Induslogic and OpSource Form Strategic Alliance to Deliver Complete Software as a Service (SaaS) Solution to ISVs Adopting the SaaS Delivery Model

Alliance to Combine Induslogic Product Engineering Solutions with OpSource's SaaS Enablement and Delivery Expertise

VIENNA, Virginia and SANTA CLARA, California, August 28th, 2006 -- Induslogic, a leading global provider of outsourced product development services and OpSource™, the SaaS experts, today announced a strategic partnership. The new alliance combines Induslogic's center of excellence in on-demand software product engineering with OpSource's SaaS Enablement Programsm and turn-key SaaS delivery solution, Optimal On-Demandsm. The partnership provides software companies adopting the increasingly popular SaaS delivery model with a one-stop solution for application development, SaaS enablement, SaaS service delivery and support. The companies plan to market their combined solution to their existing customers as well as new SaaS market entrants.

"We are thrilled to team up with OpSource, acknowledged by the industry experts as the leaders in SaaS enablement and delivery," said Manoj Agarwala, Vice President of Business Development, Induslogic. "With this partnership, Induslogic is addressing emerging opportunities in the area of on-demand application development and architecture, which will help advance the adoption of the on-demand delivery model."

With industry analysts forecasting that by 2010, 30 percent of new software purchases will be delivered via an application utility or a Software as a Service model rather than perpetual license or subscription, traditional software companies can not afford to ignore this significant delivery paradigm shift. But a successful transition to this model requires engineering to create products optimized for SaaS delivery, organizational and process changes to tune new business models and an entirely new 24x7 delivery and support operation. The transition just became easier as software companies can now turn to Induslogic and OpSource for a complete SaaS application engineering and delivery solution, thereby addressing time-to-market challenges and allowing them to focus on what they do best, creating, marketing and selling their products.

Software companies of any size transitioning to the SaaS delivery model or startups launching a new SaaS application can benefit from Induslogic's vast experience in software product engineering and development. And once their product is ready for delivery they will benefit from OpSource's Optimal On-Demand SaaS delivery platform, offering a high value, low risk path to SaaS. OpSource success based pricing for SaaS delivery insures that software companies of all sizes pay only for the capacity they need, with that capacity growing automatically in step with their business requirements.

"It is a pleasure to partner with Induslogic, an industry leader and a company that shares our enthusiasm and vision of an on-demand future," said Richard Dym, Senior Vice President of Business Development, OpSource. "Together we can enable traditional software companies to make a successful transition from yesterday's perpetual license, on-premise software delivery world into tomorrow's SaaS world, benefiting them, their customers and their investors."

About Induslogic
Induslogic Inc. (www.induslogic.com), is a leading global product development services company and a partner to many emerging software leaders helping them bring great products to market in less time and at less cost.

Induslogic has developed a unique Joint-Venture model of partnering with companies to create a dedicated global delivery center. By leveraging its global facilities and world-class engineers, a partnership with Induslogic increases quality while dramatically reducing timelines and operating costs, often by more than 60%. Induslogic is a pioneer in distributed Agile methods that shorten product cycles while ensuring the right features are implemented.

Today, Induslogic has active partnerships with more than 80 software product companies in a wide range of markets, including VoIP, Wireless, Security, Payment and Finance. Amongst others, our partners include industry leaders such as AOL, IBM, DreamFactory, Mantas, Nextone, NorthStar, Polaris, LavaTrading, and Avolent. Induslogic is defining the future of the outsourced distributed software delivery model through a compelling combination of proven methodology, expert engineers, high standards of quality, and a 100% success guarantee. Induslogic is headquartered in the U.S. with global delivery centers in India, and over 1,000 professionals worldwide.

About OpSource
OpSource™, the SaaS experts, is solely focused on providing the operational infrastructure and ongoing services that enable software companies to deliver and maintain the highest quality Software as a Service (SaaS) solutions. By choosing OpSource as a SaaS partner, the software company is free from infrastructure management and can focus on improving its applications and finding new customers. OpSource's Optimal On-Demandsm infrastructure enables software companies to deploy SaaS quickly, effortlessly, and without risk. Software companies at any stage in the application lifecycle, delivering any type of application, can benefit from our comprehensive services and expertise. OpSource is the only company to offer Success-Based Pricingsm, our per unit pricing model which allows companies to begin with a minimum commitment, and expenses scale only as revenue increases. For more information about OpSource, visit opsource.net.

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