Rainbow iVEA’s CryptoSwift HSM High-Assurance eCommerce Accelerator Captures 2001 AeA High Tech Award for Outstanding Hardware Technology

Second Consecutive AeA Award for a Second Member of Rainbow iVEA’s CryptoSwift Family of Leading eCommerce Acceleration Products

IRVINE, Calif., May 18, 2001 – Rainbow iVEA, a Rainbow Technologies (Nasdaq: RNBO) company and a leading provider of high-performance security solutions for the Internet and eCommerce, has captured its second consecutive AeA High Tech Award for the CryptoSwift family of eCommerce acceleration solutions. The CryptoSwift HSM (Hardware Security Module) which provides physical security and fast online transactions in high-assurance environments was awarded “Outstanding Hardware Technology” at last night’s 2001 Orange County AeA High Tech Awards in Santa Ana, Calif. The CryptoSwift 600 was a winner in this category last year and a winner of Network Computing Magazine’s Well Connected Award at last week’s Networld+Interop trade show in Las Vegas.

“We congratulate Rainbow iVEA for being selected as an award winner for providing an innovative product,” said Phil Beaudoin, executive director, Orange County Council, AeA. “The CryptoSwift HSM is an outstanding example of an innovative product developed in Orange County.”

“We are delighted to have the CryptoSwift HSM recognized by the AeA for this award,” said Shawn Abbott, president, Rainbow iVEA. “With this second AeA award and last week’s Well Connected Award, CryptoSwift is the industry’s de facto standard for secure network performance. This award further recognizes the extraordinary value that the CryptoSwift HSM/WS provides for high-assurance environments such as banking and financial services. We are pleased that the AeA has honored us with another High Tech Award.”

Rainbow iVEA’s CryptoSwift family of eCommerce performance and security acceleration solutions is the industry’s de facto standard for cryptographic acceleration, providing fast and secure transactions over the Internet while dramatically reducing Web server and network appliance response time. CryptoSwift accelerates the public-key cryptographic functions of popular security protocols such as SSL/TLS, WAP/WTLS, S/MIME, IKE/IPSec and others. This proven technology, first developed by Rainbow iVEA, improves server-response time for secure connections by freeing the Web servers and network appliances to perform other tasks, especially during peak load and heavy traffic periods.

About AeA

Responding to the substantial growth in its membership and keeping pace with the New Economy, the American Electronics Association has changed its name to the more succinct AeA. AeA has also adopted a new tagline, “Advancing the Business of Technology,” to highlight its unique leadership and the unrivaled vitality of its member companies in shaping the New Economy. Advancing the business of technology, AeA is the nation’s largest high-tech trade association. Founded in 1943, AeA has more than 3,500 member companies that span the high-technology spectrum, from software, semiconductors and computers to Internet technology, advanced electronics and telecommunications systems and services. With 17 regional U.S. councils and offices in Brussels and Beijing, AeA offers a unique global policy grassroots capability and a wide portfolio of valuable business services and products for the high-tech industry. For 57 years, AeA has been the accepted voice of the U.S. technology community.

About Rainbow iVEA

Rainbow iVEA, a Rainbow Technologies, Inc. (Nasdaq: RNBO) company, is a leading provider of high-performance Internet security solutions for eCommerce and mCommerce servers and network equipment. Rainbow iVEA’s cryptographic acceleration solutions are used by major OEM Web-server companies and load-balancing appliance vendors in addition to customers in industries such as eBusiness, banking and financial services, technology communications, healthcare, higher education and government.

Rainbow iVEA headquarters are in Irvine, California with offices throughout Europe and Asia. Rainbow iVEA also employs a strong network of leading distributors that sell the company’s products worldwide. For more information on the CryptoSwift family of eCommerce acceleration products, call toll-free at 1-877-274-4832; email info@ivea.com or visit our Web site at www.ivea.com.

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Rainbow iVEA, Rainbow Technologies and CryptoSwift are trademarks of Rainbow Technologies. All other product and company names are trademarks of their respective organizations.

The Private Securities Litigation Reform Act of 1995 provides a “safe harbor” for forward-looking statements. Certain information included in our Annual Report on Form 10-K and other materials filed with the Securities and Exchange Commission (“SEC”) (as well as information included in oral statements or other written statements made or to be made by the Company) contain statements relating to the following: dependence upon existing and new product offerings, competition, intellectual property and licensing, future growth, rapid technological and market change, manufacturing and sourcing risks, Internet infrastructure and regulation, the inclusion of network security functionality in hardware or system software, international operations, among others. These conditions involve important factors that could cause actual results to differ materially from those expressed in any forward-looking statements made by or on behalf of the Company. Any forward-looking statements are made pursuant to the Private Securities Litigation Reform Act of 1995 and, as such, speak only as of the date made. Statements made in this document that are not purely historical are forward-looking statements, including any statements as to beliefs, plans, expectations, or intentions regarding the future. The Company assumes no obligation to update information concerning its expectations.

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