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                                                                   EXHIBIT 10.52

THE SECURITIES REPRESENTED HEREBY HAVE BEEN ACQUIRED FOR INVESTMENT AND HAVE NOT
BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED. SUCH SECURITIES
AND ANY SECURITIES OR SHARES ISSUED HEREUNDER OR THEREUNDER MAY NOT BE SOLD OR
TRANSFERRED IN THE ABSENCE OF SUCH REGISTRATION OR AN EXEMPTION THEREFROM UNDER
SAID ACT (INCLUDING WITHOUT LIMITATION RULE 144 PROMULGATED UNDER THE SECURITIES
EXCHANGE ACT OF 1934, AS AMENDED). COPIES OF THE AGREEMENT COVERING THE PURCHASE
OF THESE SECURITIES AND RESTRICTING THEIR TRANSFER OR SALE MAY BE OBTAINED AT NO
COST BY WRITTEN REQUEST MADE BY THE HOLDER OF RECORD HEREOF TO THE SECRETARY OF
THE COMPANY AT THE PRINCIPAL EXECUTIVE OFFICES OF THE COMPANY.

No. W-01A      Warrant to Purchase 190,678 of Shares of Common Stock

                        WARRANT TO PURCHASE COMMON STOCK

                                       OF

                           MTI TECHNOLOGY CORPORATION
                     VOID AFTER THE WARRANT EXPIRATION DATE

Warrant Issue Date: January 11, 2002
Warrant Expiration Date: the fifth anniversary of the Warrant Issue Date

        This certifies that, for value received, SILICON VALLEY BANK, or
registered assigns (the "Holder"), is entitled, subject to the terms set forth
below, to purchase from MTI Technology Corporation (the "Company"), a
corporation organized under the laws of the State of Delaware, 190,678 shares of
the Common Stock of the Company, $.001 value per share (the "Common Stock"), as
constituted on the Warrant Issue Date, upon surrender hereof, at the principal
office of the Company referred to below, with the subscription form attached
hereto duly executed, and simultaneous payment therefor in lawful money of the
United States or otherwise as hereinafter provided, at the Exercise Price as set
forth in Section 2 below. The number, character and Exercise Price of such
shares of Common Stock are subject to adjustment as provided below. The term
"Warrant" as used herein shall include this Warrant, and any warrants delivered
in substitution or exchange therefor as provided herein.

        1. Term of Warrant. Subject to the terms and conditions set forth
herein, this Warrant shall be exercisable, in whole or in part, beginning on the
Warrant Issue Date and ending at 5:00 p.m., Pacific standard time, on the
Warrant Expiration Date, and shall be void after the Warrant Expiration Date.

        2. Exercise Price. The Exercise Price at which this Warrant may be
exercised shall be $2.36 per share of Common Stock (which is the closing price
of the Shares reported for October 29, 2001 - i.e., the date of the Loan and
Security Agreement between the Company and Holder), as adjusted from time to
time pursuant to Section 11 hereof.

        3. Exercise of Warrant.

        (a) The purchase rights represented by this Warrant are exercisable by
the Holder in whole or in part, but not for less than one thousand (1,000)
shares at any time (unless there are less than

SVB/MTI Technology/MTI Warrant-4

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one thousand (1,000) shares remaining to be exercised at such time), or from
time to time during the term hereof as described in Section 1 above, by the
surrender of this Warrant and the Notice of Exercise annexed hereto as Exhibit
"A" duly completed and executed on behalf of the Holder, at the office of the
Company (or such other office or agency of the Company as it may designate by
notice in writing to the Holder at the address of the Holder appearing on the
books of the Company), upon payment by Holder to the Company of an amount equal
to the aggregate Exercise Price of the shares to be purchased, which amount
shall be payable by Holder pursuant to one of the following methods of payment
(such method to be at the Holder's election): (i) in cash or by check acceptable
to the Company; or (ii) by cancellation by the Holder of indebtedness of the
Company to the Holder; or (iii) by net issue exercise pursuant to Section 3(c);
or (iv) by a combination of (i), and/or (ii) and/or (iii) above in such a
combined amount equal to the aggregate Exercise Price of the shares to be
purchased.

        (b) This Warrant shall be deemed to have been exercised immediately
prior to the close of business on the date of its surrender for exercise as
provided above, and the person entitled to receive the shares of Common Stock
issuable upon such exercise shall be treated for all purposes as the holder of
record of such shares as of the close of business on such date. As promptly as
practicable on or after such date and in any event within ten (10) days
thereafter, the Company at its expense shall issue and deliver to the person or
persons entitled to receive the same a certificate or certificates for the
number of shares issuable upon such exercise. In the event that this Warrant is
exercised in part, the Company at its expense will execute and deliver a new
Warrant of like tenor exercisable for the number of shares for which this
Warrant may then be exercised.

        (c) Net Issue Exercise. In lieu of paying the aggregate Exercise Price
for the Common Stock by one of the payment methods specified in Section 3(a)
above, the Holder may elect to receive shares of Common Stock equal to the value
of this Warrant (or the portion thereof being canceled) by surrender of this
Warrant at the principal office of the Company together with the Notice of
Exercise indicating such election, in which event the Company shall issue to the
Holder a number of shares of the Company's Common Stock computed (as of the
trading day immediately prior to the date that Holder delivers its Notice of
Exercise to Company) using the following formula:

                                   Y(A-B)
                               X = ------
                                     A

Where X = the number of shares of Common Stock to be issued to Holder.

      Y = the number of shares of Common Stock purchasable under this
          Warrant or, if only a portion of this Warrant is being exercised,
          the portion of the Warrant being canceled.

      A = the fair market value of one share of the Company's Common Stock.

      B = Exercise Price of one share of the Company's Common Stock.

        For the purposes of the above calculation, the fair market value of the
Common Stock shall mean with respect to each share of Common Stock:

                (i) the average of the closing bid and asked prices of the
Company's Common Stock quoted in the Over-The-Counter Market Summary or the
closing price quoted on the Nasdaq National Market or any exchange on which the
Common Stock is listed, whichever is applicable, as

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published in the Western Edition of The Wall Street Journal for the trading day
immediately prior to the date of determination of fair market value; or

                (ii) if the Company's Common Stock is not traded
Over-The-Counter or on an exchange, fair market value of each share of the
Common Stock shall be determined in good faith by the Company's Board of
Directors. Receipt and acknowledgment of this Warrant by the Holder shall be
deemed to be an acknowledgment and acceptance of any such fair market value
determination by the Company's Board of Directors as the final and binding
determination of such value for purposes of this Section 3(c).

        4. No Fractional Shares or Scrip. No fractional shares or scrip
representing fractional shares shall be issued upon the exercise of this
Warrant. In lieu of any fractional share to which the Holder would otherwise be
entitled, the Company shall make a cash payment equal to the Exercise Price
multiplied by such fraction.

        5. Replacement of Warrant. On receipt of evidence reasonably
satisfactory to the Company of the loss, theft, destruction or mutilation of
this Warrant and, in the case of loss, theft or destruction, on delivery of an
indemnity agreement reasonably satisfactory in form and substance to the Company
or, in the case of mutilation, on surrender and cancellation of this Warrant,
the Company at its expense shall execute and deliver, in lieu of this Warrant, a
new warrant of like tenor and amount.

        6. Rights of Stockholders. Subject to Sections 9 and 11 of this Warrant,
the Holder shall not be entitled to vote or receive dividends or be deemed the
holder of Common Stock or any other securities of the Company that may at any
time be issuable on the exercise hereof for any purpose, nor shall anything
contained herein be construed to confer upon the Holder, as such, any of the
rights of a stockholder of the Company or any right to vote for the election of
directors or upon any matter submitted to stockholders at any meeting thereof,
or to give or withhold consent to any corporate action (whether upon any
recapitalization, issuance of stock, reclassification of stock, change of par
value, or change of stock to no par value, consolidation, merger, conveyance, or
otherwise) or to receive notice of meetings, or to receive dividends or
otherwise until the Warrant shall have been exercised as provided herein.

        7. Transfer of Warrant.

                (a) The Company will maintain a register (the "Warrant
Register") containing the names and addresses of the Holder and its transferees.
Any Holder of this Warrant or any portion thereof may change his address as
shown on the Warrant Register by written notice to the Company requesting such
change. Any notice or written communication required or permitted to be given to
the Holder may be delivered or given by mail to such Holder as shown on the
Warrant Register and at the address shown on the Warrant Register. Until this
Warrant is transferred on the Warrant Register of the Company, the Company may
treat the Holder as shown on the Warrant Register as the absolute owner of this
Warrant for all purposes, notwithstanding any notice to the contrary.

                (b) The Company may, by written notice to the Holder, appoint an
agent for the purpose of maintaining the Warrant Register referred to in Section
7(a) above, issuing the Common Stock or other securities then issuable upon the
exercise of this Warrant, exchanging this Warrant, replacing this Warrant, or
any or all of the foregoing. Thereafter, any such registration, issuance,
exchange, or replacement, as the case may be, shall be made at the office of
such agent.

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                (c) This Warrant may not be transferred or assigned in whole or
in part without compliance with all applicable federal and state securities laws
by the transferor and the transferee (including the delivery of investment
representation letters in form and substance substantially similar to that set
forth in Section 7(e) below, and, if this Warrant is sold, transferred, pledged
or hypothecated in whole or in part, the delivery of legal opinions reasonably
satisfactory to the Company and its counsel, if such are reasonably requested by
the Company; provided, however, that the Company shall not require Holder to
provide an opinion of counsel if the transfer is to an affiliate of Holder or if
there is no material question as to the availability of current information as
referenced in Rule 144(c), Holder represents in reasonable detail that it has
complied with Rule 144(d) and (e), and the selling broker represents that it has
complied with Rule 144(f), and the Company is provided with a copy of Holder's
notice of proposed sale.). Subject to the provisions of this Warrant with
respect to compliance with the Securities Act of 1933, as amended (the "Act"),
title to this Warrant may be transferred by endorsement (by Holder executing an
assignment form substantially similar to the form attached hereto as Exhibit "B"
(the "Assignment Form")) and delivery in the same manner as a negotiable
instrument transferable by endorsement and delivery.

                (d) On surrender of this Warrant for exchange, properly endorsed
on the Assignment Form and subject to the provisions of this Warrant with
respect to compliance with the Act and with the limitations on assignments and
transfers and contained in this Section 7, the Company at its expense shall
issue to or on the order of the Holder a new warrant or warrants of like tenor,
in the name of the Holder or as the Holder (on payment by the Holder of any
applicable transfer taxes) may direct, for the number of shares issuable upon
exercise hereof.

                (e) Compliance with securities laws; Holder representations:

                        (i) The Holder of this Warrant, by acceptance hereof,
acknowledges that, except for transfers to affiliates of Holder, this Warrant
and the shares of Common Stock to be issued upon exercise hereof, if the
issuance or resale thereof is unregistered under the Act, are being acquired
solely for the Holder's own account and not as a nominee for any other party,
and for investment. Upon exercise of this Warrant, the Holder shall, if
requested by the Company, confirm in writing, in form and substance
substantially similar to that set forth in this Section 7(e), that Holder has
such investment intent as is required under the Act.

                        (ii) The Holder represents and warrants that (i) it is
an "accredited investor" within the meaning of Rule 501 promulgated under the
Act, and (ii) that it has such knowledge and experience in financial and
business matters as to be capable of evaluating the merits and risks of its
investment in the Warrant and the shares of Common Stock to be issued upon the
exercise of the Warrant and has the ability to bear the economic risks of its
investment in the Warrant and the shares of Common Stock to be issued upon the
exercise of the Warrant.

                        (iii) This Warrant and all shares of Common Stock issued
upon exercise hereof that are not registered under the Act shall be stamped or
imprinted with a legend in substantially the following form (in addition to any
legend required by state securities laws):

        THE SECURITIES REPRESENTED HEREBY HAVE BEEN ACQUIRED FOR INVESTMENT AND
        HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED.
        SUCH SECURITIES AND ANY SECURITIES OR SHARES ISSUED HEREUNDER OR
        THEREUNDER MAY NOT BE SOLD OR TRANSFERRED IN THE ABSENCE OF SUCH
        REGISTRATION OR AN EXEMPTION THEREFROM UNDER SAID ACT (INCLUDING WITHOUT
        LIMITATION RULE 144 PROMULGATED UNDER THE

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        SECURITIES EXCHANGE ACT OF 1934, AS AMENDED). COPIES OF THE AGREEMENT
        COVERING THE PURCHASE OF THESE SECURITIES AND RESTRICTING THEIR TRANSFER
        OR SALE MAY BE OBTAINED AT NO COST BY WRITTEN REQUEST MADE BY THE HOLDER
        OF RECORD HEREOF TO THE SECRETARY OF THE COMPANY AT THE PRINCIPAL
        EXECUTIVE OFFICES OF THE COMPANY.

                (iv) Upon receipt by Holder of the executed Warrant, Holder will
transfer all or part of this Warrant or the shares issuable upon exercise of
this Warrant to Silicon Valley Bancshares, Holder's parent company, subject to
the provisions of this Section 7. In addition, subject to the provisions of this
Section 7, Holder or Silicon Valley Bancshares (if applicable) may transfer all
or part of this Warrant or the shares issuable upon exercise of this Warrant to
The Silicon Valley Bank Foundation, or to any affiliate of Holder, or to any
other transferee, by giving the Company notice of the portion of the Warrant
being transferred with the name, address and taxpayer identification number of
the transferee and surrendering this Warrant to the Company for reissuance to
the transferee(s) (and Holder if applicable).

        8. Reservation of Stock. The Company covenants that during the period
this Warrant is exercisable, the Company will reserve and keep available from
its authorized and unissued Common Stock a sufficient number of shares to
provide for the issuance of all Common Stock issuable upon the exercise of this
Warrant and, from time to time, will take all steps necessary to amend its
Certificate of Incorporation (the "Certificate") to provide sufficient reserves
of shares of Common Stock issuable upon exercise of this Warrant. The Company
further covenants that all shares that may be issued upon the exercise of rights
represented by this Warrant and payment of the Exercise Price, all as set forth
herein, will be duly and validly issued and fully paid and nonassessable, not
subject to preemptive rights, free from all taxes, liens and charges in respect
of the issue thereof (other than taxes in respect of any transfer occurring
contemporaneously or otherwise specified herein). The Company agrees that its
issuance of this Warrant shall constitute full authority to its officers who are
charged with the duty of executing stock certificates to execute and issue the
necessary certificates for shares of Common Stock upon the exercise of this
Warrant.

        Before taking any action which would cause an adjustment reducing the
current Exercise Price below the then par value, if any, of the shares of Common
Stock issuable upon exercise of this Warrant, the Company shall take any
corporate action which may be necessary in order that the Company may validly
and legally issue fully paid and nonassessable shares of such Common Stock at
such adjusted Exercise Price.

        Before taking any action which would result in an adjustment in the
number of shares of Common Stock for which this Warrant is exercisable or in the
current Exercise Price, the Company shall obtain all such authorizations or
exemptions thereof, or consents thereto, as may be necessary from any public
regulatory body or bodies having jurisdiction thereof.

        9. Notices.

                (a) Whenever the Exercise Price or number of shares purchasable
hereunder shall be adjusted pursuant to Section 11 hereof, the Company shall
issue a certificate signed by its Chief Financial Officer setting forth, in
reasonable detail, the event requiring the adjustment, the amount of the
adjustment, the method by which such adjustment was calculated, and the Exercise
Price and number of shares purchasable hereunder after giving effect to such
adjustment, and shall cause a copy of such certificate to be mailed (by
first-class mail, postage prepaid) to the Holder of this Warrant.

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                (b) In case:

                        (i) the Company shall take a record of the holders of
                its Common Stock for the purpose of entitling them to receive
                any dividend or other distribution, or any right to subscribe
                for or purchase any shares of stock of any class or any other
                securities, or to receive any other right, or

                        (ii) of any capital reorganization of the Company, any
                reclassification of the capital stock of the Company, any
                consolidation or merger of the Company with or into another
                corporation, or any conveyance of all or substantially all of
                the assets of the Company to another corporation, or

                        (iii) of any voluntary or involuntary dissolution,
                liquidation or winding-up of the Company,

then, and in each such case, the Company will mail or cause to be mailed to the
Holder a notice specifying, as the case may be, (A) the date on which a record
is to be taken for the purpose of such dividend, distribution or right, and
stating the amount and character of such dividend, distribution or right, or (B)
the date on which such reorganization, reclassification, consolidation, merger,
conveyance, dissolution, liquidation or winding-up is to take place, and the
time, if any is to be fixed, as of which the holder of record of Common Stock
(or such stock or securities at the time receivable upon the exercise of this
Warrant) shall be entitled to exchange their shares (or such other stock or
securities) for securities or other property deliverable upon such
reorganization, reclassification, consolidation, merger, conveyance,
dissolution, liquidation or winding-up. Such notice shall be mailed at least
fifteen (15) days prior to the date therein specified.

                (c) All such notices, advices and communications shall be deemed
to have been received (i) in the case of personal delivery, on the date of such
delivery, and (ii) in the case of mailing, on the third business day following
the date of such mailing.

        10. Amendments.

                (a) Any term of this Warrant may be amended with the written
consent of the Company and the Holder. Any amendment effected in accordance with
this Section 10 shall be binding upon the Holder, each future holder of all
rights pursuant to this Warrant, and the Company.

                (b) No waivers of, or exceptions to, any term, condition or
provision of this Warrant, in any one or more instances, shall be deemed to be,
or construed as, a further or continuing waiver of any such term, condition or
provision.

        11. Adjustments. The Exercise Price and the number of shares of Common
Stock purchasable hereunder are subject to adjustment from time to time as
follows:

                (a) If at any time while this Warrant, or any portion thereof,
is outstanding and unexpired there shall be (i) a reorganization (other than a
combination, reclassification, exchange or subdivision of shares otherwise
provided for herein), (ii) a merger or consolidation of the Company with or into
another corporation in which the Company is not the surviving entity, or a
reverse triangular merger in which the Company is the surviving entity but the
shares of the Company's capital stock outstanding immediately prior to the
merger are converted by virtue of the merger into other property, whether in the
form of securities, cash, or otherwise, (iii) an offering of Common Stock or any
other

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securities pro rata among the shareholders, or (iv) a sale or transfer of the
Company's properties and assets as, or substantially as, an entirety to any
other person, then, as a part of such reorganization, merger, consolidation,
sale or transfer, lawful provision shall be made so that the Holder of this
Warrant shall thereafter be entitled to receive upon exercise of this Warrant,
during the period specified herein and upon payment of the Exercise Price then
in effect, the number of shares of stock or other securities or property of the
successor corporation resulting from such reorganization, merger, consolidation,
sale or transfer that a Holder of the shares deliverable upon exercise of this
Warrant would have been entitled to receive in such reorganization,
consolidation, merger, sale or transfer if this Warrant had been exercised
immediately before such reorganization, merger, consolidation, sale or transfer,
all subject to further adjustment as provided in this Section 11. The foregoing
provisions of this Section 11(a) shall similarly apply to successive
reorganizations, consolidations, mergers, sales and transfers and to the stock
or securities of any other corporation that are at the time receivable upon the
exercise of this Warrant. If the per-share consideration payable to the Holder
hereof for shares in connection with any such transaction is in a form other
than cash or marketable securities, then the value of such consideration shall
be determined in good faith by the independent members of the Company's Board of
Directors. In all events, appropriate adjustment (as determined in good faith by
the independent members of the Company's Board of Directors) shall be made in
the application of the provisions of this Warrant with respect to the rights and
interests of the Holder after the transaction, to the end that the provisions of
this Warrant shall be applicable after that event, as near as reasonably may be,
in relation to any shares or other property deliverable after that event upon
exercise of this Warrant.

                (b) If the Company, at any time while this Warrant, or any
portion thereof, remains outstanding and unexpired, by reclassification of
securities or otherwise, shall change any of the securities as to which purchase
rights under this Warrant exist into the same or a different number of
securities of any other class or classes, this Warrant shall thereafter
represent the right to acquire such number and kind of securities as would have
been issuable as the result of such change with respect to the securities that
were subject to the purchase rights under this Warrant immediately prior to such
reclassification or other change and the Exercise Price therefor shall be
appropriately adjusted, all subject to further adjustment as provided in this
Section 11.

                (c) If the Company at any time while this Warrant, or any
portion thereof, remains outstanding and unexpired, shall split, subdivide or
combine the securities as to which purchase rights under this Warrant exist,
into a different number of securities of the same class, the Exercise Price for
such securities shall be proportionately decreased in the case of a split or
subdivision or proportionately increased in the case of a combination.

                (d) If while this Warrant, or any portion thereof, remains
outstanding and unexpired, the holders of the securities as to which purchase
rights under this Warrant exist at the time shall have received, or, on or after
the record date fixed for the determination of eligible Stockholders, shall have
become entitled to receive, without payment therefor, other or additional stock
or other securities or property (other than cash) of the Company by way of
dividend, then and in each case, this Warrant shall represent the right to
acquire, in addition to the number of shares of the security receivable upon
exercise of this Warrant, and without payment of any additional consideration
therefor, the amount of such other or additional stock or other securities or
property (other than cash) of the Company that such holder would hold on the
date of such exercise had it been the holder of record of the security
receivable upon exercise of this Warrant on the date hereof and had thereafter,
during the period from the date hereof to and including the date of such
exercise, retained such shares and/or all other additional stock available by it
as aforesaid during such period, giving effect to all adjustments called for
during such period by the provisions of this Section 11.

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                (e) Upon the occurrence of each adjustment or readjustment
pursuant to this Section 11, the Company at its expense shall promptly compute
such adjustment or readjustment in accordance with the terms hereof and furnish
to each Holder of this Warrant a certificate setting forth such adjustment or
readjustment and showing in detail the facts upon which such adjustment or
readjustment is based. The Company shall, upon the written request, at any time,
of any such Holder, furnish or cause to be furnished to such Holder a like
certificate setting forth: (i) such adjustments and readjustments; (ii) the
Exercise Price at the time in effect; and (iii) the number of shares and the
amount, if any, of other property that at the time would be received upon the
exercise of the Warrant.

                (f) The Company will not, by any voluntary action, avoid or seek
to avoid the observance or performance of any of the terms to be observed or
performed hereunder by the Company, but will at all times in good faith assist
in the carrying out of all the provisions of this Section 11 and in the taking
of all such actions as may be necessary or appropriate in order to protect the
rights of the Holders of this Warrant against impairment.

        12. Limitation of Liability. No provision hereof, in the absence of
affirmative action by the Holder to purchase shares of Common Stock, and no
enumeration herein of the rights or privileges of the Holder hereof, shall give
rise to any liability of such Holder for the purchase price of any Common Stock
or as a stockholder of the Company, whether such liability is asserted by the
Company or by creditors of the Company.

        13. Standard Provisions.

                (a) Notice. Except as otherwise expressly provided herein, all
notices referred to in this Warrant will be in writing and will be delivered
personally or by registered or certified mail, return receipt requested, postage
prepaid and will be deemed to have been given when so personally delivered or on
the date of receipt appearing on the return receipt requested or, if refused, on
the date of refusal,

(i)  To the Company:                         With a copy to:

     MTI Technology Corporation              Morrison & Foerster LLP
     4905 East La Palma Avenue               19900 MacArthur Blvd., Suite 1200
     Anaheim, California 92807               Irvine, California 92612
     Attention:  Chief Financial Officer     Attention: Tamara Powell Tate, Esq.

(ii) To the Holder:

     SILICON VALLEY BANK
     3003 Tasman Drive, HG 110
     Santa Clara, CA 95054
     Attention: Treasury Department

                (b) Construction and Titles. This Warrant has been negotiated
between the parties hereto, and the language hereof shall not be construed for
or against any party. The titles and subtitles used in this Warrant are used for
convenience only and are not to be considered in construing or interpreting this
Warrant. A reference herein to any Section shall be deemed to include a
reference to every subsection thereof. All pronouns contained herein, and any
variations thereof, shall be deemed to refer to the masculine, feminine or
neuter, singular or plural, as to the identity of the parties hereto may
require.

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                (c) Delays or Omissions. No delay or omission to exercise any
right, power or remedy accruing to the Holder under this Warrant, upon any
breach or default of the Company under this Warrant, shall impair any such
right, power or remedy of the Holder nor shall it be construed to be a waiver of
any such breach or default, or an acquiescence therein, or of or in any similar
breach or default thereafter occurring; nor shall any waiver of any single
breach or default be deemed a waiver of any other breach or default theretofore
or thereafter occurring. Any waiver, permit, consent or approval of any kind or
character on the part of Holder, or any waiver on the part of Holder, must be in
writing and shall be effective only to the extent specifically set forth in such
writing. All remedies, either under this Warrant or by law or otherwise afforded
to Holder shall be cumulative and not alternative.

                (d) Successors and Assigns. The terms and conditions of this
Warrant shall inure to the benefit of and be binding upon the respective
successors and assigns of the parties, except as expressly limited in this
Warrant. Nothing in this Warrant, express or implied, is intended to confer upon
any party other than the parties hereto or their respective successors and
assigns any rights, remedies, obligations, or liabilities under or by reason of
this Warrant, except as expressly provided in this Warrant.

                (e) Severability. If any provisions of this Warrant is held to
be unenforceable under applicable law, it shall be interpreted, to the extent
possible, to enhance its enforceability in order to achieve the intent of the
parties to this Warrant. But if no feasible construction would save the
provision, the parties agree to renegotiate such provision in good faith. In the
event that the parties cannot reach a mutually agreeable and enforceable
replacement for such provision, its invalidity, illegality or unenforceability
shall not affect any other provision of this Warrant; rather this Warrant shall
be construed as if such invalid, illegal or unenforceable provision had never
been contained herein; provided, however, no such severability shall be
effective if it materially changes the economic benefit of this Warrant to any
party. The invalidity of any provision of this Warrant as applied to certain
circumstances shall not affect the validity or enforceability of such provision
as applied to other circumstances or any other provisions of this Warrant.

                (f) Governing Law. This Warrant and all acts and transactions
pursuant hereto and the rights and obligations of the parties hereto shall be
governed, construed and interpreted in accordance with the laws of the State of
California as applied to agreements among California residents entered into and
to be performed entirely in California.

                (g) Attorneys' Fees. If any action at law or in equity
(including arbitration) is instituted to enforce or interpret the terms of the
Warrants, the prevailing party shall be entitled to reasonable attorney's fees,
costs and necessary disbursements in addition to any other relief to which such
party may be entitled.

        14. Additional Provisions.

                (a) Registration Rights. The Company agrees that the shares of
Common Stock issued or issuable upon exercise of this Warrant (the "Shares")
shall be subject to the registration rights set forth for the Shares in that
certain Amended and Restated Registration Rights Agreement, dated as of the
Warrant Issue Date, between the Company and Holder (as the same may be amended,
restated, supplemented, or otherwise modified from time to time).

                (b) Automatic Conversion upon Expiration. In the event that,
upon the Warrant Expiration Date, the fair market value of one Share (or other
security issuable upon the exercise hereof)

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as determined in accordance with Section 3(c) above is greater than the Exercise
Price in effect on such date, then this Warrant shall automatically be deemed on
and as of such date to be converted pursuant to Section 3(c) above as to all
Shares (or such other securities) for which it shall not previously have been
exercised or converted, and the Company shall promptly deliver a certificate
representing the Shares (or such other securities) issued upon such conversion
to the Holder.

                (c) Acquisition. (i) For the purpose of this Warrant,
"Acquisition" means any sale, license, or other disposition of all or
substantially all of the assets of the Company, or any reorganization,
consolidation, or merger of the Company where the holders of the Company's
securities before the transaction beneficially own less than 50% of the
outstanding voting securities of the surviving entity after the transaction.

                        (ii) If Holder so elects in its good faith business
judgment, then, upon the closing of any Acquisition, the successor or acquiring
entity shall assume the obligations of this Warrant, and this Warrant shall be
exercisable for the same securities, cash, and property as would be payable for
the shares issuable upon exercise of the unexercised portion of this Warrant as
if such shares were outstanding on the record date for the Acquisition and
subsequent closing, and the Initial Exercise Price and/or number of shares shall
be adjusted accordingly.

             [The balance of this page is intentionally left blank;
                      signature page immediately follows.]

                                       10

<PAGE>

        IN WITNESS WHEREOF, each of the Company and the Holder have caused this
Warrant to be executed and delivered by its respective officers thereunto duly
authorized as of the Warrant Issue Date.

                                            MTI TECHNOLOGY CORPORATION

                                            By: /s/ Thomas P. Raimondi
                                               ---------------------------------
                                            Name: Thomas P. Raimondi
                                            Title: President & CEO

                                            By: /s/ Paul W. Emery, II
                                               ---------------------------------
                                            Name: Paul W. Emery, II
                                            Title: COO & Secretary

                                            "HOLDER"
                                            SILICON VALLEY BANK

                                            By: /s/ Patrick J. O'Donnell
                                               ---------------------------------
                                            Name:  Patrick J. O'Donnell
                                            Title: Vice President and
                                                   Regional Market Manager

                                 signature page

<PAGE>

                                    EXHIBIT A

                               NOTICE OF EXERCISE

To:       MTI Technology Corporation

        (1) The undersigned hereby elects to purchase     shares of Common Stock
            of MTI Technology Corporation, pursuant to the terms of the attached
            Warrant.

        (2) The undersigned Holder elects to exercise the Warrant for such
            shares of Common Stock in the following manner:

            [ ] in cash or by the enclosed check in a form acceptable to the
                Company, made payable to the Company in the amount of $________;

            [ ] by cancellation of indebtedness of the Company in the amount
                of $__________;

            [ ] by net issue exercise pursuant to Section 3(c) of the Warrant;
                or

            [ ] by a combination of two or more of the foregoing as indicated
                above.

        (3) In exercising this Warrant, the undersigned hereby confirms and
            acknowledges that, except for transfers to affiliates of the
            undersigned, the shares of Common Stock are being acquired solely
            for the account of the undersigned and not as a nominee for any
            other party, and for investment. The undersigned acknowledges that
            any such shares of Common Stock may not be transferred or assigned
            in whole or in part without compliance with all applicable federal
            and state securities laws by the transferor and the transferee
            (including without limitation the Securities Act of 1933, as amended
            (the "Act")).

        (4) In exercising this Warrant, the undersigned hereby represents and
            warrants that (i) it is an "accredited investor" within the meaning
            of Rule 501 promulgated under the Act, and (ii) that it has such
            knowledge and experience in financial and business matters as to be
            capable of evaluating the merits and risks of its investment in the
            Warrant and the shares of Common Stock to be issued upon the
            exercise of the Warrant and has the ability to bear the economic
            risks of its investment in the Warrant and the shares of Common
            Stock to be issued upon the exercise of the Warrant.

        (5) Please issue a certificate or certificates representing said shares
            of Common Stock in the name of the undersigned or in such other name
            as is specified below:

                                               ---------------------------------
                                               (Name)

                                               ---------------------------------
                                               (Name)

        (6) Please issue a new Warrant for the unexercised portion of the
            attached Warrant in the name of the undersigned or in such other
            name as is specified below:

                                               ---------------------------------
                                               (Name)

                                               ---------------------------------
                                               (Name)

                                    Exhibit A

<PAGE>

                                    EXHIBIT B

                                 ASSIGNMENT FORM

       (To assign the foregoing Warrant, execute this form and supply the
         required information. Do not use this form to purchase shares.)

FOR VALUE RECEIVED, the foregoing Warrant and all rights evidenced thereby are
hereby assigned to

--------------------------------------------------------------------------------
                                 (Please Print)

whose address is
                ----------------------------------------------------------------
                                 (Please Print)

Dated:_________________,________

                   Holder's Signature:
                                         ---------------------------------------
                   Holder's Address:
                                         ---------------------------------------

                                         ---------------------------------------

                                    Exhibit B<PAGE>
                                                                   EXHIBIT 10.53

--------------------------------------------------------------------------------

                                CENTER 7/INC.

C7                              MASTER SERVICES DEVELOPMENT AGREEMENT

                                Confidential and Proprietary to Center 7 and MTI
                                Unpublished Work - Copyright Center 7 and MTI
                                All Rights Reserved

--------------------------------------------------------------------------------

Date:                 June 1, 2001 ("Effective Date")
Agreement No:         MTI 02
Account Executive:    Kelly Phillipps, Chris Skillings

This Master Services Development Agreement (hereinafter "Agreement") is by and
between the following Parties:

Center 7, Inc. (hereinafter "Center 7")
333 South 520 West
Lindon, Utah 04042

Telephone:     (801) 805-3000
Fax:           (801) 805-3030

And

MTI Technology Corporation, a Delaware corporation (hereinafter "MTI")
4905 E. La Palma Avenue
Anaheim, CA 92807

Telephone:     (714) 970-0300, (800) 999-9MTI
Fax:           (714) 693-2202

For good, valuable and sufficient consideration, Center 7 and MTI hereby agree
to be bound by the terms and conditions of this Agreement.

<PAGE>

                                   AGREEMENT

Center 7 is engaged in the business of providing enterprise management services
to others. Typically, these enterprise management services involve the
management of a customers' assets (e.g., applications, databases, servers,
routers, IT devices, non-IT devices and/or other networkable assets of a
customer) located at a customer's site. In the course of installing these
enterprise management services, Center 7 has developed expertise in interfacing
with the aforementioned assets and in integrating such assets to enterprise
management tools. MTI is currently developing a new generation of management
services to be used to control and manage its existing Vivant product line and
future products to be developed and marketed by MTI. Center 7's expertise in
device interfaces and enterprise management solutions is complementary to MTI's
expertise in storage area network (SAN) design, implementation, and deployment.
These complementary skills will be used to jointly develop the next generation
of MTI Management Services.

                              TERMS AND CONDITIONS

SECTION 1 - SERVICES

        1.1 SUMMARY OF DEVELOPMENT SERVICES. Center 7 will provide development
services for MTI as described below, in Section 2 of this Agreement, and in all
associated Statement(s) of Work (hereinafter each such Statement of Work is
referred to as a "SOW"as set forth more fully in Section 1.3).

        Center 7 agrees during the term of this Agreement to use best efforts to
develop the Deliverable(s) (as described in Section 2.2 and the SOW) in material
compliance with the Specifications (as described in Section 2.5 and in the SOW)
and in accordance with the schedule set forth in the applicable SOW solely for
the benefit of MTI. Center 7 shall perform all "Services" (as that term is
defined in Section 1.4 and in the applicable SOW) in compliance with all
applicable laws, in a timely and competent manner consistent with industry
standards, by the completion dates set forth in the applicable SOW. Center 7
will not include or incorporate within any "Deliverables" (as that term is
defined in Section 2.2 and in the applicable SOW) any third party works not
identified in the SOW without MTI's prior written consent.

        1.2 OTHER SERVICES. Center 7 may provide other services to MTI, if and
as such other services are described in the SOW(s) (see Section 1.3). Such other
services shall also be governed by this Agreement and shall be included in the
term "Services."

        1.3 STATEMENTS OF WORK. From time to time, the Parties may enter into
one or more SOW(s). To be binding on the Parties, the SOW must be in writing and
signed by both parties. Generally, each SOW will follow the form attached to
this Agreement as Exhibit 1 and will include the following Appendices:

               Appendix A:   Statement of Services
               Appendix B:   Resources
               Appendix C:   Payment Schedule
               Appendix D:   Contacts and Notices
               Appendix E:   Other Terms and Conditions

If an Appendix is not applicable, it should be included in the SOW, and labeled
as not applicable. Any other terms and conditions mutually acceptable to the
parties may be included by the parties in Appendix E or elsewhere in the SOW.
The parties may agree to include other appendices or provisions in the SOW. Each
SOW will be governed by the terms and conditions of this Agreement. Each SOW
together with the terms and conditions of this Agreement shall be deemed to be
the entire agreement. In the event of a conflict between the provisions of a SOW
and the provisions of this Agreement, the provisions of the SOW shall prevail.

        1.4 SERVICES AND RESOURCES. "Services" shall mean the services to be
performed by Center 7 as described in the "Statement of Services" Appendix A of
the SOW(s) or elsewhere in the SOW. Center 7 shall perform the Services for MTI
and will use the Resources (see Section 1.5), as applicable, in performing the
Services.

        1.5 RESOURCES. "Resources" shall mean the hardware, software, policies,
and other resources, if any, identified in the "Resources" Appendix which is
attached as Appendix B to the SOW(s). Unless expressly stated otherwise in
Appendix B, all Resources are owned by MTI, not Center 7. In the case of
Resources in the form of software licenses, ownership by MTI means that MTI
holds and controls the license granted by the software licensor. If Appendix B
indicates that certain Resources are to be provided by Center 7, then Center 7
shall provide or obtain such Resources for purposes of the Services. Center 7
shall be responsible for maintenance of all Resources owned by Center 7. Unless
otherwise stated in Appendix B, MTI shall be responsible for maintenance of all
Resources owned by MTI. Center 7's Resources are not dedicated exclusively to
the Services for MTI unless expressly indicated in Appendix B. It is understood
that the level of Services is based on the assumptions and estimates stated in
the Appendices. If actual loads, traffic, demands or other circumstances are not
within such

                                     Page 2
<PAGE>

assumptions and estimates, then additional or changed Resources may be required
and an amendment or change order pursuant to Section 1.7 below will be entered
into by the Parties.

        1.6 RESPONSIBILITIES. If and to the extent that any Appendix or any
other provision of the SOW(s) attributes or assigns any responsibility, task,
deliverable or obligation to MTI or a third party, then MTI or the third party
shall be responsible for such responsibility, task, deliverable or obligation,
not Center 7. If and to the extent that any Appendix or any other or provision
of the SOW(s) attributes or assigns any responsibility, task, deliverable or
obligation to Center 7, then Center 7 shall be responsible for such
responsibility, task, deliverable or obligation. Center 7's obligations are
subject to the performance and delivery by MTI or the third party if such MTI or
third party responsibility, task, deliverable or obligation is necessary for
Center 7's performance.

        1.7 AMENDMENTS AND CHANGE ORDERS. If the Parties desire to amend the
SOW(s), they may do so, but only by a written amendment signed by both Parties.
An amendment may include additions, deletions, or changes to Services,
Resources, Specifications, payments and/or other provisions. If either party
desires that the terms of the SOW or this Agreement be modified, the terms of
the change will be negotiated. Once the change is acceptable to all parties,
Center 7 will prepare an amendment to the SOW. The amendment will set forth any
changes to responsibilities, schedule, fees, charges and expenses resulting from
the change order. The amendments will not be binding on either party until
memorialized in writing and signed by both parties.

        1.8 COOPERATION. Each Party shall make promptly available to the other
such information, assistance and cooperation within its control as such other
Party may reasonably request in performing its obligations under this Agreement.

        1.9 BACK-UP RESPONSIBILITY. To the extent, if any, that either party
provides any data or computer programs to another party, it is the provider's
responsibility to maintain adequate back-ups of such data and computer programs
in order to ensure continued security and retention.

        1.10 CONTACT PERSONS AND NOTICES. See Appendix D of each SOW.

        1.11 TIME SCHEDULES. If and to the extent that any SOW or any part of
this Agreement includes any time schedule or times for performance or completion
or Services or other work, or for delivery or completion of any Deliverables,
such time schedule and times are guaranteed unless the SOW expressly states that
such times are estimates. Typically, a SOW will include both estimated and
guaranteed times. All time schedules and times are subject to the timely
performance by MTI and third parties of their responsibilities and obligations,
only to the extent the responsibility or obligation of MTI or a third party
impacts the schedule of Center 7's performance of Services. Any change in
Specifications or Services or any force majeure (see Section 7.3) may also
require a revision to any time schedule or times in the SOW.

        1.12 NO BREACH. Center 7 agrees during the term of any SOW not to accept
work or enter into any agreement or accept any obligation that would cause a
breach of Center 7's obligations under this Agreement. Center 7 represents and
warrants that, to the best of its knowledge when signing this Agreement, there
is no other existing agreement or duty on Center 7's part that will cause Center
7 to breach this Agreement, except to the extent any such agreement or duty is
identified in writing by Center 7 prior to the execution of this Agreement.

SECTION 2 - DEVELOPMENT SERVICES

        2.1 APPLICABILITY. This Section is applicable if the SOW includes
Services performed by Center 7 for MTI through which Center 7 will develop
certain software for MTI (hereinafter, "Development Services"). If Development
Services are included, then Center 7 shall perform such Development Services in
accordance with this Section and the applicable SOW.

        2.2 DELIVERABLES. "Deliverables" shall mean the computer programs and
any other works of authorship or materials developed or created by Center 7 for
MTI in the performance of the Development Services. Deliverables are identified
in the applicable SOW.

        2.3 OWNERSHIP OF DELIVERABLES. Ownership of the Deliverables and the
copyrights and intellectual property in the Deliverables and other rights with
respect to the Deliverables shall be as follows and subject to the following:

        (a) NEW CODE. "New Code" shall mean the new computer code created by
            Center 7 through the Services under the applicable SOW in the
            development of a Deliverable. The New Code and the copyrights in and
            to the New Code shall be owned by MTI. Center 7 agrees to assign to
            MTI the copyrights of Center 7 in and to the New Code (but not the
            Center 7 Code). Center 7 shall not transfer or disclose or otherwise
            make available the New Code to any third party. Center 7 may use and
            make copies of the New Code as needed to facilitate its obligations
            or rights under this

                                     Page 3
<PAGE>

            Agreement and any SOWs. However, no patent rights, trade secrets or
            know-how are assigned by Center 7 to MTI - See Subsection (d) below.

        (b) CENTER 7 CODE. "Center 7 Code" shall mean the computer code in a
            Deliverable excluding the New Code created through the Services
            under the applicable SOW in such Deliverable. For example, Center 7
            Code in a Deliverable will include any subroutines, objects or other
            code created or acquired by Center 7 prior to or outside the scope
            of the Services under the SOW applicable to that Deliverable. The
            Center 7 Code and the copyrights in and to the Center 7 Code shall
            be owned by Center 7 and/or Center 7's licensor. The Center 7 Code
            may be used by Center 7 for any purpose independent of the New Code.

        (c) DERIVATIVE WORKS. If and to the extent that through the Services of
            a SOW, any Center 7 Code is modified or enhanced by Center 7 or
            Center 7 creates a derivative work based on such Center 7 Code, then
            the copyrights in and to such modifications, enhancements and
            derivative work will be owned by MTI, but Center 7 shall retain
            ownership of the copyrights in and to Center 7 Code.

        (d) TECHNOLOGY AND KNOW-HOW. Center 7 possess technology and know-how in
            the areas relevant to Deliverables or this Agreement and SOW(s), and
            may yet develop or create additional technology and know-how during
            or outside of any Services or project under the SOW(s). The
            Deliverables will be created with the use of some of this technology
            and know-how and such technology and know-how may be embodied in the
            Deliverables. It is understood by MTI that such technology and
            know-how are proprietary to Center 7 and/or its licensors and that
            ownership of such technology and know-how and the intellectual
            property (e.g., patent rights and trade secrets) in and to such
            technology and know-how are not assigned or transferred to MTI.
            Nothing in this Agreement imposes any restriction on Center 7 with
            respect to such technology and know-how other than the restrictions
            imposed by virtue of MTI's ownership of the copyrights in the New
            Code. To the extent needed by MTI to exercise its rights under this
            Agreement, such technology and know-how are irrevocably licensed to
            MTI for such purpose.

        (e) MTI's RIGHTS. Notwithstanding anything herein to the contrary, there
            is no restriction under this Agreement or any intellectual property
            or right of Center 7, that prevents or will be exercised by Center 7
            to prevent MTI from using, reproducing, disclosing, transferring,
            modifying, commercializing, or publishing the Deliverables or from
            creating derivative works based on the Deliverables. To the extent
            that the Deliverables include Center 7 Code and/or Center 7's
            technology, know-how and intellectual property, MTI is licensed to
            exercise any of these rights with respect to the Deliverables.
            Notwithstanding anything in this Agreement to the contrary, it is
            understood and agreed that because MTI is the owner of the New Code
            and the copyrights in and to the New Code as described above and any
            contributions by MTI to the Deliverables, MTI does not require a
            license from Center 7 for the New Code or such New Code copyrights
            or for such contributions, but such license is only needed with
            respect to the Center 7 Code and the technology, know-how and
            intellectual property under Subsection (d) above. This Agreement
            shall be interpreted accordingly. There is no restriction on MTI
            under this Agreement with respect to the New Code and MTI's
            contributions to the Deliverables.

        (f) THIRD PARTY SOFTWARE. If a Deliverable includes any third party
            software or content, it shall be identified in the SOW.
            Notwithstanding anything herein to the contrary, rights and
            restrictions with respect to the third party software or content
            shall be governed by the applicable third party license agreement or
            other agreement applicable to the third party software or content.
            Notwithstanding anything in this Agreement to the contrary, MTI is
            not entitled to any source code for any third party software.

        2.4 SOURCE CODE. Source code of all computer software included in the
Deliverables will be delivered to MTI and will be governed by Section 2.3 above,
unless specifically and expressly excluded in the applicable SOW. Source code
includes all lines of any software program developed as a component of any
Deliverable under this Agreement. Source Code also includes, among other items,
any test stubs, test scripts, or other development support software, firmware,
test code, or scripts developed in support of the Deliverables to be provided
under this Agreement.

        2.5 SPECIFICATIONS AND ACCEPTANCE TESTING.

        (a) SPECIFICATIONS. The SOW will include the Specifications for the
Deliverables. The Specifications may be amended by the Parties only by their
mutual written agreement. Center 7 shall develop and create the Deliverables in
material compliance with such Specifications and in accordance with subsection
(b) below.

                                     Page 4
<PAGE>

        (b) ACCEPTANCE TESTING. It is agreed that if many immaterial
noncompliances in the aggregate create a material noncompliance with the
Specifications, then such aggregated immaterial noncompliances shall constitute
a material noncompliance with the Specifications for the purposes of this
Agreement. A single noncompliance with the Specifications, if material, shall
also constitute a material noncompliance under this subsection (b). After
delivery of a Deliverable to MTI, MTI will have 60 days to test the Deliverable
for material compliance with the Specifications and to report in writing to
Center 7 any material noncompliance of the Deliverables with the Specifications.
If no material noncompliance is reported by MTI in accordance with the
foregoing, the Deliverables will be deemed accepted and in compliance with the
Specifications. If a material noncompliance is reported to Center 7 in
accordance with the foregoing, then Center 7 shall provide a plan for the
correction of the material noncompliance and deliver the plan to MTI within five
days of its notification. With the cooperation of MTI, Center 7 shall implement
the plan for the correction of the material noncompliance within thirty (30)
days and shall deliver the corrected Deliverable to MTI for re-testing by MTI
and the foregoing provisions of this subsection (b) shall be repeated, except
that the 60 days shall be the time for re-testing as provided below. Upon this
delivery to MTI, MTI shall provide to Center 7 a plan and time schedule for
re-testing of the Deliverable. The time for re-testing shall be reasonable, but
will not exceed 60 days from the date of delivery. In the event such corrected
Deliverable(s) are still in material noncompliance with the Specifications, MTI
may, in its sole discretion , either (a) grant Center 7 a further fifteen (15)
days (or such longer period as MTI may, in its sole discretion, decide) in which
to correct any problems in such Deliverable; or (b) deem Center 7's failure to
provide to MTI an acceptable Deliverable to be a default, and immediately
terminate this Agreement without further opportunity to cure. MTI's exclusive
remedy for noncompliance of the Deliverables with the Specifications shall be a
correction of the noncompliance by Center 7. If Center 7 is unable to correct
the noncompliance after a reasonable number of attempts, then the exclusive
remedy shall be the liquidated damages specified in the applicable SOW for such
failure. Center 7 shall have no liability for any immaterial noncompliance,
except as expressly provided above.

SECTION 3 - PAYMENTS

        3.1 FEES. As full compensation for any Services performed by Center 7
pursuant to this Agreement and any applicable SOW, MTI shall pay to Center 7 the
fees and other charges set forth in the Payment Schedule of the applicable SOW
(see Appendix C). Payment of these fees and other charges entitles MTI to the
Services specified in the applicable SOW. All payments to Center 7 under this
Agreement shall be in United States of America dollars and are due within
forty-five (45) days after MTI's receipt of Center 7's invoice. Upon termination
of this Agreement (other than for Center 7's material breach), Center 7 shall be
paid fees for Services performed, up to and including the effective date of such
termination.

        3.2 EXPENSES. Each Party shall be responsible for its own expenses
incurred, except that Center 7 shall be reimbursed by MTI for reasonable travel,
lodging and meal expenses reasonably incurred in connection with Services or an
SOW. If and to the extent a SOW indicates responsibility for certain expenses,
the SOW shall govern.

        3.3 TAXES. Any sales, use and other taxes or government assessments or
duties relating to this Agreement or to payments or Services to be rendered
under this Agreement shall be paid by MTI. If any taxes are withheld from any
payments to Center 7 under this Agreement, MTI must pay such taxes and ensure
that Center 7 receives the full amount of all payments as stated in the Payment
Schedule. This Section 3.3 does not apply to Center 7's federal or state taxes
based upon its net income, or to any employment taxes as a result of Center 7
employing or contracting labor to perform duties under this Agreement.

        3.4 LATE PAYMENTS. Any amounts payable by MTI that are more than thirty
(30) days past the due date specified in Section 3.1 ("Late Payments") shall be
subject to a finance charge of 1% per month until paid in full. In addition, the
failure of MTI to pay any fees due within thirty (30) days after such fees are
due shall constitute a material breach of this Agreement, which shall entitle
Center 7, in its sole discretion, to (i) terminate the SOW(s) in accordance with
Section 6.2 and/or (ii) terminate, suspend, restrict or disable the Services or
any portion thereof until MTI has made full payment of all fees and amounts
currently owing, including finance charges and late charges. MTI shall pay
Center 7 for any and all costs and expenses, including without limitation,
attorneys' fees and court costs, incurred by Center 7 in collecting payments
from MTI or in otherwise enforcing this Agreement.

SECTION 4 - CONFIDENTIALITY

        4.1 NONDISCLOSURE OF CONFIDENTIAL INFORMATION. Each Party acknowledges
that it may have access to certain confidential information of the other Party
concerning the other Party's business, plans, clients, technologies, products
and other information held in confidence by the other Party ("Confidential
Information"). Confidential Information includes all information in tangible or
intangible form that is marked in writing as confidential or proprietary, or if
disclosed orally or in other intangible form or in any form that is not so
marked, that is identified as confidential at the time of such disclosure and
summarized in writing and transmitted to the receiving Party within thirty (30)
days of such disclosure. Each Party agrees that it will (a) not use in any way,
for its own account or the

                                     Page 5
<PAGE>

account of any third party, except as expressly permitted by, or required to
achieve the purposes of, this Agreement; (b) reproduce the other Party's
Confidential Information only to the extent reasonably required to fulfill
Center 7's obligations hereunder; (c) not disclose the other Party's
Confidential Information to any third party (except as required by law or to
that party's attorneys, accountants and other advisors as reasonably necessary
and only after obtaining the disclosing party's express written consent on a
case by case basis); (d) disclose the other Party's Confidential Information
only to its employees and agents who have a need to know such Confidential
Information, and who are each obligated by agreement to comply with
confidentiality provisions no less restrictive than those set forth in this
Agreement; and (e) take reasonable precautions to protect the confidentiality of
such information, at least as stringent as it takes to protect its own
Confidential Information, but in no event, less than reasonable care.

        4.2 EXCEPTIONS. Neither Party shall have any obligation under Section
4.1 above with respect to Confidential Information which is publicly known at
the time of disclosure by the disclosing Party to the receiving Party or which
is in the receiving Party's possession prior to disclosure by the disclosing
Party, as demonstrated by the receiving party's contemporaneous written records.
If through no fault of the receiving Party, any Confidential Information of the
disclosing Party subsequently becomes public knowledge, then the receiving Party
shall thereafter have no obligation under Section 4.1 with respect to such
Confidential Information that has become publicly known. If any information is
lawfully disclosed or licensed by a third party to a receiving Party under no
duty of confidentiality, then Section 4.1 shall not restrict the receiving Party
from making any use or disclosure thereof that is lawfully authorized by the
third party. If any disclosure of Confidential Information is required by law,
government regulation, or court order, the receiving Party must make reasonable
efforts to give notice of such compelled disclosure to the disclosing Party (to
the extent legally permissible) so that the disclosing Party may seek a
protective order or take other protective action, and the receiving Party shall
reasonably cooperate therewith.

        4.3 PRICING. MTI shall not disclose any of the pricing or fees under
this Agreement or any SOW to any third party.

        4.4 DUE DILIGENCE DISCLOSURES. Disclosures prohibited by this Agreement
may be made by a receiving Party to prospective investors, lenders, acquirers,
underwriters, and others where a legitimate business need exists, but only for
their bona fide due diligence purposes and only if they are also under an
obligation of confidentiality at least as protective of the disclosing Party and
its Confidential Information as the provisions of this Section 4.

        4.5 NONSOLICITATION. During the term of this Agreement and for a period
of one (1) year after termination, neither Party shall solicit the employment of
any employee of the other Party or knowingly induce any employee of the other
party to terminate or breach an employment or contractual relationship with the
other Party. This Section 4.5 does not prohibit a Party from hiring the other
Party's employee if the other Party's employee first initiated discussions
concerning employment or if the other Party has given consent. This Section 4.5
does not prohibit any general solicitation of employment or services in
newspapers or other publications, on the Internet, or otherwise, where such
general solicitation is not specifically directed at the other Party's
employees.

SECTION 5 - INDEMNITIES AND DISCLAIMERS

        5.1 Indemnification by Center 7. Center 7 shall defend, indemnify and
hold harmless MTI and its affiliates, successors and assigns (and its and their
officers, directors, employees, sublicensees, customers and agents) from and
against any and all claims, losses, liabilities, damages, settlements, expenses,
and costs (including, without limitation, attorneys' fees and court costs) which
arise out of or relate to (a) any third party claim or threat thereof that the
Services, Work Product, or Deliverable (and the exercise of the rights granted
herein with respect thereto) infringe, misappropriate or violate any patent,
copyright, trademark, trade secret, publicity, privacy or other rights of any
third party, or are defamatory or obscene.

        5.2 Indemnification by MTI. MTI shall defend, indemnify and hold
harmless Center 7 from and against any and all claims, losses, liabilities,
damages, settlements, expenses, and costs (including, without limitation,
attorneys' fees and court costs) which arise out of or relate to (a) any third
party claim or threat thereof that any technology, information, specifications,
requirements, or other subject matter contributed or provided by MTI to a
Deliverable or Center 7 (or its use or copying) infringe, misappropriate or
violate any patent, copyright, trademark, trade secret, publicity, privacy or
other rights of any third party, or are defamatory or obscene.

        5.3 Notice, Cooperation, Settlement. The indemnified party shall
promptly notify the indemnifying party of any claim against the indemnified
party arising under Section 5.1 or 5.2 ; provided, however, that the failure to
give such notice shall not relieve the indemnifying party of its obligations
under Section 5.1 or 5.2, except to the extent that the indemnifying party was
actually and materially prejudiced by such failure. The indemnified party will
allow the indemnifying party to control the defense and settlement of such
claim, and the indemnified party will reasonably cooperate with the indemnifying
party in connection with the defense and settlement of such claim. The
indemnifying party may not settle any claim arising under Section 5.1 or 5.2
without the prior written approval of the indemnified party, which approval
shall not be unreasonably withheld or delayed. The indemnified party may, at its

                                     Page 6
<PAGE>

option and expense, participate and appear on an equal footing with the
indemnifying party in the defense of any claim arising under Section 5.1 or 5.2
that is conducted by the indemnifying party as set forth herein. From the date
of written notice from MTI to Center 7 of any claims arising under Section 5.1,
MTI shall have the right to withhold from any payments due Center 7 under this
Agreement the amount of any defense costs, plus additional reasonable amounts,
as security for Center 7's obligations under Section 5.1.

        5.4 If MTI is enjoined from continued use, copying or distribution of
any infringing Deliverable or if Center 7 wishes to minimize its potential
liability hereunder, Center 7 shall (at its expense and option): (a) obtain the
right for MTI to continue to use, copy and distribute the infringing Deliverable
as contemplated by this Agreement, (b) modify the infringing Deliverable to
eliminate the infringement, (c) provide a substitute noninfringing, functionally
equivalent Deliverable to MTI under this Agreement, or (d) offer to refund to
MTI the applicable percentage of the amount paid under this Agreement for the
infringing Deliverable (such refund to be a portion of the amount paid to Center
7 for the infringing Deliverable based on when the Deliverable was first
delivered and prorated over a five year period - e.g., if first delivered two
years previous to the refund, then the refund would be 60% of the amount paid).
Center 7 shall have no obligation of indemnification or any liability if the
infringement is based on or caused by: (a) any altered, changed or modified form
of the Deliverable not made by Center 7 or at Center 7's direction, or (b) the
Deliverable in combination with MTI's systems, equipment or products or anything
not provided by Center 7 or at Center 7's direction, or (c) any misuse of the
Deliverable or any use of the Deliverable in a manner not contemplated by the
Deliverable's documentation, or (d) any use, copying or distribution of the
Deliverable not permitted by this Agreement, or (e) any infringement
attributable to any Deliverable that is not the then-most-current version or
release of the Deliverable, if the most-current version or release of the
Deliverable was offered by or available from Center 7 to MTI and the
infringement could have been avoided by use of the then-most-current version or
release of the Deliverable, or (f) any of the Specifications or any requirements
specified or requested by MTI, or (g) any of the contributions, specifications,
or requirements by or from MTI to or for the Deliverable.

SECTIONS 5.1 to 5.4 STATE THE PARTIES' ENTIRE LIABILITY AND OBLIGATION WITH
RESPECT TO INFRINGEMENT OF PATENTS, COPYRIGHTS, TRADE SECRETS OR ANY OTHER FORM
OF INTELLECTUAL PROPERTY OR ANY OTHER INFRINGEMENT, MISAPPROPRIATION OR
VIOLATION OF PRIVACY, PUBLICITY OR OTHER RIGHT OF A THIRD PARTY OR ANY CLAIM OF
DEFAMATION OR OBSCENITY. As used herein, the term infringement is intended to
include misappropriation when applied to trade secrets. Consequential damages,
loss of profits, and other indirect damages suffered or incurred by the
indemnified party are not recoverable from the indemnifying party under Sections
5.1 to 5.4 above.

        5.5 Warranties and Disclaimers.

        (a) Center 7 Warranty. Center 7 warrants to MTI that (i) the
Deliverables, as and when delivered to MTI will be substantially in conformance
with the Specifications set forth in the SOW and shall be free from material
errors or other defects as determined by the Specifications, and if not, then
Section 2.5 (b) shall apply, (ii) Center 7 has the full power to enter into this
Agreement and to perform its obligations hereunder, without the need for any
consents, approvals or immunities not yet obtained; (iii) Center 7 has the right
to grant the rights and assignments granted herein, without the need for any
assignments, releases, consents, approvals, immunities or other rights not yet
obtained and that it has not previously granted, and shall not grant, any rights
in the Deliverables to any third party that are inconsistent with the rights
granted to MTI herein; (iv) the Deliverables are original to Center 7 and do not
infringe any copyright, patent, trade secret or other intellectual property or
proprietary rights of any third party (Sections 5.1, 5.3 and 5.4 are the
exclusive remedy for a breach of this warranty);; (v) Center 7's execution of
and performance under this Agreement shall not breach any oral or written
agreement with any third party or any obligation owed by Center 7 to any third
party to keep any information or materials in confidence or in trust; (vi) the
Services and Work Product (and the exercise of the rights granted herein with
respect thereto) do not and shall not infringe, misappropriate or violate any
patent, copyright, trademark, trade secret, publicity, privacy or other rights
of any third party, and are not and shall not be defamatory or obscene (Sections
5.1, 5.3 and 5.4 are the exclusive remedy for a breach of this warranty); and
(vii) neither the Deliverables nor any element thereof at the time of delivery
to MTI shall be subject to any restrictions or to any mortgages, liens, pledges,
security interests, encumbrances or encroachments.

        (b) MTI warrants to Center 7 that it has the full right and authority to
perform, and will abide by all laws, regulations, and other legal guidelines in
performing, its obligations under this Agreement. MTI further warrants to Center
7 that (i) any technology, information, specifications, requirements, or other
subject matter contributed or provided by MTI to a Deliverable or Center 7 (the
"Contributions"), as and when delivered to will be substantially in conformance
with any requirements set forth in the SOW and shall be free from material
errors or other defects, (ii) MTI has the full power to enter into this
Agreement and to perform its obligations hereunder, without the need for any
consents, approvals or immunities not yet obtained; (iii) MTI 7 has the right to
provide the Contributions without the need for any assignments, releases,
consents, approvals, immunities or other rights not yet obtained and that it has
not previously granted, and shall not grant, any rights in the Contributions to
any third party that are inconsistent with this Agreement; (iv) the
Contributions are original to MTI and do not infringe any copyright, patent,
trade secret or other intellectual property or proprietary rights of any third
party (Sections 5.2, 5.3 and 5.4 are

                                     Page 7
<PAGE>

the exclusive remedy for a breach of this warranty);; (v) MTI's execution of and
performance under this Agreement shall not breach any oral or written agreement
with any third party or any obligation owed by MTI to any third party to keep
any information or materials in confidence or in trust; and (vi) neither the
Contributions nor any element thereof at the time of delivery to Center 7 shall
be subject to any restrictions or to any mortgages, liens, pledges, security
interests, encumbrances or encroachments.

        (c) THE WARRANTIES SET FORTH IN THIS SECTION 5.5 ARE IN LIEU OF ALL
OTHER WARRANTIES, EXPRESS OR IMPLIED. WITHOUT LIMITATION, EACH PARTY
SPECIFICALLY DISCLAIMS ANY IMPLIED WARRANTIES OF MERCHANTABILITY, FITNESS FOR A
PARTICULAR PURPOSE AND NON-INFRINGEMENT.

        5.6 LIMITATION ON LIABILITY. WITH THE EXCEPTIONS OF THE BREACH OF
PARTIES' CONFIDENTIALITY OBLIGATIONS PURSUANT TO SECTION 4 AND THE INFRINGEMENT
OF INTELLECTUAL PROPERTY, (A) IN NO EVENT WILL EITHER PARTY BE LIABLE TO THE
OTHER PARTY FOR ANY INDIRECT, INCIDENTAL, CONSEQUENTIAL, EXEMPLARY OR SPECIAL
DAMAGES OF ANY KIND, WHETHER BASED ON CONTRACT, TORT OR ANY OTHER LEGAL THEORY,
AND REGARDLESS OF WHETHER EITHER PARTY HAS BEEN ADVISED OF THE POSSIBILITY OF
ANY SUCH DAMAGES; AND (B) THE AGGREGATE LIABILITY OF EITHER PARTY RELATING TO OR
ARISING FROM THIS AGREEMENT OR AN APPLICABLE SOW, FOR ANY AND ALL CAUSES OF
ACTION, SHALL NOT EXCEED THE AMOUNT OF FEES ACTUALLY PAID BY MTI TO CENTER 7
UNDER THE APPLICABLE SOW. JUDGMENTS, AWARDS AND SETTLEMENTS PAYABLE UNDER
SECTIONS 5.1 TO 5.4 ARE NOT LIMITED BY THIS SECTION 5.6.

SECTION 6 - TERM AND TERMINATION

        6.1 Term. The term of this Agreement shall commence on the Effective
Date and continue for a period of one (1) year. The term of this Agreement shall
renew for consecutive additional one (1) year periods on the same terms and
conditions, unless earlier terminated as provided herein.

        Termination without Cause. MTI may terminate this Agreement for any
reason upon at least sixty (60) days' prior written notice to Center 7 as
provided herein. In such event, MTI must pay Center 7 all payments contemplated
by all SOWs as if the Services and SOWs were successfully completed and all
Specifications satisfied.

        Termination with Cause. Either party may terminate this Agreement at any
time upon written notice in the event the other party breaches any of the
material terms of this Agreement. A good faith dispute between the parties with
respect to payments will not be considered a material breach, unless otherwise
determined by a arbitration panel or a court of competent jurisdiction . Prior
to any termination, however, the non-breaching party will notify the breaching
party in writing of all outstanding deficiencies and/or complaints constituting
the material breach, and the breaching party will have thirty (30) calendar days
(the "Cure Period") to cure such deficiencies and/or complaints. If the
breaching party cures all such deficiencies and/or complaints within the Cure
Period, the material breach will be deemed corrected, and the non-breaching
party shall not be entitled to terminate this Agreement based upon the material
breach(es) contained in the notice.

        Effect of Termination. Upon the effective date of any termination of
this Agreement, Center 7 shall immediately cease performing any Services under
this Agreement. Termination of this Agreement by either party shall not act as a
waiver of any breach of this Agreement and shall not act as a release of either
party from any liability for breach of such party's obligations under this
Agreement. Neither party shall be liable to the other for damages of any kind
solely as a result of terminating this Agreement in accordance with its terms,
and termination of this Agreement by a party shall be without prejudice to any
other right or remedy of such party under this Agreement or applicable law.

        Delivery of Materials. Upon any termination or expiration of this
Agreement, Center 7 shall promptly deliver all Deliverables (in their "as is"
state at the time of termination or expiration) required to be provided
hereunder. Acceptance, Specifications and warranties shall not apply where any
early termination prejudices Center 7 with respect thereto.

        6.2 SURVIVAL. Any provisions of this Agreement, which are intended by
their specific terms or by necessary implication, to survive the termination of
this Agreement shall so survive. Neither party shall be liable to the other
party for damages of any sort resulting solely from terminating this Agreement
in accordance with its terms. Any licenses or sublicenses granted by MTI under
this Agreement shall not be affected by any termination of this Agreement and
shall remain in full force and effect. Upon termination or expiration of this
Agreement, each party will deliver to the other party, all Confidential
Information of the other Party, including any and all copies thereof, in its
possession, unless the party is authorized to retain such Confidential
Information pursuant to this Agreement.

SECTION 7 - GENERAL PROVISIONS

                                     Page 8
<PAGE>

        7.1 ASSIGNMENT AND SUCCESSORS. This Agreement is not assignable or
transferable, except that this Agreement may be assigned or transferred by
either party to any third party who acquires substantially all of that party's
assets. Subject to the foregoing, this Agreement shall be binding upon and shall
inure to the benefit of the parties and their respective successors and
permitted assigns.

        7.2 GOVERNING LAW AND DISPUTE RESOLUTION.

        (a) [Intentionally deleted]

        (b) Without waiving any rights, the Parties agree to use commercially
reasonable efforts to resolve between themselves any disputes arising under this
Agreement (including any SOW). If the persons responsible for the day-to-day
administration of this Agreement are unable to resolve the dispute, it shall be
referred to successively higher executives within each company.

        (c) Except as provided below, in the event that the dispute cannot
otherwise be settled by the management of the Parties after a good faith attempt
and within sixty (60) days from the date the parties commenced the informal
resolution process, the Parties agree to resolve such dispute by arbitration in
accordance with the Commercial Arbitration Rules of the American Arbitration
Association or its successor. In the event of any conflict between such rules
and this Section, this Section shall govern. The Parties shall attempt to
mutually agree upon a neutral arbitrator. If the Parties cannot reach such
agreement, they shall request the American Arbitration Association or its
successor to designate a neutral arbitrator. The arbitration shall be conducted
in Las Vegas, Nevada. The institution of any arbitration proceeding hereunder
shall not relieve any Party of its obligation to make undisputed payments under
this Agreement. The decision by the arbitrator shall be binding and conclusive
upon the Parties, their successors, assigns and trustees and they shall comply
with such decision in good faith, and each Party hereby submits itself to the
jurisdiction of the courts of the place where the arbitration is held, but only
for the entry of judgment or for the enforcement of the decision of the
arbitrator hereunder. Furthermore, judgment upon the award may be entered in any
court having jurisdiction. Notwithstanding anything herein to the contrary,
neither Party has any obligation to arbitrate any claims relating to the
infringement or violation of its copyrights or other intellectual property. Such
Party may assert such claims in any court of competent jurisdiction at any time.

        7.3 NOTICES. Any notice, request, demand, or other communication
required or permitted hereunder shall be in writing, shall reference this
Agreement and shall be deemed to be properly given: (a) when delivered
personally; (b) when sent by facsimile, with written confirmation of receipt by
the sending facsimile machine; (c) five (5) business days after having been sent
by registered or certified mail, return receipt requested, postage prepaid; or
(d) two (2) business days after deposit with a private industry express courier,
with written confirmation of receipt. All notices shall be sent to the address
set forth on the cover page of this Agreement and to the notice of the person
executing this Agreement (or to such other address or person as may be
designated by a party by giving written notice to the other party pursuant to
this Section).

        7.4 EQUITABLE RELIEF. Each party acknowledges and agrees that, due to
the unique and valuable nature of the Confidential Information and other
proprietary information and materials of the other party, there can be no
adequate remedy at law for any breach by such party of Section 4
("Confidentiality"), that any such breach may result in irreparable harm to the
non-breaching party for which monetary damages would be inadequate to compensate
the non-breaching party, and that the non-breaching party shall have the right,
in addition to any other rights available under applicable law, to obtain from
any court of competent jurisdiction injunctive relief to restrain any breach or
threatened breach of, or otherwise to specifically enforce, any covenant or
obligation of such party under Section 4, without the necessity of posting any
bond or security.

        7.4 SEVERABILITY. If the application of any provision of this Agreement
to any particular facts or circumstances shall for any reason be held to be
invalid, illegal or unenforceable by a court, arbitration panel or other
tribunal of competent jurisdiction, then (a) the validity, legality and
enforceability of such provision as applied to any other particular facts or
circumstances, and the other provisions of this Agreement, shall not in any way
be affected or impaired thereby and (b) such provision shall be enforced to the
maximum extent possible so as to effect the intent of the parties. If, moreover,
any provision contained in this Agreement shall for any reason be held to be
excessively broad as to duration, geographical scope, activity or subject, it
shall be construed by limiting and reducing it, so as to be enforceable to the
extent compatible with applicable law.

        7.5 FORCE MAJEURE. Except for obligations to make payment, neither Party
shall be deemed in breach of this Agreement for any failure to perform an
obligation where such failure is caused by an Act of God, labor dispute or
shortage, any disruption in or failure of communications, equipment, software or
the Internet, or any other circumstances or cause beyond the control of that
Party.

        7.6 WAIVER. Any waiver under this Agreement must be in writing and any
waiver of one event shall not be construed as a waiver of subsequent events.

                                     Page 9
<PAGE>

        7.7 ATTORNEYS' FEES. In the event of any litigation or arbitration
between the Parties relating to this Agreement or the Services or Resources, the
prevailing Party shall be entitled to recover from the other Party all
reasonable attorneys' fees and other reasonable costs incurred by the prevailing
Party in connection therewith.

        7.8 CONSTRUCTION. This Agreement (including each SOW) represents the
wording selected by the Parties to define their agreement and no rule of strict
construction shall apply against either Party. This Agreement is written in, and
shall be governed by, the English language.

        7.9 GOVERNMENT APPROVALS. If any special government approvals, permits,
licenses, or other authorizations are necessary for the performance of the
Services, then Center 7 shall obtain such approvals, permits, licenses, or other
authorizations for the Parties at Center 7's expense, unless otherwise specified
in an associated SOW.

        7.10 RELATIONSHIP. Neither Party is the partner, joint venturer, agent
or representative of the other Party. Each Party is an independent contractor.
There is no employment relationship between the Parties. Neither Party has the
authority to make any representations or warranties or incur any obligations or
liabilities on behalf of the other Party. Neither Party shall make any
representation to a third party inconsistent with this Section 7.8. If or while
there is joint ownership of both Center 7 and MTI, either side may make
reference to this fact to third parties.

        7.11 SUBCONTRACTORS. Center 7 may subcontract Services or
responsibilities to subcontractors, but this shall not excuse Center 7 from its
obligations (i) to be the single point of contact for the Services and (ii) to
ensure that the Services and Center 7's responsibilities are performed in
accordance with this Agreement, even if its subcontractors fail to perform. Each
Party will be solely responsible for instituting screening of its employees to
ensure that each person who performs at the direction of such Party is either a
U.S. citizen or alien authorized by the U.S. Immigration and Naturalization
service to work in the United States.

        7.12 INSURANCE. During the Term of this Agreement, Center 7 shall
procure and maintain, at its expense, at least the following types of insurance.

<TABLE>
<CAPTION>
        COVERAGE                                LIMITS
<S>     <C>                                     <C>
(i)     Workers Compensation                    Statutory
(ii)    Employer's Liability                    $500,000 each occurrence
(iii)   Public Liability (bodily injury)        $1,000,000 combined single limit
(iv)    Public Liability (property damage)      $1,000,000 combined single limit
(v)     Automobile Liability                    $1,000,000 combined single limit
</TABLE>

Center 7 agrees to furnish to MTI with insurance certificates, showing
compliance with this Section. Such certificates shall contain a statement that
the insurance carrier will not cancel or modify any or all of such insurance
without giving the other party at least thirty (30) days prior written notice.
Both parties shall be named as an additional insured party to the other party
under the policies listed in items (iii) and (iv) above.

        7.13 ENTIRE AGREEMENT. This Agreement (which includes each applicable
SOW): (i) represents the entire agreement between the Parties relating to the
subject matter of this Agreement, (ii) supersedes all prior purchase orders,
agreements, understandings, representations and warranties applicable to the
subject matter of this Agreement, and (iii) may only be amended, canceled or
rescinded by a writing signed by both Parties. Any terms or conditions of any
purchase order or other document submitted by either party in connection with
any Services, which are in addition to, different from or inconsistent with the
terms and conditions of this Agreement are not binding on the other party and
are ineffective.

                                    Page 10
<PAGE>

        7.14 EXECUTION. The persons signing below represent and warrant that
they are duly authorized to execute this Agreement for and on behalf of the
Party for whom they are signing. This Agreement may be executed (including,
without limitation, by facsimile signature) in one or more counterparts, with
the same effect as if the parties had signed the same document. Each counterpart
so executed shall be deemed to be an original, and all such counterparts shall
be construed together and shall constitute one Agreement.

Agreed to and accepted by:

MTI TECHNOLOGY CORPORATION ("MTI")

By (signature):       /s/ Paul W. Emery, II
                      ------------------------

Name (print):         Paul W. Emery, II

Title:                COO

CENTER 7, INC.  ("CENTER 7")

By (signature):       /s/ Niel Nickolaisen
                      ------------------------

Name (print):         Niel Nickolaisen
                      ------------------------

Title:                Chief Technology Officer
                      ------------------------

                                    Page 11
<PAGE>

                                    EXHIBIT 1

                        GENERAL FORM OF STATEMENT OF WORK

--------------------------------------------------------------------------------

                                CENTER 7/INC.

C/7(TM)                         STATEMENT OF WORK UNDER THE MASTER SERVICES
                                DEVELOPMENT AGREEMENT

                                Confidential and Proprietary to Center 7
                                Unpublished Work - Copyright Center 7
                                All Rights Reserved

--------------------------------------------------------------------------------

                            STATEMENT OF WORK NO. ___
                               Date: _____________

        This Statement of Work (the "SOW") is entered into in accordance with
the terms and conditions of the Master Services Development Agreement (Agreement
No. ____) dated ____________, 2001 by and between MTI Technology Corporation
("MTI") and Center 7, Inc. ("Center 7"). In the event of any conflict between
this SOW and the Master Services Development Agreement, this SOW shall govern.
This Statement of Work includes the following attached Appendices:

        Appendix A:   Statement of Services
        Appendix B:   Resources
        Appendix C:   Payment Schedule
        Appendix D:   Contacts and Notices
        Appendix E:   Other Terms and Conditions

        This SOW, including the above referenced Appendices, is agreed to and
accepted by MTI and Center 7:

Authorized Signatures:

-----------------------------------         ------------------------------------
For MTI                                     For Center 7

                                    Page 12

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