Hostway Plans New Datacenter in Chicago

CHICAGO -- Jan. 19, 2006 -- Hostway Corporation, a leading provider of Web hosting and managed services, announced today that it will build a next generation datacenter in downtown Chicago in response to strong customer growth. The new datacenter will be located in the Boeing building, along the west bank of the Chicago River.

The space was originally built for $200 million and designed to support SBC’s mission critical datacenter operation. Hostway intends to invest $10 million to significantly upgrade this location to meet its industry leading standards for physical security, network availability, fire suppression, cooling and power capacity. A significant portion of the capital investment will go toward upgrading the facility’s power and cooling plant which will accommodate high power, high density system installations.

“Our Web hosting and managed services business for enterprise customers is growing rapidly and the cooling and power capacity requirements are rising faster than anything the industry predicted. The new datacenter will incorporate the latest design techniques and enable Hostway to continue to provide a fast, reliable and secure hosting environment for our customers,” said Lucas Roh, CEO of Hostway.

The first phase of construction will expand Hostway’s Chicago datacenter footprint by 50,000 square feet and customer server installations are expected to be operational by June 2006. The facility will also accommodate custom build-outs for customers requiring specialized solutions.

When completed, this facility will be one of the largest commercially operational datacenters in downtown Chicago for colocation and managed hosting and will bring the count of Hostway’s datacenters up to fourteen. With geographically dispersed datacenters, Hostway is able to offer disaster recovery and geographic load balancing solutions.

“This new datacenter, along with our expansion in both Europe and Asia, further solidifies our worldwide leadership position in the managed hosting space,” said Roh.

About Hostway

Hostway Corporation provides Web hosting and managed services to more than 400,000 customers worldwide. Hostway helps individuals, small businesses and large enterprises achieve more value from state-of-the-art Web-based technologies by reducing their complexity and cost. Founded in 1998, Hostway is one of the five largest Web hosting companies in the world with offices in North America (Chicago, Tampa, Austin and Vancouver), Europe (London, Frankfurt, Hannover and Amsterdam) Asia (Seoul) and Australia (Sydney). For more information about Hostway Corporation, please visit www.hostway.com or call 1-866-467-8929.