Phoenix Technologies Ltd., the global leader in core systems software (CSS), today announced that HP has agreed to purchase the assets related to Phoenix's HyperSpace, HyperCore and Phoenix Flip instant-on and client virtualization products. The consideration for the transaction is $12 million in cash and the closing is expected to occur in June 2010. This transaction is another example of Phoenix implementing its strategic decision to focus on the core systems software (BIOS) market, in which the Company has a long established leadership position.

"We are very pleased that HP has agreed to acquire these assets relating to Phoenix's HyperSpace, given HP's rich history of innovation and product differentiation," said Tom Lacey, President and CEO of Phoenix.

In January 2010, Phoenix announced that it would restore its strategic focus on its CSS business where it remains the global industry leader. To better align its resources with this strategy, in April 2010, Phoenix sold its FailSafe and Freeze assets. Divesting other non-core assets including Hyperspace and eSupport are among the Company's plans to further reduce expenses associated with non-core products. Phoenix continues to enhance its CSS technology and has already launched its SecureCore Tiano 2.0 BIOS product designed to drive future growth and market share gains as the Company executes on its BIOS-focused strategy.