Datacard and Datakey join forces to offer solution for secure enterprise authentication and identification

MINNEAPOLIS, Jan. 6, 2003 – Datakey Inc. (Nasdaq: DKEY; www.datakey.com), a trusted developer of smart card solutions for securing e-business, and Datacard Group today announced that they have signed a reseller agreement, enabling Datacard to integrate and sell Datakey Model 330 cryptographic smart cards, CIP client software and Datakey smart card readers as part of its secure authentication solution for enterprise ID.

The smart card technology developed by Datakey was a natural fit for Datacard enterprise security solutions. Datakey cryptographic smart cards and client software are well established in the industry and trusted by a growing list of enterprise customers for secure access to enterprise networks, applications and corporate facilities. They are also used to protect the integrity and privacy of data shared over enterprise networks and the Internet.

Datacard chose Datakey cards, software and readers because the technology strictly adheres to industry standards and delivers a high level of security, demonstrated through certifications it has achieved such as FIPS 140-1 Level 2. Just as important, Datacard selected Datakey because its technology consistently works “right out of the box” with a wide range of information security products and applications.

“Our enterprise security solutions allow large enterprises to efficiently manage and secure enterprise resources and facility access,” said Martin Kearsley, senior vice president and general manager of Datacard’s solutions division. “The Datakey components we have selected are critical elements of this solution. The quality, reliability and performance of their cryptographic cards, client software and card readers are outstanding.”

Tim Russell, vice president and general manager, Datakey, said, “Datacard’s solutions, which benefit from the advanced security and interoperability of Datakey smart cards and CIP client software, represent a comprehensive package that give enterprises a single corporate ID badge for access to facilities as well as for access to their PCs and network resources. The selection of Datakey smart cards and client software further demonstrates the high level of trust that our partners place in Datakey technology.”

In addition to Datacard, companies such as Rainbow Technologies (Rainbow iKey 2032), SafeNet (SafeNet Smart VPN) and SWIFT (SWIFTAlliance WebStation) rely on the strength of Datakey’s smart card technology and have integrated it as central components of their own product lines.

About Datacard Group
Datacard Group provides software, systems and professional services needed to build profitable card programs. The company’s portfolio includes a complete line of smart card solutions, secure digital identity systems and card personalization systems. Datacard Group, which is privately held and based in Minnetonka, Minn., serves customers in more than 120 countries. (www.datacard.com).

About Datakey Inc.
Datakey Inc. (www.datakey.com) focuses on delivering smart card-based solutions that assure identity and protect the integrity and privacy of data shared over public and private networks. Datakey cryptographic smart cards, client software, desktop applications and card management products enable organizations to reliably identify users and open doors in both the physical and online worlds.

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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