Desktone Builds Momentum in Europe for Cloud-based Virtual Desktops

Partners with CloudGroup BV to Develop Desktops as a Service (DaaS®) Marketplace

September 21, 2009 – Chelmsford, MA – Desktone, Inc., provider of the first platform that enables hosted virtual desktops as an outsourced subscription service, today announced a new agreement with CloudGroup BV, Europe's specialist cloud services company, to build a network of world-class desktops as a service^® providers. With this agreement, Desktone, which recently announced a partnership with SCC, one of Europe's leading service providers, has a strong base from which to penetrate the European market.

As part of the agreement, CloudGroup will develop the ecosystem necessary to bring cloud-based virtual desktops built upon the Desktone Virtual-D Platform^™ to telecoms operators, service providers, commercial and government organizations across Europe.

"We are pleased to partner with CloudGroup to accelerate European market adoption of DaaS," said Harry Ruda, CEO for Desktone. "CloudGroup is comprised of some of Europe's leading desktop virtualization experts and business executives who have long-standing relationships with key service providers. Their experience will be invaluable in ensuring success."

"DaaS is compelling because it allows enterprises to use the cloud for simplifying and driving costs out of desktop computing. It also represents a significant opportunity for service providers who want to offer an innovative, value-added service," said Morten Moland, Managing Director of CloudGroup BV. "Desktone's expertise in DaaS gives them unparalleled insights into the needs of both service providers and enterprises, and makes them uniquely suited to deliver a best-of-breed solution. We're excited to partner with Desktone in making this much-needed service available to the European market."

By using a Desktone-powered cloud-based solution, instead of building and deploying virtual desktops themselves, enterprises can reduce desktop costs by up to 35 percent. Savings like these are possible, in part, because of the multi-tenancy and multi-data center features of the Virtual D-Platform, which enables service providers to scale and operate a cloud service at attractive price points. Multi-tenancy makes it easier to create, manage and monitor multiple customers on the same shared infrastructure. Multi-data center capabilities enable service providers to use their data center infrastructure to support widely distributed enterprise environments and deliver high availability/disaster recovery offerings.

In addition to UK-based SCC, CloudGroup is already actively working with several service providers across Europe to develop DaaS services.

About CloudGroup BV

Headquartered in the Netherlands, CloudGroup is a leading enabler of cloud services in Europe and is the principle partner of Desktone Inc. in EMEA. CloudGroup's core focus is on desktop delivery through desktops as a service (DaaS), enabling system integrators, telecommunications and service providers to deliver highly scaleable virtual desktop services to large and medium-sized organisations, while retaining flexibility for the individual user. Through its partnership with Desktone, CloudGroup delivers the industry's first end-to-end virtual desktop solution. For more information, visit www.cloudgroup.eu.

About Desktone

Desktone, Inc. provides the industry's first virtual desktop hosting platform, enabling desktops to be delivered as an outsourced subscription service. The Desktone Virtual-D Platform integrates all required technologies into a single, automated, self-service platform. By enabling desktops as a service, Desktone simplifies large-scale desktop provisioning and management, transforms virtual desktop infrastructure costs from CAPEX to OPEX, provides greater protection of physical resources and corporate information, and increases business agility – all of which reduces desktop total cost of ownership. For more information, visit www.desktone.com.