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Blue Coat Enables Service Providers to Meet Staggering Demand for Web Video with New High Performance CacheFlow Appliance

New Appliance More Than Triples Performance & Capacity, while Delivering Significant Bandwidth Savings & Improved User Experience

DUBAI, United Arab Emirates, September 14, 2011 - Blue Coat Systems, Inc. (Nasdaq: BCSI) today announced its next-generation Blue Coat^® CacheFlow^® 5000 appliance, which delivers a significant leap forward in performance and capacity more than three times greater throughput and cache storage compared to the previous version in the same compact, 4U footprint. The new CacheFlow appliance is available immediately and includes IPv6 support to address the advanced networking requirements of large service provider customers. This dramatic performance improvement comes at a time when the increasing amount of rich Web 2.0 content, especially videos and large files, is severely straining service provider networks, making it challenging to both provide a top quality user experience and contain bandwidth costs.

"Service providers are hard pressed to keep up with their customers' staggering demand for Web video, particularly in countries where international bandwidth is expensive and where much of the popular Internet content is hosted outside the country in which the provider operates," said Melanie Posey, research vice president, Hosting & Managed Network Services, IDC. "Demand for bandwidth--and pressure on service provider networks--will expand exponentially as the growing ranks of Internet users worldwide rely on this medium to deliver more and more of the video they consume. As this happens, service providers will need intelligent, high capacity Web caching to support more localized content delivery, resulting in international bandwidth cost savings, improved traffic management, and better quality of experience for end users."

Globally, online users watched nearly 140 billion videos according to a comScore Video Metrix report from earlier this year. Despite the broad popularity of Web video, today individual online viewing in the U.S. amounts to an average of 22 minutes per week. Over the next ten years, per-person U.S. Web video watching is expected to increase more than five-fold to an average of two hours per day¹.

The initial CacheFlow 5000 appliance, which was released in March 2010, leveraged Blue Coat's 15 years of experience in caching and incorporated a new generation of caching intelligence. This intelligent caching was designed to address the new wave of rich, dynamic Web 2.0 content, which previously had been difficult or impossible to cache. Deployed in nearly 50 service provider networks around the world today, the appliance has achieved on average 40-50% bandwidth savings on general Web traffic, facilitating a rapid return on investment, typically 12 months. In addition, the solution substantially improves user experience, in many cases accelerating download speeds ten-fold for large objects, such as Web video.

This new release of the CacheFlow 5000 appliance adds a significant performance and capacity boost to the intelligent caching of the solution. The additional performance is derived from new 64-bit software and hardware improvements. The new CacheFlow appliance also adds an option for 10GigE Fiber, in addition to existing copper, to support high-speed network interfaces.

One of the key differentiators of the CacheFlow solution is the Blue Coat CachePulse™ cloud service which delivers on-the-fly caching rule and instruction updates to deployed CacheFlow appliances to provide sustained high bandwidth savings. The CachePulse service leverages a complete feedback loop to know how the Web is changing and to identify shifts in how popular sites are delivering content, as well as to include optimizations for new and emerging websites. The CachePulse service has already proven itself invaluable for responding and adapting to changes in popular sites like YouTube, DailyMotion, RapidShare and FileServe when those websites or their techniques for delivering content are modified. CachePulse is included at no additional charge as part of standard support for the CacheFlow appliance.

"The new CacheFlow 5000 appliance represents a tremendous leap in performance for Web content caching and can dramatically improve the service provider's ability to keep up with the unrelenting demand for Web video while changing its economics," said Steve Daheb, chief marketing officer and senior vice president, Blue Coat Systems. "By combining caching intelligence with a new level of platform performance, the CacheFlow appliance will better prepare service providers for massive increases in their subscribers' demand for content."

The new CacheFlow 5000 appliance is available immediately. For existing CacheFlow customers, an in-rack upgrade is commercially available, enabling them to benefit from this additional performance and capacity using their existing systems. For details on pricing for the new CacheFlow 5000 or the upgrade, please content Blue Coat sales.

-Ends-

About Blue Coat Systems
Blue Coat Systems is a leading provider of Web security and WAN optimization solutions. Blue Coat offers solutions that provide the visibility, acceleration and security required to optimize and secure the flow of information to any user, on any network, anywhere. This application intelligence enables enterprises to tightly align network investments with business requirements, speed decision making and secure business applications for long-term competitive advantage. Blue Coat also offers service provider solutions for managed security and WAN optimization, as well as carrier-grade caching solutions to save on bandwidth and enhance the end-user Web experience. For additional information, please visit www.bluecoat.com.

¹data from The Diffusion Group as quoted in NewTeeVee

FORWARD LOOKING STATEMENTS: The statements contained in this press release that are not purely historical are forward-looking statements, including statements regarding Blue Coat Systems' expectations, beliefs, intentions or strategies regarding the future, and including statements regarding the capabilities and expected performance of Blue Coat Systems' products. All forward-looking statements included in this press release are based upon information available to Blue Coat Systems as of the date hereof, and Blue Coat Systems assumes no obligation to update any such forward-looking statements. Forward-looking statements involve risks and uncertainties, which could cause actual results to differ materially from those projected. These and other risks relating to Blue Coat Systems' business are set forth in the Securities and Exchange Commission reports filed by Blue Coat Systems, including but not limited to the risks described in the most recent reports on Form 10-K and Form 10-Q, particularly under the heading "Risk Factors."

Blue Coat, CacheFlow, CachePulse and the Blue Coat logo are registered trademarks or trademarks of Blue Coat Systems, Inc. and/or its affiliates in the United States and certain other countries. All other trademarks mentioned in this document are the property of their respective owners.

For more information, please contact:
Manal Abi Rafeh
Blue Coat Systems ME
Telephone: +971 4 3911620
Fax: +971 4 3911635
Email: manal.abirafeh@Blue Coat.com

Media Contact:
Colin Saldanha
PR Consultant
PROCRE8
Dubai - UAE
GSM: +971 (50) 6400762
Email: colin@procre8.biz

© Press Release 2011