Datakey Smart Card Technology Integrated With Pointsec(R) for PC

Pointsec Mobile Technologies and Datakey Enable a Powerful Workstation Security Solution That Delivers Smart Card-Based PC Logon, Single Sign-On, Full Disk Encryption and Computer Lock-Down Functionality

MINNEAPOLIS and WALNUT CREEK, Calif., Oct. 31, 2002 -- Datakey Inc. (Nasdaq: DKEY) ( http://www.datakey.com ), a trusted developer of smart card solutions for securing e-business, and Pointsec(R) Mobile Technologies, Inc. ( http://www.pointsec.com ), a global leader in enterprise security software for laptops, desktops and PDAs, today announced that Datakey smart card technology has achieved integration with Pointsec(R) for PC, Pointsec's enterprise workstation security software that delivers full hard disk encryption, authentication for computer logon and single sign-on to Windows and Novell networks.

The Pointsec for PC solution uses access control and encryption to protect access to information, software and network connections on desktop or laptop PCs. It safeguards a user's workstation by requiring the user to authenticate their identity prior to computer start-up. Through a Single Sign-On (SSO) interface, users only need a single user ID/password to access both the PC and their Windows or Novell network. Once logged on, it automatically encrypts the contents of the user's hard disk drive. If the user's laptop or workstation is ever lost or stolen, no unauthorized user could start-up the machine, or gain access to the contents of the PC without the proper credentials, even if the hard drive is removed and installed in an insecure device.

Datakey smart cards deliver an extra layer of protection for Pointsec workstations by giving users the ability to upgrade from user ID/password-only authentication to two-factor smart card security -- authentication is based on something the user owns, their personal smart card, and something the user knows, their passphrase to activate the smart card. Access to a user's workstation and the network requires possession of the smart card and knowledge of the passphrase, making it extremely difficult for any unauthorized user to compromise a protected desktop.

To start up the workstation and access the operating system or network through the SSO interface, a user inserts their smart card into the attached card reader and then enters their passphrase. After logging on, the user benefits from automatic hard disk encryption for the complete contents of their PC. They also benefit from a secure lock-down mode whenever they remove their smart card from the reader, which requires the user to re-insert their smart card and re-enter the passphrase to unlock the workstation.

The combined Pointsec and Datakey solution protects access to a user's workstation, but it also creates a secure environment for a complete range of other network or online applications after the user has logged on to their PC. The user can take advantage of Datakey smart card technology and their digital credentials for e-commerce applications, to digitally sign and complete online transactions, to digitally sign forms or documents, to encrypt and digitally sign e-mail, for VPN access or for any other enterprise PKI applications.

"Pointsec Mobile Technologies understands the importance of smart cards in enabling an even higher factor of workstation and enterprise-wide security when combined with our award-winning Pointsec 4.1 encryption and access control solution," said Doug Chalmers, president of Pointsec Mobile Technologies, Inc. "We partnered with Datakey because its smart card solution, Datakey CIP, seamlessly integrated with Pointsec. And Datakey is widely recognized and trusted in the smart card industry for their superior technology, which includes FIPS 140-1 Level 2 certification."

Tim Russell, vice president and general manager, Datakey, said, "We're excited to be working with a proven leader like Pointsec Mobile Technologies and foresee a strong partnership through our combined technology. The Pointsec-Datakey solution gives our joint customers security and flexibility for their workstations and for a complete range of secure network applications after they log on to their desktops or laptops."

About Pointsec(R) for PC

Pointsec 4.1 was the first full disk encryption product to receive FIPS certification (FIPS 140-1 Level 1), and is currently in evaluation status for Common Criteria EAL 4 Level 4. The encryption algorithms implemented in Pointsec software -- 3DES, DES and AES -- also have been certified by the National Institute of Standards and Technology (NIST). Pointsec features integration with and Single Sign-On for Entrust(R) Authority(TM) 6.0, Windows(R) NT/2000/NT4 and Novell(R) Netware 4.x and 5.x network environments, and works with all Windows workstations (Windows 95 and higher).

About Pointsec Mobile Technologies

Pointsec Mobile Technologies, Inc. ( http://www.pointsec.com ) develops and markets security software for PCs, laptops, PDAs and other mobile computing devices to enterprise clients in government, financial, high-tech, and medical industries. Customers include the U.S. Department of Justice, U.S. Department of Defense, U.S. Drug Enforcement Agency, Cisco, NEC, Nokia, InterTrust, and Blue Cross Blue Shield. Pointsec Mobile Technologies, Inc. is part of the Protect Data AB group of companies, which has been selling desktop encryption solutions to large organizations worldwide since 1988 and is publicly traded on the Stockholm Stock exchange under the "PROT" symbol.

About Datakey Inc.

Datakey Inc. ( http://www.datakey.com ) focuses on delivering smart card-based solutions that assure identity and protect the integrity and privacy of data shared over public and private networks. Datakey cryptographic smart cards, client software, desktop applications and card management products enable organizations to reliably identify users and open doors in both the physical and online worlds.

Customers and partners alike rely on Datakey technology in a full range of enterprise applications, including password management, host authentication, Windows log-on, VPN access, web authorization, desktop security, corporate badge and building access, biometric integration, public key encryption, digital certificates and digital signatures.

Pointsec is a registered trademark of Pointsec Mobile Technologies, Inc.

SOURCE Datakey Inc.

Web Site: http://www.datakey.com