Wave Systems’ Secure Enterprise Software and Server Products to be Demonstrated at the Intel Developer Forum, Booth 943, August 23-25, Moscone Center West, San Francisco

Lee, MA — August 23, 2005 — Wave Systems Corp. (NASDAQ:WAVX) announced today that its EMBASSY(R) Trust Suite (ETS) client software and server products will be demonstrated at the Intel Developer Forum, Intel Booth 943, August 23-25, Moscone Center West, San Francisco. Features to be demonstrated include biometric authentication, smart card authentication, password authentication and machine authentication of a user’s personal computer to an enterprise server. Wave has designed these trusted computing solutions to give IT administrators more flexibility and increased options in managing corporate and government data networks.

A client version of Wave’s trusted applications and services software security suite ETS has shipped with the Intel(R) 945 Express Chipset-based Intel Desktop Boards D945GNTLKR, D945GTPLKR and D945GCZLKR. For more information on these products, visit http://www.intel.com/design/motherbd/software/ets/.

Wave’s ETS software is designed to support the next generation security chip hardware, called Trusted Platform Module (TPM) 1.2, integrated into the Intel desktop boards, and can be used in a wide variety of customer applications. The computer industry has shipped millions of PCs embedded with the TCG-standard TPM 1.1 chip and is now shipping the next generation 1.2 TPM chip.

TPMs serve as a platform for secure services and applications. Wave has designed its secure business productivity software to work with all commercially available TCG-compliant TPMs. Wave’s ETS solutions are also designed to be compatible with the Microsoft Office(R) environment and facilitate a variety of PC-related security and productivity tasks.

Important attributes of Wave’s ETS software include:

Wave is a member of the Trusted Computing Group (TCG), an industry organization dedicated to embedding trust and security more broadly into computing platforms and devices. More information on Wave’s ETS software is available at www.wave.com.

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About Wave Systems Corp.

Wave is a pioneer in hardware-based PC security that provides software to help solve critical enterprise PC security challenges such as data protection, strong authentication, network access control and the management of these enterprise functions.  Wave is a founding member of the Trusted Computing Group (TCG), a consortium of more than 100 companies that forged open standards for hardware security.  Wave’s EMBASSY® line of client- and server-side software leverages and manages the security functions of the TCG’s industry standard hardware security chip, the Trusted Platform Module (TPM) as well as hard drives that comply with TCG’s “Opal” self-encrypting drive (SED) standard.  Self-encrypting drives are a growing segment of the data protection market, offering increased security and better performance than most existing software-based encryption solutions.  TPMs are standard equipment on many enterprise-class PCs shipping today and have shipped on an estimated 300 million PCs worldwide.  Using TPMs and/or SEDs and Wave software, enterprises can substantially and cost-effectively strengthen their current security solutions.  Visit http://www.wave.com for more information.

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Under the Private Securities Litigation Reform Act of 1995. This press release may contain forward-looking information within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended (the Exchange Act), including all statements that are not statements of historical fact regarding the intent, belief or current expectations of the company, its directors or its officers with respect to, among other things: (i) the company’s financing plans; (ii) trends affecting the company’s financial condition or results of operations; (iii) the company’s growth strategy and operating strategy; and (iv) the declaration and payment of dividends. The words "may," "would," "will," "expect," "estimate," "anticipate," "believe," "intend" and similar expressions and variations thereof are intended to identify forward-looking statements. Investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, many of which are beyond the company’s ability to control, and that actual results may differ materially from those projected in the forward-looking statements as a result of various factors.

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For more information please contact:

Wave Media Contact:
Michael Wheeler
Wave Systems Corp.
Wave Investor Relations Contact
David Collins, Richard Land
Catalyst Global LLC

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