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Nexthaus releases the world’s first iPhone application capable of wirelessly synchronizing contacts,
calendars and notes

MISSISSAUGA, ON, and FT. LAUDERDALE, FL — December 21, 2007 — Nexthaus, the wireless mobility application unit of Hostopia.com, Inc. (TSX: H), announced the release of their new beta SyncJe client software for the iPhone. The application will be available for download on Wednesday, December 26th, and for the first 14 days of availability, the client software will be free of charge to all new users. Thereafter, users can download SyncJe for iPhone at the suggested retail list price of US $39.99. SyncJe for iPhone is the latest addition to the Nexthaus product line joining earlier releases that include SyncJe clients for Blackberry, Outlook, Outlook Express, and Lotus Notes.

With Nexthaus' SyncJe for iPhone, users can wirelessly synchronize data between their iPhone, computer(s) and email applications. SyncJe installs directly onto the iPhone, enabling centrally stored Personal Information Management (PIM) data to be exchanged, wirelessly. Users can sync their contacts, calendars and notes free from any device cradles or wires and can also set an automatic synchronization scheduler. SyncJe is compatible with any SyncML server and comes with one year of maintenance and support.

Colin Campbell, CEO of Hostopia commented, “SyncJe for iPhone offers experienced users the latest productivity features to enhance their iPhone experience. We believe that wireless synchronization of PIM data, across multiple devices and platforms, is becoming a standard user expectation, not only for iPhone, but for all mobility devices”.

Mr. Campbell added, “SyncJe for iPhone synchronizes more than just contacts, also handling calendar data and notes. It is fully tested and supported by Nexthaus, assuring users that the application operates to their full expectations. And like all Nexthaus applications, users receive 24/7 support, free of charge, for the first year.”

Use of this SyncJe product requires the ability to install third party applications on your iPhone using the Installer software. (IMPORTANT NOTE: Installing external applications on an iPhone may void one or more warranties and should only be performed by experienced, knowledgeable users. Nexthaus is not responsible for anything that happens to your iPhone as a result of this application i.e. proceed at your own risk.)

For more information visit www.nexthaus.com/iPhone, email info@nexthaus.com or call 1.877.790.1230.

About Hostopia
Nexthaus 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. 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. For more information, visit www.nexthaus.com.

Forward-Looking Information
This press release includes certain "forward-looking statements" and forward-looking information that are subject to risks, uncertainties and other factors that could cause actual results or outcomes to differ materially from those contemplated by the forward-looking statements. These forward-looking statements and forward-looking information include, but are not limited to, plans, objectives, expectations and intentions and other statements contained in this press release that are not historical facts and statements identified by words such as "expects," "anticipates," "intends," "plans," "believes," "seeks," "estimates" or words of similar meaning. Our actual results could differ materially from those anticipated in these forward-looking statements and forward-looking information upon completion of the review of our year end results by our independent registered public accounting firm. These statements are based on our current beliefs or expectations and there are a number of important factors that could cause the actual results or outcomes to differ materially from those indicated by these forward-looking statements, including without limitation, our ability to maintain our sales efficiency, our ability to maintain our existing, and develop new, strategic relationships, the number of our net subscriber additions, our monthly customer turnover and our ability to successfully integrate recently acquired businesses and operations and those risks set forth or referenced under the caption "Risk Factors" in Hostopia's Quarterly Report on Form 10-Q for the quarter ended June 30, 2007, as filed with the Securities and Exchange Commission. These filings are available on a website maintained by the Securities and Exchange Commission at www.sec.gov and on our corporate website www.hostopia.com under Investor Relations.

For More Information

Brookes Shean
Marketing - Products
Hostopia.com Inc.
Tel.: (866) 467-8674 ext. 6867
Email: marketing@hostopia.com

Gordie Campbell
Investor Relations
Hostopia.com Inc.
Tel: (877) 444-4116
Email: invest@hostopia.com

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