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IceWEB Makes Significant Strides in State and Local Government Sectors

IceWEB Inc.™ (OTC:IWEB), a leading provider of Unified Data Storage appliances for cloud and virtual environments, today announced that the Company is making significant strides in consummating sales of its product lines throughout the U.S.

IceWEB recently consummated sales in the state and local government arenas in the states of Utah, Texas, Virginia and South Carolina.

“Our marketing and sales efforts are resulting in national awareness of IceWEB’s value proposition. Recent sales in these key states demonstrate that IceWEB is on the map and gaining momentum, especially in state and local governments. We see this pattern expanding as we continue to implement the strategies of our new model,” stated Rob Howe, CEO.

About IceWEB

IceWEB manufactures award-winning, high performance unified data storage appliances with enterprise storage management capabilities at a fraction of the price of traditional providers, while reducing space, power and cooling requirements and simplifying storage management for land-based, virtual and cloud environments. For more information please call 800-465-4637 or visit www.IceWEB.com. To become part of the Company's e-mail list for industry updates and press releases, please send an e-mail to ir@iceweb.com.

This press release may contain forward-looking statements, which are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. In some cases you can identify those so-called "forward looking statements" by words such as "may," "will," "should," "expects," "plans," "targets," "believes," "anticipates," "estimates," "predicts," "potential," or "continue" or the negative of those words and other comparable words. These forward looking statements are subject to risks and uncertainties, product tests, commercialization risks, availability of financing and results of financing efforts that could cause actual results to differ materially from historical results or those anticipated. Further information regarding these and other risks is described from time to time in the Company's filings with the SEC, which are available on its website at: http://www.sec.gov. We assume no obligation to update or alter our forward-looking statements made in this release or in any periodic report filed by us under the Securities Exchange Act of 1934, as amended, or any other document, whether as a result of new information, future events or otherwise, except as otherwise required by applicable federal securities laws.

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