FalconStor Launches Program update from April 2007

MELVILLE, N.Y. -- FalconStor Software, Inc. (NASDAQ: FALC), the premier developer of proven data-protection solutions, today announced major enhancements to its Solution Provider Program. The enhancements focus on increasing partner enablementproviding solution providers with a scaled up certified training program, joint marketing initiatives, and new sales rebates to increase profitability and growth with FalconStor.

“We are a channel-focused company. It is imperative we make it easy for our Solution Provider partners to succeed with FalconStor, so we constantly listen and adapt our practices to develop a program that helps them become more successful,” said Wendy Petty, FalconStor Vice President, North American Sales. “To meet the growth needs of FalconStor and exceed the requirements of solution providers in the dynamic storage marketplace, we are delivering new tools, incentives, and program features to address a wide range of partner needs at all levels.”

“As a channel-only oriented company, FalconStor has designed a program to ensure its partners’ success,” said John R. Thome, Jr., Vice President of Sales, Chi Corporation. “FalconStor’s training and education programs are focused on enabling us to effectively position their software solutions to our customers. They further enable us to drive profitable hardware sales. Overall, the company’s channel business model and programs make it easy for us to lead with FalconStor.”

FalconStor Software Inc.