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BlueTie Launches New Email 5.0 - Capable of Scaling to Tens of Millions of Users

ROCHESTER, N.Y., February 18, 2004 — BlueTie and finalsite Team Up to Serve the Education MarketBlueTie, Inc. (www.bluetie.com) a leading provider of Web-based messaging and collaboration solutions, announces today the launch of its completely redesigned back-end email architecture, Email 5.0.

Email 5.0 was developed to meet the growing need for high-performance, business-class email for small and mid-sized businesses and highly scalable email for service providers. With this new email architecture, BlueTie meets both markets' needs and establishes a platform that will take BlueTie's email application into the next decade.

"Email 5.0 is the result of more than a year of planning and development work by our engineering teams in both Rochester and St. Petersburg, Russia," said David Koretz, BlueTie President and CEO. "The end-result is a platform that will easily grow as we add millions of new users over the next several years."

Formerly relying on Windows technology, BlueTie's Email 5.0 was migrated to Apache, UNIX, and C++, giving it the ability to seamlessly scale to tens of millions of users and provides sub-second performance even for users with gigabyte and larger mailboxes. Email 5.0 is fully LDAP compliant and uses an indexed file system, allowing BlueTie to offer larger mailbox sizes than most email providers.

The release of Email 5.0 is the third major technology announcement from BlueTie in 2004. In January, BlueTie launched BlueTie Mobile, technology built on WAP 2.0 standards, designed to provide BlueTie users with real-time access to their data via a variety of wireless devices. And, earlier this month, BlueTie launched its revolutionary application, DirectConnect for Microsoft Outlook. DirectConnect provides users with a real-time connection between their BlueTie account and Outlook on the desktop. As with these prior releases, Email 5.0 is provided to all BlueTie users at no additional charge.

"We have made amazing technological strides this year with the release of pioneering applications such as DirectConnect and BlueTie Mobile," said Koretz. "And, now with Email 5.0 a reality, we are looking forward to sealing several large partnership agreements over the next few months."

About BlueTie, Inc.

BlueTie is a leading provider of email and collaboration solutions for small to mid-sized businesses (SMBs) and Service Providers worldwide. BlueTie's software enables SMBs to instantly deploy a business-class messaging solution without investments in hardware, software, or IT support. BlueTie also offers its carrier-class application to ISPs, web hosting providers, and domain registrars seeking an enhanced messaging solution for consumers and SMBs. BlueTie's software provides end-users with desktop, web, and mobile access securely, and includes spam and virus protection, along with collaborative features like shared contacts, calendars, files and instant messaging. BlueTie also offers email auditing and secure file transfer tools for additional security and compliance solutions. BlueTie has been named a Forbes Magazine "Best of the Web" company for 2002, 2003 and 2004. Founded in 1999, BlueTie is a global company headquartered in Rochester, New York. For more information, visit www.BlueTie.com or call 1.800.BLUE.TIE

For Further Information Contact:

Jennifer Balon, BlueTie, 585.586.2000 x1076, jbalon@BlueTie.com