Wave to Demonstrate Security Solutions at DoD Public Key Enabling Forum

Wave CEO Steven Sprague to Present on Trusted Computing Oct. 24

Lee, MA– October 23, 2006 — Wave Systems Corp. (NASDAQ:WAVX www.wave.com) announced today that it will conduct demonstrations of its EMBASSY line of software at the Department of Defense (DoD) Public Key Enabling (PKE) forum at the Atlanta Sheraton, Atlanta, Georgia, Oct. 24-25.

At the conference, Wave will show how its software can offer added security for digital certificates, such as those ordered from strategic partner Operational Research Consultants (ORC). Representatives from both companies will be on hand to explain how Wave’s EMBASSY software, in conjunction with a hardware security chip called a trusted platform module (TPM), is capable of generating and protecting private keys for ACES and ECA certificates issued by ORC. This solution is designed to reduce the certificates’ susceptibility to theft or misuse because it ties the certificate to the TPM from which it was created.

Recently, the Trusted Computing Group’s industry-standard hardware chips (TPMs) have caught the attention of the federal government, which is rapidly requiring their presence on many new platforms. Both the Army and Air Force recently published acquisition requirements specifying this chip on all new PCs.

Wave CEO Steven Sprague to Present on TPMs in PKI Environment

Steven Sprague, Wave’s president and CEO, has been invited to present at the forum tomorrow afternoon from 3:30-4:30 p.m. in the North Capitol Ball Room. In his presentation “Trusted Computing: TPMs in the Mobile PKI Environment” he will discuss how TPMs harden existing PKI certificates. Sprague will also discuss how to leverage trusted computing solutions beyond the DoD PKI environment, showing how they are designed to solve the real-world authentication and identity management problems facing federal, state and local government agencies.

About WidePoint and ORC

WidePoint is a technology-based provider of products and services to the government sector and commercial markets. WidePoint specializes in providing systems engineering, integration and information technology services. WidePoint’s wholly-owned subsidiary, ORC, is at the forefront of implementing government-compliant eAuthentication identity management managed services and associated systems engineering/integration. ORC has earned several major U.S. federal government certifications offering the highest levels of assurance for transactions over the Internet. ORC’s GSA IT Schedule FSS # GS-35F-0164J and associated SINs are available through http://gsaadvantage.gov.

An investment profile about WidePoint may be found at www.hawkassociates.com/wyyprofile.aspx

For investor relations information regarding WidePoint, contact Frank Hawkins or Cale Smith, Hawk Associates, at (305) 451-1888, e-mail: info@hawkassociates.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 Systems Corp.
Michael Wheeler
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Schwartz Communications, Inc.
Michael Schultz /Katie Potter
Wave Investor Relations Contact
David Collins, Ratula Roy
Catalyst Global LLC

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