ArcSight Launches Distribution with Alternative Technology

ArcSight Continues to Put Emphasis on the Channel; The Nation's Leading Security and Network Management Distributor to Sell ArcSight's Product Line to its Extensive Network of Resellers

CUPERTINO, Calif. - July 17, 2007 - ArcSight, Inc., a leader in Enterprise Security and Compliance Management solutions, today announced that it has signed a distribution agreement with Alternative Technology Inc., the leading specialty distributor of thin-client/server-based computing, edge infrastructure, virtualization, and government-approved security solutions. As part of the agreement, Alternative Technology will distribute ArcSight's product line including ArcSight ESM, ArcSight Logger, ArcSight TRM and ArcSight NCM to its network of resellers in Canada and the United States.

With this agreement, ArcSight is taking a significant leap in the channel by expanding its reseller base to Alternative Technology's network of resellers in Canada and the United States. The news comes on the heels of ArcSight's channel program expansion, with a formal initiative to provide new benefits to channel partners. The ArcSight Connections Partner Program, which was launched in March 2007, was designed to help channel partners resell ArcSight's full range of security, compliance and networking solutions, enabling them to help their clients identify, prioritize and respond to security threats and network changes, and comply with regulatory requirements.

"ArcSight's distribution agreement with Alternative Technology enables them to expand their reseller base significantly and deliver solutions to a broader range of security and network integration-focused resellers," said Leslie Rosenberg, research manager, Network Channels and Alliances at IDC. "ArcSight is primarily known for its direct sales model, which has seen growth over the years. This agreement allows ArcSight to leverage the skills of a new set of security focused resellers as well as efficiencies of distribution. The results of this agreement will allow ArcSight to experience a significant increase in sales."

ArcSight has joined an elite group of vendors in Alternative Technology's portfolio, including SonicWall, Blue Coat, Secure Computing, Fortinet, Citrix and VMware. Alternative Technology is known for their security and compliance expertise and this relationship is very attractive to resellers who have a PCI Compliance practice because ArcSight ESM, ArcSight Logger and ArcSight NCM are uniquely positioned for the PCI Compliance market. ArcSight helps customers efficiently collect, monitor and manage all log data by detecting and alerting on network device and system configuration and rule changes, or if policy violations have occurred within widely distributed IT environments.

"Alternative Technology's resellers understand the market need and opportunity for security and compliance management solutions," said Bill Botti, President and COO, Alternative Technology. "ArcSight is a leader in the SIEM market and offers best-in-class solutions that are complementary to Alternative Technology's current set of solutions. We are extremely excited to be working with ArcSight and look forward to a long and mutually beneficial relationship."

"The channel is a very important strategic initiative for ArcSight," said Tom Reilly, COO, ArcSight. "This distribution agreement with Alternative Technology and our recent expansion of the Connections Partner Program is evidence that ArcSight understands the value of the channel in our plans for significant growth. Having access to Alternative Technology's thousands of resellers will only help ArcSight recruit the very best partners to our program."

ArcSight recently released its first security and networking solutions in an appliance form-factor, and is now offering channel partners access to a family of security and network solutions that enable their clients to automate and gain actionable intelligence from security and compliance processes, network response and configuration management. ArcSight's flagship platform, ArcSight ESM, along with its log management appliance, ArcSight Logger, ArcSight TRM, and ArcSight NCM appliances enable channel partners to help clients address multiple challenges.

About ArcSight
ArcSight is a leading provider of security and compliance management software solutions that intelligently mitigate business risk for enterprises, MSSPs and government agencies. ArcSight's ESM platform delivers a centralized, real-time view of disparate events across geographically dispersed and heterogeneous business and technology infrastructures. ArcSight also provides complementary software that delivers pre-packaged solutions tailored to specific security and compliance initiatives, as well as appliances that streamline threat response, event log archiving and network configuration. This real-time and historic view of business risk as it applies to external security, insider threats and compliance breaches provides customers with the intelligence required to effectively protect their business.

ArcSight, the ArcSight logo, ArcSight Logger, ArcSight TRM and ArcSight NCM are trademarks of ArcSight, Inc.

About Alternative Technology
Alternative Technology is the leading specialty distributor for Value Added Resellers who need products and services targeted at thin-client/server-based computing, edge infrastructure, virtualization, security, and wireless markets. Driving the widespread adoption of leading edge technologies by bridging the gaps between products and services to solve critical business problems, Alternative identifies business issues that are key to our markets and offer multi-vendor solutions that drive demand back through our reseller partners. Alternative Technology, headquartered in Englewood, Colorado, has offices in Ft. Lauderdale, Florida, Carlsbad, California, and Mississauga, Canada. Alternative Technology is a wholly owned subsidiary of Arrow Enterprise Computing Solutions, which is a business unit of Arrow Electronics, Inc. [NYSE: ARW]. For more information, go to: www.AltTech.com, e-mail: sales@AltTech.com or call toll-free: 800.544.7674 (USA), or 866.240.9991 (Canada).

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Contact Information:

Ashiya N. Smith
Horn Group for ArcSight
646-588-0583
asmith@horngroup.com

Mark Rieger
Stanton & Associates Marketing & Public Relations for Alternative Technology
303-520-4524
mrieger@stantonpr.com