Arcot Systems and GeoTrust Announce Partnership

GeoTrust and Arcot Systems Partner to Deliver a Secure Software-Based Authentication Solution That Will Replace Hardware-Based Tokens at a Fraction Of The Cost

Januray 21, 2003 - Santa Clara, Calif., and Wellesley, Mass. - Arcot Systems, Inc., a leading provider of solutions for securing electronic identity, and GeoTrust, a leader in identity and security solutions for e-business and the second largest certificate authority, today announced a joint partnership to integrate Arcot's WebFort™ into GeoTrust's enterprise managed security service, True Credentials™, to be used as a hardware-based token replacement strategy for all of GeoTrust's enterprise customers worldwide. The new offering will be sold under the GeoTrust True Credentials brand. This agreement will allow GeoTrust to again enter an existing market and offer a simpler, cost-effective solution as it did successfully with its QuickSSL Web server certificate technology.

The combined solution will offer enterprise organizations a comprehensive, strong authentication and secure digital signature solution for e-business and enterprise applications as a replacement for existing hardware tokens or to upgrade existing password based systems. The partnership will provide a more cost-efficient and secure method to verify the identity of a user during an online logon or financial transaction.

Many corporations today have determined that hardware-based token solutions can cost as much as $100 a year per user to maintain, creating a demand for a more cost effective solution. Additionally, many corporate applications today continue to use SIMPLE password-based authentication because of the high maintenance cost of token-based solutions. The True Credentials solution will be able to provide the ROI needed for companies to upgrade both their token-based solutions as well as their password-based solutions, without sacrificing security.

The True Credentials solution using Arcot's WebFort solution that is based on cryptographic camouflage technology can be deployed much faster and efficiently than token-based solutions. The physical tokens have to be manually distributed to all users, by hand delivery in a corporate office or via the mail in a distributed office environment. In either case there are significant distribution costs as well as error prone procedures.

The True Credentials distribution method is 100% automated and can be done in real-time over the Internet or corporate intranet. It will use an easy password-based logon or an ATM-like interface that requires no special knowledge or user training.

Arcot provides strong software-based user authentication products to Fortune 100 corporate employees accessing corporate systems over the internet such as email and HR systems. Additionally, Arcot is being used by major corporations to authenticate trading partners to corporate portals. Under the terms of this agreement, GeoTrust and Arcot will jointly target an expanded section of corporations and applications, by tapping into the current half billion dollar hardware token market.

"We chose Arcot to assist us with our token replacement strategy as they have emerged as the leader in providing secure software-based authentication," said Neal Creighton, CEO of GeoTrust. "With True Credentials backed by Arcot technology, our customers will be able to easily create an internal transaction system that quickly and easily verifies the identify of all parties."

"We are very pleased to be working with a fast growing company such as GeoTrust," said Steve Ryan, VP Corporate Development at Arcot. "This agreement will further expand the reach of Arcot's WebFort, allowing more and more enterprises to feel confident in extending their business to the Web."

About GeoTrust, Inc.

GeoTrust, Inc., an emerging leader in Identity and Trust Services, helps organizations of all sizes secure e-commerce transactions, trusted identities and fully managed trusted environments for conducting e-business. GeoTrust's Web Security Services offer hosting providers and businesses with world-class digital certificates for fast transaction security and patent-pending smart-seals to ensure a trusted identity on the Web. GeoTrust also offers managed security services for large enterprises. With more than 40,000 companies in over 140 countries using its technology for transaction security, GeoTrust is the second largest digital certificate provider in the world. GeoTrust can be reached at www.geotrust.com or 800-944-0492.

About Arcot

Arcot Systems, Inc. is the leading provider for securing identity and payments in Internet-scale, transactional and wireless environments. Only Arcot provides cost-effective, scalable, software solutions based on the ArcotID» Software Smart Card for strongly authenticating users and transactions for payment systems, Web-based email, Web portals and virtual private networks. Arcot solutions meet the business need for strong transactional security while providing the customer a user-friendly experience with anytime, anywhere convenience. Arcot serves over 4000 customers today including leaders in financial services, healthcare, and e-commerce that use Arcot solutions to protect their customers' privacy and reduce fraud. For more information, visit www.arcot.com.

GeoTrust is a registered trademark of GeoTrust, Inc. QuickSSL and True Site are trademarks of GeoTrust, Inc. All other product names are trademarks or registered trademarks of their respective owners.