Datakey Expands Its Business With The Canadian Government

MINNEAPOLIS, July 16, 2002 – Datakey Inc. (Nasdaq: DKEY; www.datakey.com), a trusted developer of smart card solutions for securing enterprise-wide personal identification, today announced that it has added new production programs and expanded current projects with the Canadian government. Datakey delivered smart cards, readers and CIP client software to 16,000 users at three different Canadian government agencies in the second quarter.

The Canadian government has been a pioneer in the adoption of smart card technology. In particular, major programs such as the Department of Defense E-mail System II project – which Datakey was selected for last year – demonstrate the progressive approach that Canada has taken in e-government initiatives. The selection of smart card technology for strong security and user authentication in these initiatives is helping to validate for other organizations in both Canada and the United States as a whole how smart card technology adds a vital layer of security to network environments and online resources.

“It’s no coincidence that Datakey is continuing to earn and expand its business with Canadian government agencies,” said Carl Boecher, president and CEO, Datakey. “After successful deployments with several major government organizations in Canada, other agencies know they can trust and rely on Datakey smart card technology to work for them, right out of the box. Datakey technology is the natural choice for them when security is important.”

About Datakey Inc.
Datakey Inc. (www.datakey.com) focuses on delivering reliable smart card-based solutions for securing enterprise-wide personal identification. Datakey smart card technology is trusted to:

Safeguard a user’s digital identity.
Authenticate and control user access to enterprise networks, applications and resources. Protect the integrity and privacy of data shared over corporate networks and the Internet. Customers and partners alike rely on Datakey technology in a full range of enterprise applications, including password management, host authentication, Windows log-on, VPN access, web authorization, desktop security, corporate badge and building access, biometric integration, public key encryption, digital certificates and digital signatures.

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Datakey Expands Its Business With The Canadian Government