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                                                                  EXHIBIT 99.3



                             DOT HILL SYSTEMS CORP.
                            STOCK OPTION GRANT NOTICE
                 2000 AMENDED AND RESTATED EQUITY INCENTIVE PLAN


DOT HILL SYSTEMS CORP. (the "COMPANY"), pursuant to its 2000 AMENDED AND
RESTATED EQUITY INCENTIVE PLAN (the "PLAN"), hereby grants to Optionholder an
option to purchase the number of shares of the Company's Common Stock set
forth below. This option is subject to all of the terms and conditions as set
forth herein and in the Stock Option Agreement, the Plan and the Notice of
Exercise, all of which are attached hereto and incorporated herein in their
entirety.

Optionholder:                       ------------------------------------------

Date of Grant:                      ------------------------------------------

Vesting Commencement Date:          ------------------------------------------

Number of Shares Subject to Option: ------------------------------------------

Exercise Price (Per Share):         ------------------------------------------

Total Exercise Price:               ------------------------------------------

Expiration Date:                    ------------------------------------------

TYPE OF GRANT:     |_| Incentive Stock Option(1)   |_| Nonstatutory Stock Option

EXERCISE SCHEDULE: |_| Same as Vesting Schedule

VESTING SCHEDULE:  [1/4th  of the shares vest one year after the Vesting
                   Commencement Date. 1/48th of the shares vest monthly
                   thereafter over the next three years.]

PAYMENT:           By one or a combination of the following items (described
                   in the Stock Option Agreement):

                            By cash or check
                            Pursuant to a  Regulation T Program if the Shares
                            are publicly traded
                            By delivery of already-owned shares if the Shares
                            are publicly traded

ADDITIONAL TERMS/ACKNOWLEDGEMENTS: The undersigned Optionholder acknowledges
receipt of, and understands and agrees to, this Stock Option Grant Notice,
the Stock Option Agreement and the Plan. Optionholder further acknowledges
that as of the Date of Grant, this Stock Option Grant Notice, the Stock
Option Agreement and the Plan set forth the entire understanding between
Optionholder and the Company regarding the acquisition of stock in the
Company and supersede all prior oral and written agreements on that subject
with the exception of (i) options previously granted and delivered to
Optionholder under the Plan, and (ii) the following agreements only:

-------------------------------
(1) An incentive stock option (plus your other outstanding incentive stock
    options) cannot be first EXERCISABLE for more than $100,000 in any calendar
    year. Any excess over $100,000 is a nonstatutory stock option.

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DOT HILL SYSTEMS CORP.                     OPTIONHOLDER:

By:
    ----------------------------           ----------------------------------
           Signature                                  Signature

Title:                                     Date:
    ----------------------------                 ----------------------------

Date:
      --------------------------

ATTACHMENTS: I.   Stock Option Agreement
             II.  Dot Hill Systems Corp. 2000 Amended and Restated Equity
                  Incentive Plan, and
             III. Notice of Exercise


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                                  ATTACHMENT I


                             STOCK OPTION AGREEMENT




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                                  ATTACHMENT II


                             DOT HILL SYSTEMS CORP.

                 2000 AMENDED AND RESTATED EQUITY INCENTIVE PLAN




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                                 ATTACHMENT III


                               NOTICE OF EXERCISE