Wave Systems to Demonstrate TNC Network Integrity Access Control with Juniper Networks

RSA Conference Network Access Control Demonstrations Showcase Platform Trust Service Using Trusted Network Connect Architecture

Lee, MA and San Jose, CA — February 10, 2006 — Wave Systems Corp. (NASDAQ:WAVX www.wave.com) announced that it will demonstrate network integrity access control capabilities using the industry standard Trusted Network Connect (TNC) architecture. TNC architecture is designed to deliver significantly strengthened network integrity. This demonstration, featuring Wave’s EMBASSY® Trust Suite software products working with Juniper Networks L2 access control solution, will be conducted at the RSA Conference 2006, Booth 1407, Monday, Feb. 13 through Friday, Feb. 17 at the McEnery Convention Center, San Jose, CA.

TNC is a security architecture standard promoted by the Trusted Computing Group (TCG) designed to help improve the security and compliance integrity of clients during the network connection process. The TNC establishes a level of network access based on the configuration and integrity of the client. Network administrators implementing the TNC expect to have fewer security problems, lower support costs and less downtime caused by poorly configured or infected client systems.

The TNC standard was developed by a TCG subgroup of more than 60 networking and technology industry companies representing client and network security; switches, routers, and hubs; systems and systems management; and operating systems.

At RSA, Wave is demonstrating its EMBASSY secure software technology by delivering platform integrity services on a PC equipped with a Trusted Platform Module (TPM). The EMBASSY technology platform is designed to support hardware security features provided by TPM security chips currently shipping in millions of personal computers.

In the case of platform trust services, EMBASSY technology, using a TPM, enforces a set of policies to collect integrity information from the PC, such as the state of anti-virus software, whether the operating system has been tampered with, or whether all appropriate patches have been downloaded to the client. The EMBASSY platform provides these client functions in concert with IT department policies which can be set through network equipment and software from Juniper Networks. Clients not meeting the pre-determined policies, such as those for patch levels, can be quarantined for remediation, repaired, and then allowed access to the network.

"The TNC standard leverages existing network infrastructure to deliver secure and cost-effective, best-in-class access control solutions. Adding TPM support to the client component of the system is a natural extension of the solutions’ ability to control use and protect enterprises from non-compliant or malware-infected machines," said Andrew Harding, director of product management at Juniper Networks, Inc. “Juniper Networks is showing the interaction between Wave’s EMBASSY Trust Suite software products and Juniper Networks’ Layer 2 access control technology, demonstrating how standards-based systems can provide complete, seamless trusted computing and access control."

“It is exciting to see Wave Systems releasing an implementation of the Platform Trust Services (PTS) standard from the TCG, since PTS is an essential piece of the trusted computing ecosystem,” said Dr. Thomas Hardjono, co-chair of the TCG Infrastructure Working Group. “The PTS is designed to work on a broad range of platforms, including the PC-Client platform, Server platform, Mobile Phone platform, and the Network platform. Wave has clearly shown their leadership in the trusted computing technology space.”

"The platform integrity feature available with Wave’s EMBASSY technology is one of the industry’s first solutions designed to provide TNC products with the strong authentication capabilities of a TPM," said Brian Berger, Wave’s executive vice president, marketing and sales. "EMBASSY delivers key identity capabilities for the network authentication of users and machines as well as important integrity capabilities for the collection of data necessary to determine the health of a particular PC prior to network access."

The EMBASSY Trust Suite and the EMBASSY Enterprise Authentication Server deliver improved trusted computing features for enterprise and government markets. These features include network policy management, data protection, biometric authentication, smart card authentication, password authentication and machine authentication of a user’s personal computer to a server.

For more information about Wave’s products and services, please go to 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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For more information please contact:

Wave Media Contact:
Michael Wheeler
Wave Systems Corp.
413-243-7029
mwheeler@wave.com
Wave Investor Relations Contact
David Collins, Richard Land
Catalyst Global LLC
212-924-9800
wavx@catalyst-ir.com

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