SafeNet Supplies Encryption Technology to Microsoft for its Next-Generation Secure Computing Base Demonstration

SafeNet to Demonstrate New Technology at the WinHEC 2003 Conference

WinHEC, NEW ORLEANS, LA – May 6, 2003 – SafeNet (Nasdaq: SFNT), a leading provider of private and public network security solutions who has set the industry standard for VPN technology and secure business communications, today announced that its SafeXcelâ„? chip technology will be used in one of Microsoft’s Next-Generation Secure Computing Base (NGSCB) demonstrations at the Windows Hardware Engineering Conference (WinHEC) in New Orleans starting May 6, 2003. NGSCB, formerly known as “Palladium,” is a new set of secure computing capabilities for a future version of the Microsoft Windows operating system. NGSCB will offer four types of secure computing features-strong process isolation, attestation, sealed storage, and a secure path to and from the user. SafeNet’s SafeXcel-810 chip is designed to be compatible with Microsoft’s specification for the secure path feature, and it will be included inside of the keyboard as part of the secure input demonstration.

“SafeNet has delivered prototype data input hardware that enables a secure input path between the user and NGSCB,” said John Manferdelli, general manager for the Windows Trusted Platform Infrastructure group at Microsoft Corp. “We are pleased to be working with SafeNet in building out the NGSCB ecosystem, and look forward to the continuation of that relationship.”

The technology being developed as part of NGSCB includes new software that will work on a new breed of PC hardware. This new architecture will provide unprecedented capabilities for enabling secure processing on a future version of the Microsoft Windows operating system.

“The combination of Microsoft’s expertise in secure computing combined with SafeNet’s expertise in encryption technology is a great solution for realizing the NGSCB vision. As we push into the next era of computing, all areas of a computing and networking must be secure. Microsoft is helping to solve these issues with NGSCB,” said Anthony Caputo, Chairman, and CEO for SafeNet. “We are very pleased to be working with Microsoft on such an important endeavor.”

During the WinHEC Conference, Microsoft will demonstrate NGSCB technology in action, including SafeNet’s SafeXcel-810 chip, which will help to enable the secure path portion of the demo. The SafeXcel-810 will encrypt the keystrokes from the keyboard to protect the privacy and integrity of keyboard information as it is transmitted to the computer. The SafeXcel-810 chip is capable of securing a number of USB endpoints of the computer, such as a keyboard or a mouse.

About the SafeXcel-810
Part of the Transaction Device Series in SafeXcel silicon chips, the SafeXcel-810 is designed for stand alone smart card readers and keyboards with built-in smart card readers. The SafeXcel-810 contains interfaces on the chip, thereby alleviating the need for external components. The SafeXcel-810 smart card reader IC contains a 24 MHz 8051 compatible processor and three cryptographic accelerators. The SafeXcel-810 can perform all encryption functions necessary to make a smart card reader secure. A variety of interfaces make the SafeXcel-810 suitable for many applications. Interfaces for USB1.1, RS232, a keyboard, a LCD, two smart cards and a serial EEPROM are provided.

About SafeNet, Inc.
SafeNet, Inc. (Nasdaq: SFNT), a leading provider of private and public network security solutions, has set the industry standard for virtual private network (VPN) technology and secure business communications and offers the only encryption platform to meet your security needs. With more than 20 years experience in developing, deploying, and managing network security systems for the most security-conscious government, financial institutions and large enterprise organizations around the world, SafeNet’s proven technology has emerged as the de facto industry standard for VPNs. SafeNet is the single-source vendor for WAN and VPN security solutions teamed with an easy and low-cost migration path to a broad range of VPN products. SafeNet security solutions, based on SecureIP Technologyâ„?, and part of the CGX Security Platform, have become the products of choice for leading Internet infrastructure manufacturers, service providers, and security vendors. With SafeNet securing the infrastructure of today’s e-business communications as well as leading the way in government Homeland and classified data security, the company has opened new markets for interoperable, secure, and deployable VPN communications. Commercial customers include Texas Instruments, Microsoft, Samsung, Centillium Communications, ARM, and Cisco Systems. Government, financial, and large enterprise customers include Federal Bureau of Investigation, U.S. Postal Service, U.S. Department of Defense, U.S. Internal Revenue Service, Social Security Administration, MBNA, American Express, Bank of America, Eastman Kodak, Hewlett-Packard, and Motorola. For more information, visit

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