WatchGuard Continues Market Leadership In Mid-Range VPN Hardware


Infonetics report declares WatchGuard the mid-range VPN hardware

revenue leader for the sixth consecutive quarter

WatchGuard Technologies, Inc. (NASDAQ:WGRD) a leader in Internet security solutions, today announced that it was once again named revenue market share leader in the mid-range VPN hardware market.

According to the August 2001 Infonetics report, “VPN and Firewall Products,” WatchGuard owned 18% of the market in Q2 2001, earning the top spot as the #1 revenue-generating mid-range VPN hardware, a position which it has held since Q1 2000.

“Our research has shown high growth in the VPN market, with the mid-range market forecast to grow 109% to $289 million in revenue for 2001,” said Jeff Wilson, Executive Director of Infonetics. “WatchGuard continues to maintain their leadership in this market with their focus on ease of use, superior management and price/performance.”

“The mid-sized and large enterprise VPN market continues to expand, and our new Firebox III product family offers a range of solutions for these customers,” said Jim Cady, President and COO of WatchGuard. “The price/performance of the Firebox III family combined with our superior VPN management offering has enabled us to continue to lead the mid-range VPN market as we attract new customers to the WatchGuard product line.”

WatchGuard’s new Firebox III family delivers industry-leading price/performance to small businesses, mid-sized enterprises, larger distributed organizations and Internet data centers. The comprehensive Firebox System includes the Firebox appliance, firewall and virtual private networking (VPN) protection, management software and the LiveSecurity Service. All Firebox III products offer ICSA Firewall and IPSec VPN certification.

About Infonetics Research

Infonetics Research ( is a market research and consulting firm that provides worldwide market share services and US and European demand-side research to network equipment and software manufacturers, service providers, the investment community, and chip and component manufacturers worldwide.

About WatchGuard Technologies, Inc.

WatchGuard (Nasdaq: WGRD) is a leading provider of dynamic, comprehensive Internet security solutions designed to protect enterprises that use the Internet for e-business and secure communications. The Company is a pioneer in the creation of the plug-and-play Internet security appliance, the Firebox, and server security software. The Company’s innovative LiveSecurity Service enables organizations and users to keep their security systems up-to-date, and its ServerLock and AppLock/Web software provides server content and application security to protect critical data and services against unauthorized or unintentional access or manipulation. For more information, please call 206-521-8340 or visit

Certain statements in this press release are “forward-looking statements” within the meaning of the Securities Act of 1933, as amended. Forward-looking statements are based on the opinions and estimates of management at the time the statements are made and are subject to known and unknown risks and uncertainties and inaccurate assumptions that could cause actual results to differ materially from those expected or implied by the forward-looking statements. Our actual results could differ materially from those anticipated in the forward-looking statements for many reasons, including the risks described under “Factors Affecting Our Operating Results, Our Business, and Our Stock Price” in our quarterly report on Form 10-Q for the quarter ended June 30, 2001, and in our Securities and Exchange Commission filings from time to time. Readers are cautioned not to place undue reliance upon these forward-looking statements which speak only as of the date of this release.

WatchGuard(R) and LiveSecurity(TM) are either a trademark or registered trademark of WatchGuard Technologies, Inc. in the United States and other countries. Firebox, ServerLock and AppLock are trademarks of WatchGuard Technologies, Inc. All other trademarks are trademarks of their respective owners.

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