology changes is forcing sysadmins and other IT users to search for purpose-built solutions that can actually solve their problems and make the job of managing their IT environment easier. We believe that we have established in the network management market, and more recently with our move into storage management, that our model of 'powerful, affordable and easy to use' is attractive to IT users," continued Thompson. "We believe that the time is right to deliver the SolarWinds value proposition to the application and virtualization management markets. Through the launch of SolarWinds APM and the acquisition of Hyper9, we believe that we can immediately solve many of the problems faced by today's system and virtualization administrators and continue to expand SolarWinds' footprint in the IT management market."

SolarWinds Application Performance Monitor (APM)

  • SolarWinds is launching its application performance management product. SolarWinds Application Performance Monitor is a comprehensive application and server management product that provides visibility into the performance of critical IT services, the underlying application components, the operating system, and the Windows, Unix and Linux server resources on which they run.
  • SolarWinds Application Performance Monitor pricing starts at $2,495 (USD), with the first year of maintenance included. For more information, visit the SolarWinds website, download a free 30-day evaluation, or call 866.530.8100.

Hyper9 Acquisition

  • Hyper9's virtualization management offering adds optimization, capacity planning, configuration and chargeback reporting for virtualized server environments to the SolarWinds portfolio.
  • SolarWinds expects to offer the virtualization management products at pricing starting at $3000 (USD), including the first year of maintenance -- a fraction of the cost of current virtualization management providers. This price point will make the SolarWinds offering one of the most comprehensive and affordable virtualization management offerings in the market.
  • For more information on Hyper9 and the company's portfolio of virtualization management solutions, visit www.hyper9.com.

"The launch of the latest SolarWinds APM and the acquisition of Hyper9 give us an extremely compelling value proposition for systems and virtual admins, specifically, as well as for integrated IT organizations. We believe that IT organizations are tired of 'making do' with solutions that are too complex, too expensive and aren't responsive enough to address rapid changes in technology or the dynamic needs created by today's IT reality," said Suku Krishnaraj, Senior Vice President of Product Strategy, SolarWinds.

"Our vision is to solve the problems that systems administrators, network engineers, storage administrators, and virtualization administrators face with individual products or by using the power of our various products collectively to get an end-to-end view of the whole IT environment -- physical and virtual," continued Krishnaraj. "We can grow with our customers' needs, easily and affordably."

In support of this announcement, SolarWinds will host a teleconference on Wednesday, January 19 at 7:30 am CT. The domestic dial-in number for this call is 1-800-967-7140; international participants can dial +1-719-457-2731 to access the call. Please dial in 5-10 minutes before the scheduled start time. A live webcast of the call will be available on the SolarWinds Investor Relations website at http://ir.solarwinds.com. A replay of the webcast will be available on a temporary basis shortly after the event at the same location.

Forward-Looking Statements

This press release contains "forward-looking" statements that are subject to safe harbors created under the U.S. federal securities laws. These statements include, among others, those related to market opportunities, product pricing, SolarWinds' ability to achieve the expected synergies and other strategic benefits as a result of the acquisition, the ability of SolarWinds' to fulfill its customers' demands and management's beliefs on industry trends. These forward-looking statements are based on management's beliefs and assumptions and on information currently available to management. Forward-looking statements include all statements that are not historical facts and may be identified by terms such as "will," "expects," "believes" or similar expressions and the negatives of those terms. Forward-looking statements involve known and unknown risks, including without limitation the potential impact on the business of Hyper9 due to the acquisition, the retention of employees of Hyper9 and the ability of SolarWinds to successfully integrate Hyper9's technology, personnel and operations and to achieve planned synergies. Therefore, actual results may differ materially and adversely from those expressed in any forward-looking statements. For information regarding other related risks, see the "Risk Factors" section of SolarWinds most recent Form 10-Q filed on October 29, 2010. All information provided in this release is as of the date hereof and SolarWinds undertakes no duty to update this information except as required by law.

About SolarWinds
SolarWinds (NYSE: SWI) provides powerful and affordable IT management software to more than 97,000 customers worldwide -- from Fortune 500 enterprises to small businesses. We work to put our users first and remove the obstacles that have become "status quo" in traditional enterprise software. SolarWinds products are downloadable, easy to use and maintain, and provide the power, scale, and flexibility needed to address users' management priorities. Our online user community, thwack, is a gathering-place where tens of thousands of IT pros solve problems, share technology, and participate in product development for all of SolarWinds' products. Learn more today at http://www.solarwinds.com.

SolarWinds, and SolarWinds are registered trademarks of SolarWinds. All other company and product names mentioned are used only for identification purposes and may be trademarks or registered trademarks of their respective companies.

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CONTACTS:

MEDIA CONTACTS:

Kenn Durrence
The Hoffman Agency
Phone: 408.975.3097
Email Contact

Tiffany Nels
SolarWinds
Phone: 512.682.9545
Email Contact

INVESTOR CONTACT:
Dave Hafner
SolarWinds
Phone: 512.682.9687
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