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Netlist Commences Volume Shipments of Non-Volatile Cache Memory Product NetVault(TM) to Market Leading OEM
NetVault-NV enables battery-less disaster recovery backup ensuring high system availability, and reducing system downtime and total cost of ownership

IRVINE, Calif., Feb. 17 /PRNewswire-FirstCall/ -- Netlist, Inc. (Nasdaq: NLST), a designer and manufacturer of high-performance memory subsystems, today announces that a major OEM has commenced volume consumption of NetVault-NV™, a flash memory based non-volatile cache memory subsystem targeting RAID (redundant array of inexpensive disks) storage applications. NetVault-NV offers disaster recovery backup from system power failures and is optimized to ensure high system availability in RAID systems without using battery power for backup.

Simultaneously, within the same product family, Netlist also announces that it is also at mass production status with a major OEM with its NetVault-BB (DRAM memory) based product, Netlist's third-generation RAID cache solution. NetVault-BB offers disaster recovery backup from system power failures and ensures high system availability.

NetVault-NV provides server and storage OEMs a solution for enhanced datacenter fault recovery, reduces system downtime and total cost of ownership. Unlike traditional fault tolerant cache subsystems, which rely solely on batteries to power the cache until the IT manager can recover business critical data and restore the system, NetVault-NV utilizes a combination of DRAM for high throughput performance and Flash for extended data retention. With NetVault-NV, data is retained for years following a disaster versus traditional subsystems, which often cannot preserve cache data for more than 24 to 72 hours.

"NetVault-NV delivers the reliability and performance demanded by end users while reducing the total cost of ownership for this high reliability disaster recovery solution by eliminating the need for battery backup power," said C.K. Hong, President, and CEO of Netlist. "As the only available flash based merchant market solution, NetVault-NV is also now entering volume production with a tier one OEM. Joining our recently announced HyperCloud product line, the NetVault family further demonstrates Netlist's leadership in solving critical problems for the datacenter through innovative value-added memory subsystems."

In addition, NetVault-NV eliminates system downtime often required during battery health monitoring and replacement. Traditional fault tolerant cache subsystems require large Watt-Hour batteries to power the cache over a period of days whereas NetVault-NV requires power for less than a minute. This flexibility allows OEMs to either use smaller, lower cost batteries without frequent health monitoring and replacement or deploy NetVault-NV Power Management Unit (PMU) capacitor technology, eliminating batteries altogether to achieve full RoHS 6/6 product compliance.

Pricing and Availability

NetVault-NV is available in JEDEC edge compatible 512MB and 1GB 800MHz DDR2 Mini-RDIMM configurations. NetVault-NV PMU is available in production in two environmental-lifetime ratings for use with NetVault-NV providing reliable backup in environments up to 65 degrees centigrade for up to ten years. Pricing in 1K unit quantities for 512MB is $150. Contact Netlist for additional configuration options, pricing, part numbers, datasheets and application notes. Additional information is available at the Netlist website: http://www.netlist.com.

About Netlist, Inc.

Netlist designs and manufactures high-performance memory subsystems for the server and high- performance computing and communications markets. The Company's memory subsystems are developed for applications in which high-speed, high-capacity memory, functionality, small form factor, and heat dissipation are key requirements. These applications include tower-servers, rack-mounted servers, blade servers, high-performance computing clusters, engineering workstations, and telecommunication equipment. Netlist maintains its headquarters in Irvine, California with manufacturing facilities in Suzhou, China.

Safe Harbor Statement

This news release contains forward-looking statements regarding future events and the future performance of Netlist, including future opportunities and growth for the company's business. These forward-looking statements involve risks and uncertainties that could cause actual results to differ materially from those expected or projected. These risks and uncertainties include, but are not limited to, the Company's ability to complete development of and volume production of NetVault™ and HyperCloud™, the rapidly-changing nature of technology; volatility in the pricing of DRAM ICs and NAND;changes in and uncertainty of customer demand, including delays in product qualifications; delays in the Company's and its customers' product releases and development; introductions of new products by competitors; changes in end-user demand for technology solutions; the Company's ability to attract and retain skilled personnel; the Company's reliance on suppliers of critical components; fluctuations in the market price of evolving industry standards; and the political and regulatory environment in the People's Republic of China. Other risks and uncertainties are described in the Company's annual report on Form 10-K, dated March 30, 2009, and subsequent filings with the U.S. Securities and Exchange Commission made by the Company from time to time. Netlist undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

Contact:

Allen & Caron Inc

Gail Itow


Jill Bertotti (investors)

Chief Financial Officer


jill@allencaron.com

Netlist, Inc.


Len Hall (media)

(949) 435-0025


len@allencaron.com



(949) 474-4300



SOURCE Netlist, Inc.

Feb 17, 2010

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