Wave Systems Showcases Hardware Security
Verification System at RSA Conference 2008

Proof-of-Concept Solution Limits Access to Critical Data Based on Proof of Data Encryption on Seagate FDE Hard Drives

Lee, MA & San Francisco, CA (Booth # 728) — April 8, 2008 — Wave Systems Corp. (NASDAQ: WAVX; www.wave.com ) today announced a proof-of-concept solutionfor ensuring the integrity of data protection hardware. At RSA Conference 2008, Wave will show the Trust-and-Verify Web service, in which a server interrogates computers seeking access to sensitive data in order to verify the status of their Seagate full disk encryption hard drive. Only after this verification step occurs and the level of data protection is deemed adequate, can a PC download requested data. This next-generation solution measures and reports the integrity of a user’s PC, a critical requirement for protecting sensitive information.

"The computer security industry has made great strides in enabling data encryption and strong authentication," said Steven Sprague, president and CEO of Wave Systems. "But that’s only half the battle. These security products are only useful if the enterprise can be sure they are installed, enabled and working properly before they allow their users to access confidential or proprietary information. They must also provide proof to others, such as auditors and regulators. With our new ‘Trust-and-Verify’ solution we are looking to bridge that gap."

TheTrust-and-Verify demonstration system pairs Wave’s EMBASSY® Remote Administration Server (ERAS) on the server side, with Wave’s EMBASSY Trust Suite and Seagate FDE hard drives on the client. When the client attempts to access pages from a local network, ERAS polls the client to confirm the presence of a prerequisite Seagate FDE drive, and the fact that the drive’s state-of-the-art encryptionand strong access control are enabled.

By leveraging the ability to measure and verify PC integrity, enterprises can:

"Wave is committed to pushing the envelope on security," concluded Sprague. "Leaders such as Seagate have brought advanced hardware encryption to the enterprise and now Wave is broadening the possibilities for enterprises’ overall data protection solutions with its Trust-and-Verify technology."

For more information about Wave Systems activities at RSA Conference 2008, or to schedule meetings with company experts at the show, please contact Dave Bowker or Tiffany Archambault at 781-684-0770 or e-mail wavesystems@schwartz-pr.com. For more information about Wave’s products and services, please visit 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:

Company:
Wave Systems Corp.
Michael Wheeler
413-243-7026
mwheeler@wave.com
Wave Media Contact:
Schwartz Communications
Michael Schultz / Tiffany Archambault
781-684-0770
wave@schwartz-pr.com
Wave Investor Relations Contact
David Collins, Ratula Roy
Catalyst Global LLC
212-924-9800
wavx@catalyst-ir.com