Frost & Sullivan Honors Interland for Market Leadership Strategy

2/11/2004

Palo Alto, CA — (Business Wire) — Today, Frost

& Sullivan presents the 2003 Market Leadership Award for Shared

Hosting to Interland (Nasdaq:INLD – News) for its indisputable market

share, superior shared hosting products and the ability to successfully

execute growth strategies in a dynamic industry.

The shared hosting market is one of the more price-competitive

markets in the United States, making it difficult to gain market share

and keep it over time. Atlanta-based Interland, a leading Web hosting

and online services company, is working to change that trend.

Interland’s success in growing its shared hosting market share is due

to its aggressive acquisition strategy over the past two years that

resulted in disparate small and medium sized enterprise (SME) focused

hosting brands being brought into the Interland family. Additional

market share was obtained by purchasing customer accounts from other

hosting providers that exited the SME focused hosting market.

Over the course of 2003, the shared hosting market was the only Web

hosting segment in the U.S. market to record growth, and Interland’s

indisputable market share lead bodes well for the company.

As the shared hosting market stabilizes and settles into a slow but

sustainable revenue growth path, Interland is expected to remain one of

the key players in the shared hosting segment throughout the rest of the

decade. Interland’s focus on sustainable revenue growth earned the

company Frost & Sullivan’s Market Leadership Award.

This honor is given to the company that has exhibited market share

leadership through the implementation of market engineering strategy.

The recipient has displayed excellence in all areas of the Market

Leadership process, including the identification of market challenges,

drivers and restraints, as well as strategy development and methods of

addressing these market dynamics. Furthermore, the recipient has

continually demonstrated solutions for monitoring market changes and for

implementing superior market engineering strategies.

“Interland’s efforts to concentrate on meaningful metrics such as

actual revenues rather than URLs hosted and number of customers served

leads me to believe that management understands a financially viable

business must rely on revenues earned,” said Jarad Carleton, Frost &

Sullivan senior industry analyst. “It has taken the industry years to

realize that measurements such as revenue earned, customer satisfaction,

performance and reliability are what define a successful and

sustainable Web hosting business; fortunately Interland has learned from

its past mistakes and those of competitors in the market. I expect to

see Interland continuing to serve the SME market and raising the hosting

service bar further for years to come.”

About Interland

Interland Inc. is a leading Web hosting and online services company

dedicated to helping small and medium businesses achieve success by

providing the knowledge, services and tools to build, manage and promote

businesses online. Interland offers a wide selection of online

services, including standardized Web hosting, e-commerce, application

hosting and Web site development, marketing and optimization tools. For

more information about Interland, please visit www.interland.com.

About Frost & Sullivan

Founded in 1961, Frost & Sullivan is recognized as a global

leader in growth consulting. Frost & Sullivan Awards are presented

to companies that demonstrate excellence in their industry, commending

the diligence, commitment and innovative business strategies required to

advance in the global marketplace. Frost & Sullivan rigorously

analyzes specific criteria to determine award recipients in a vast

variety of market industries and landscapes. For further information,

visit www.awards.frost.com.