San Diego, CA, November 17, 2008 - CSP Inc. (NASDAQ: CSPI) MultiComputer Division, a leading supplier of rugged embedded clusters, announced at MILCOM 2008, that it is expanding its FastCluster product line with the introduction of chassis utilizing a SprayCool based thermal management solution. Under an agreement with SprayCool (formerly Isothermal Systems Research) of Liberty Lake, Washington, CSPI will integrate its 3000 SERIES payloads into an enclosure with SprayCool’s advanced liquid cooling technology to enable high performance digital signal processing (DSP), SIGINT, and C⁴ISR applications in airborne, shipboard and UAV platforms destined for deployment in extreme environmental conditions.

"Today’s military applications challenge suppliers to deliver maximum processing density in a package that can operate reliably under harsh conditions," said Alexander R. Lupinetti, Chairman, and CEO of CSP Inc. ":Our partnership with SprayCool allows us to meet this challenge head on, delivering field proven capabilities in a system that is lightweight, compact, and capable of unprecedented compute power per cubic foot".

SprayCool technology is currently either fielded or being designed into land platforms such as the Expeditionary Fighting Vehicle (EFV) and the Medium Extended Air Defense System (MEADS), airborne platforms such as U-2 and UAV’s including the Predator, Warrior and Global Hawk. SprayCool’s patented two-phase liquid cooling technology uses a fine mist of non-corrosive, non-conductive liquid, sprayed in a thin layer, which evaporates and cools electronics. The process continuously cycles within a sealed, closed loop system.

"We are very pleased to be working with CSPI." said Matt Gerber, CEO and President of SprayCool. "Combining SprayCool’s thermal management with the FastCluster open architecture delivers a scalable, high performance computing platform to DOD SWaP constrained applications" he added.

Capable of cooling in excess of 500 watts per slot in an unpressurized environment, SprayCool sealed enclosures isolate the electronics from dirty and corrosive environments, while enabling cooler, higher performance, and more durable electronic devices.

"SprayCool’s two-phase liquid cooling approach not only delivers a proven solution to the thermal management of current FastCluster rugged platforms, but additionally addresses the foreseeable increase in heat density associated with our multicore processing roadmap" said Bernard Pelon, Director of Product Research.

About SprayCool

SprayCool (also known as Isothermal Systems Research) is a global leader in the development of next-generation electronics thermal management and environmental isolation enclosure products for DOD and industrial applications, using its patented two-phase cooling technology. The technology provides an efficiently controlled and isolated environment for a broad mix of electronics in a package that is significantly smaller, lighter, and more power and cost efficient, and faster to deploy by the integrator. SprayCool solutions are sourced by a variety of today’s leading prime and system integrators to support some of the most demanding application environments. Founded in 1988, SprayCool is a privately held corporation headquartered in Liberty Lake, WA.

For more information, please visit http://www.spraycool.com

About CSP Inc.

Based in Billerica, Massachusetts, CSP Inc. (NASDAQ: CSPI) and its subsidiaries develop and market IT integration solutions for complex IT environments and high-performance cluster computer systems for commercial, scientific, and defense customers worldwide.

The MultiComputer Division helps its customers solve high-performance computing problems in the defense market by supplying very dense cluster computer systems with powerful real-time I/O capabilities that require minimal physical space or power. These systems are used in a broad array of applications, including radar, sonar and surveillance signal processing.

For more information about CSP Inc., visit http://www.cspi.com or call us at 1 (800) 325-3110.

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CSP Inc. wishes to take advantage of the 'safe harbor' provisions of the Private Securities Litigation Reform Act of 1995 with respect to statements that may be deemed to be forward-looking statements under the Act. Such forward-looking statements may include, but are not limited to, statements regarding the success of the Company and its subsidiary's products and services. The Company caution that numerous factors could cause actual results to differ materially from any forward-looking statements made by the Company. Please refer to the section on forward-looking statements included in the Company's Form 10-K filed with the Securities and Exchange Commission.