Strategic Agreement Combines Industry’s Leading SSL Acceleration Solution with New Provider of Real-Time Application Protection

IRVINE and SUNNYVALE, Calif. – RSA Conference 2002 – February 20, 2002 – Rainbow eSecurity, a Rainbow Technologies, Inc. (Nasdaq: RNBO) company and a leading solutions provider of digital content and transaction security, and Stratum8 Networks, Inc., a developer of Internet security solutions, today announced their joint marketing and technology agreement, which integrates Rainbow’s CryptoSwift eCommerce acceleration solutions into Stratum8’s new Application Protection System (APS) software solution. This integrated solution accelerates SSL transactions and analyzes the interaction between the Web server and browser to protect users against HTML commands issued with malicious intent, including buffer overruns, cookie tampering, session hijacking and worms.

According to Gartner Group, as many as 75 percent of malicious attacks occur at the application level. Unlike intrusion detection and virus scanning solutions that can only analyze against known signatures after an intrusion has occurred, the Rainbow and Stratum8 solution blocks malicious activity from ever reaching the Web servers and corrupting underlying corporate data. Through Stratum8’s APS device, a real-time analysis of user activity blocks malicious activity on first and subsequent attacks. Rainbow’s CryptoSwift allows the device to process SSL-encrypted transactions at line speed with virtually no latency for the end user, a capability required by many large eCommerce sites processing large numbers of encrypted transactions.

“By integrating CryptoSwift with a commerce version of our APS, we are able to offer a swift, secure solution for those customers that require SSL sessions be terminated at the APS device,” said Abhishek Chauhan, chief technology officer for Stratum8 Networks. “In this scenario, the data is re-encrypted prior to secure transmission to the Web server for higher performance, higher security, and to conform to financial and healthcare security requirements.”

“Our relationship with Stratum8 reinforces our strategy to provide innovative security solutions at all layers of the IT infrastructure,” said Shawn Abbott, president, Rainbow eSecurity. “The combination of APS software and CryptoSwift provides users with powerful Web application security, while maintaining a high level of Web server performance, in a single package that can be installed quickly.”

The new APS Commerce solutions featuring CryptoSwift will be available in Q2 of 2002.

About CryptoSwift

Rainbow’s eCommerce performance and security acceleration technology is the industry’s leading solution for cryptographic acceleration, providing fast and secure transactions over the Internet while dramatically reducing Web server and network appliance response time. The CryptoSwift family of eCommerce acceleration solutions accelerates the public-key cryptographic functions of popular security protocols such as SSL/TLS, WAP/WTLS, S/MIME, IKE/IPSec and others. SSL acceleration technology was first developed by Rainbow and 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. Since 1997, Rainbow’s CryptoSwift is the SSL acceleration solution of choice for fast, secure online transactions for B2B and B2C environments of all types and sizes.

CryptoSwift has won more major industry awards for excellence than any other SSL acceleration solution, including a prestigious “Well-Connected Award” for best SSL accelerator and “Editor’s Choice Award” for best internal SSL accelerator from Network Computing, a “Blue Ribbon Award” from Network World as the industry’s top cryptographic accelerator and two American Electronics Association (AEA) High Tech Awards for “Innovative Product/Technology” in 2000 and 2001. In addition, Rainbow’s NetSwift2012 appliance for SSL/WTLS (wired/wireless) security acceleration was a 2001 Editor’s Choice from Communications News.

About Stratum8

Stratum8 Networks is a developer of security infrastructure solutions to protect enterprise intranets, extranets and external websites. Stratum8’s flagship Application Protection System (APS) prevents hacks and malicious intruders from ever reaching their targets. Founded in 2000, the Company is headquartered in Sunnyvale CA. www.stratum8.com.

About Rainbow Technologies

Founded in 1984, Rainbow Technologies is a leading provider of information security solutions for the Internet, eCommerce, mCommerce, content protection, software distribution and high-assurance communications. Rainbow applies its core technology to a variety of Internet applications from securing software, custom high-assurance security hardware, complete eBusiness services and content/transaction security solutions corporate networks, VPNs, and the Internet. Rainbow’s products include: secure Web server acceleration solutions; anti-piracy and Internet software distribution solutions; PKI-based security solutions; voice, data and satellite information security and authentication solutions; and USB-based Web authentication tokens. With headquarters in Irvine, California, Rainbow Technologies maintains offices throughout the United States, United Kingdom, France, Germany, Australia, China, India, The Netherlands, Brazil and Taiwan. A network of nearly 80 authorized distributors sells Rainbow products worldwide. For more information, visit our Web site at http://www.rainbow.com.

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Rainbow Technologies and CryptoSwift are trademarks of Rainbow Technologies, Inc. All other company and product 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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