News Release

Leading Insurance Underwriter Achieves Optimal RTO/RPO with Real-Time Replication, Application-Aware Failover and Failback to Safeguard Physical and

Virtual Server Environment

SAN DIEGO, July 7 /PRNewswire-FirstCall/ -- Overland Storage, Inc. (Nasdaq: OVRL) today introduced the REO(R) Business Continuity Appliance (BCA), an innovative, all-in-one solution that offers small and medium-sized businesses a highly affordable, streamlined approach for protecting mission-critical applications and data as well as physical and virtual server environments. The new REO BCA leverages Overland's award-winning REO(R) SERIES disk-based backup and recovery VTL to integrate a single, cost-effective appliance with a streamlined approach for simplifying both continuous local backup and remote disaster recovery.

REO BCA automates the reliable recovery of vital data and applications at both the local data center and remote disaster recovery sites by combining capacity-optimized replication technology with comprehensive application-aware failover and failback. The result is non-disruptive, continuous availability of core business applications, such as email, databases and unstructured files, along with the ability to recover from any point in time or event. Additionally, patented point-in-time "book marking" technology enables "near-zero" Recovery Point and Recovery Time Objectives (RPO/RTO).

Other unique REO BCA features designed to deliver heightened yet affordable and uncomplicated business continuity include:

    --  Seamless integration with Windows/Linux file services, Microsoft
        Exchange and SQL as well as complete support of virtualized
        environments, including VMware, and Hyper-V;
    --  Non-disruptive server, application and data migration for maximizing
        existing and new infrastructure investments;
    --  Server, storage and network hardware independence to facilitate tiered
        storage strategies for robust disaster recovery; and
    --  Centralized management and reporting, including an Environmental
        Profiler for analyzing data, network and storage resource utilization.

According to Ravi Pendekanti, vice president of worldwide marketing for Overland Storage, REO BCA raises the business continuity bar for SMBs with its integrated, all-in-one approach. "We've extended our data protection capabilities with a solutions-centric offering that ensures mission-critical data and applications are always protected without the additional cost and complexity of host- and array-based business continuity," he says. "In doing so, Overland provides its global channel partners with a highly economical, easy to deploy and manage solution that meets end-users' current SLAs while providing valuable insight into trends and resources so they can anticipate and more effectively address ever-increasing business requirements."

Overland's REO BCA is the focal point of a recently fortified disaster recovery infrastructure at RSUI, a leading insurance underwriter based in Atlanta. RSUI already relied on Overland's REO 9100c disk-based backup and recovery appliance with compression along with the company's NEO 4000 tape automation appliance for disk-to-disk-to-tape data protection and SOX compliance. With the new REO BCA, RSUI is elevating its business continuity capabilities significantly with real-time replication of its physical and virtual environment as well as mission-critical email and SQL databases.

For Ed Craig, senior network architect for RSUI, Overland's REO BCA has lowered the barriers to bringing continuous data replication into his environment. "REO BCA is a one-stop solution that does it all -- physical to virtual replication, block-level transfers, push-button failover and failback, load balancing, WAN optimization and more," he says. "The appliance fit perfectly into our environment and has been instrumental in helping us get much more aggressive with our SLAs, reducing our window of data and application recovery from two to three days to less than 12 hours."

"Despite the budget pressures brought on by current economic difficulties, organizations of all sizes know that now is when they need to be even more responsive to customers. Ensuring that all of their IT applications are protected and quickly recoverable is a critical requirement," said Richard Villars, vice president of storage systems research at IDC. "Solutions like Overland's REO BCA that are designed and priced for small and mid-sized business will make it make it more practical for IT managers to deploy robust data protection for their physical and virtual server environments."

Availability and Pricing

Overland's REO BCA comes in two configurations: REO BCA 100, a 1u appliance that starts with support for up to five application servers; and REO BCA 200, a 2u appliance that starts with support for up to 10 application servers. Application server filter drivers can be installed on new and existing application servers, requiring less than one percent resource utilization.

REO BCA is available now through Overland partners for a starting solution MSRP of approximately $24,000.

About Overland Storage

Overland Storage provides affordable end-to-end data protection solutions that are engineered to store smarter, protect faster and extend anywhere -- across networked storage, media types and multi-site environments. Overland Storage products include award-winning NEO SERIES(R) and ARCvault(TM) tape libraries, REO SERIES(R) disk-based backup and recovery appliances with VTL capabilities, Snap Server(R) NAS appliances, and ULTAMUS(TM) RAID high-performance, high-density storage. Overland sells its products through leading OEMs, commercial distributors, storage integrators and value-added resellers. For more information, visit Overland's web site at www.overlandstorage.com

Except for the factual statements made herein, the information contained in this news release consists of forward-looking statements that involve risks, uncertainties and assumptions that are difficult to predict. Words and expressions reflecting optimism, satisfaction or disappointment with current prospects, as well as words such as "believe," "hopes," "intends," "estimates," "expects," "projects," "plans," "anticipates" and variations thereof, identify forward-looking statements, but their absence does not mean that a statement is not forward-looking. Such forward-looking statements are not guarantees of performance and the company's actual results could differ materially from those contained in such statements. Factors that could cause or contribute to such differences include: possible delays in new product introductions and shipments; failure to achieve desired benefits from cost-cutting measures; market acceptance of the company's new product offerings; the ability to maintain strong relationships with branded channel partners; the timing and market acceptance of new product introductions by competitors; worldwide information technology spending levels; unexpected shortages of critical components; rescheduling or cancellation of customer orders; loss of a major customer; general competition and price pressures in the marketplace; the company's ability to control costs and expenses; and general economic conditions. Reference is also made to other factors detailed from time to time in the company's periodic reports filed with the Securities and Exchange Commission. These forward-looking statements speak only as of the date of this release and the company undertakes no obligation to publicly update any forward-looking statements to reflect new information, events or circumstances after the date of this release.

Overland, Overland Storage, REO Series, REO, NEO Series, NEO, ARCvault, ULTAMUS, Snap Server, GuardianOS and Snap Enterprise Data Replicator are trademarks of Overland Storage, Inc.

SOURCE  Overland Storage, Inc.

    -0-                           07/07/2009
    /CONTACT:  Sue Hetzel of HetzelMeade Communications, +1-760-434-9927,
sue@hetzelmeade.com, for Overland Storage, Inc./
    /Web Site:  http://www.overlandstorage.com /
    (OVRL)

CO:  Overland Storage, Inc.

ST:  California
IN:  NET STW CPR
SU:  PDT SBS

PR
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