(Web Hosting News) Hostopia.com, Inc. (TSX: H), announced today its signing of a definitive agreement to purchase the customer assets of New Jersey-based hosting services provider, Luxmovera, LLC, operating as uplinkearth. Uplinkearth accepted the all-cash offer on Friday, April 25th. The companies plan to migrate all users of record from uplinkearth’s data center facility to Hostopia’s unified web services platform by June 30, 2008.Colin Campbell, Hostopia’s CEO, comments, “We are very pleased to have concluded this agreement with uplinkearth. They have approximately 12,500 small business subscribers, which we feel are very compatible with the Hostopia web services platform. Our strategy will be to migrate all users and present them with many upgraded features and services. Over time, we will expect additional value-added services to be a logical upgrade path for many of these small businesses.” Campbell continued, “Hostopia’s main focus is private-labeled, wholesale outsourced web services that we sell to Telco’s and broadband providers. Acquisitions such as uplinkearth complement our organic growth plan by adding end-users to our unified platform and giving us revenue-per-user opportunities through the many additional value-added services we offer, such as fax-to-email and collaborative email with wireless mobility synchronization.”

Uplinkearth co-founder and President, Michael Yablonowitz, said, “My partners and I have built a very successful hosting services business over the years. We are experiencing increased demand for new services from our customers which can drive opportunity for our business to grow. We decided the market timing was ideal to transfer our user base over to a highly capable provider in the hosting and SaaS arena – one who can deliver the high-demand services our users need. Hostopia’s proven credentials and track record in migrating large numbers of hosted business customers made them the ideal choice as our chosen buyer. We think our users will eagerly respond to the many new upgrades and value-added services Hostopia plans to offer them.”

The companies indicated that all users shall continue to be served under the familiar brand of uplinkearth, which will operate as a managed service by Hostopia.

About Hostopia
Hostopia is a leading provider of web services that enable small- and medium-sized businesses to establish and maintain an Internet presence. The company’s customers are communication services providers, including telecommunication carriers, cable companies, Internet service providers, domain registrars, and web hosting service providers. Hostopia’s customers purchase their web services on a wholesale basis and resell these services under their own brands to small- and medium-sized businesses. The company provides customers with the technology, infrastructure, and support services to enable them to offer web services, while saving them research and development as well as capital and operating costs typically associated with the design, development, and delivery of web services.  Nexthaus, Hostopia’s wireless mobility technology unit, is a global leader in data and device synchronization and has developed industry-recognized SyncML solutions that feature wireless interoperability between PC’s, handheld devices and mobile phones.  For more information, visit www.hostopia.com and www.nexthaus.com.