NEW YORK MASSIVE DATA THEFTS SPUR DEMAND FOR GUARDIANEDGE ENCRYTIONMassive Data Thefts Spur Demand for GuardianEdge EncryptionMassive Data Thefts Spur Demand for GuardianEdge Encryption


Enterprise Data Security Software Developer Responds by Expanding Products and
Growing Management Team

SAN FRANCISCO, Nov. 29 /PRNewswire/ -- GuardianEdge Technologies Inc.
(formerly PC Guardian Technologies), a market leader in reducing the cost and
complexity of enterprise data security, today announced a dramatic increase in
demand for its Windows hard disk encryption product. In the last year,
enterprise purchases of GuardianEdge's hard disk encryption software have
doubled and now nearly 600,000 enterprise laptop and desktop computers
actively use GuardianEdge's Encryption Plus Hard Disk program to improve
network security and protect confidential and sensitive data.
Encryption Plus Hard Disk protects 100% of a computer's hard drive,
including all unused space, using US government-validated cryptographic
technology. Also, it provides access control to the Windows operating system,
all applications running on the computer and all data files. As a result,
Encryption Plus Hard Disk protects against theft of and unauthorized access to
data files and network systems, and if installed properly the program
eliminates the need to securely delete data on hard drives before the drives
are disposed of or retired from service.
In addition to its full hard drive encryption solution, GuardianEdge
develops applications that encrypt data on removable storage devices and
email. In all, nearly 500 enterprises around the world use GuardianEdge's
encryption software to protect data at rest and on the move.

Surge in Demand for Hard Disk Encryption
GuardianEdge reports the surge in demand for its hard disk solution was
driven by two factors: numerous computer thefts in the last 12 months that
exposed millions of customer records and resulted in several high-profile news
stories about consumer privacy and identity theft, and the quick passage in
the US Congress and numerous state legislatures of dozens of identity theft
bills that require encryption of sensitive customer data.
In 2005, numerous banks, colleges and government agencies were forced to
report the exposure of hundreds of thousands of customer records on stolen
computers. Organizations that reported exposure of customer data due to
unencrypted computer theft include MasterCard, Bank of America, the University
of California, and TransUnion, one of the nation's three credit reporting
bureaus.
A September 2005 report by Gartner, Inc., states that a company with at
least 100,000 customer accounts to protect can spend, in the first year, as
little as $6 per account for just data encryption or as much as $16 per
customer account for data encryption, host-based intrusion prevention and
strong security audits combined.
This same report also states that this compares with an expenditure of at
least $90 per customer account when data is compromised or exposed during a
breach. Likewise, the Gartner report states that these costs may escalate
dramatically if proposed legislation mandating fines up to $11,000 per exposed
and damaged customer account is imposed. In summary, the report states,
"Protecting your data is well worth the investment -- with or without Payment
Card Industry compliance requirements."
The Payment Card Industry Data Security Standard is an approach to
safeguarding sensitive data for all credit cards. The standard was
co-developed by Visa and MasterCard and creates a common industry security
requirement for protecting cardholder data wherever that data is located.

Congress, States Demand Greater Data Security
Shortly after a rash of data theft scandals swept the US from February to
May 2005, lawmakers in nearly 30 states introduced legislation designed to
force data collectors and data managers to notify consumers whenever their
sensitive personal information may have been compromised.
Now, at least 20 states have laws that affect any business or government
agency doing business in or serving consumers living in Arkansas, California,
Connecticut, Florida, Georgia, Illinois, Indiana, Maine, Minnesota, Montana,
Nevada, North Dakota, Tennessee, Texas, and Washington. For each one of these
states, organizations are required to notify consumers when their personal
information is or may be exposed -- except when those data files are
encrypted.
Further, no fewer than major three bills in the US Senate and one bill in
the House of Representatives contain similar consumer notification
requirements. Each bill specifically identifies encryption as a critical
component of a well-designed information security program.
The Senate bills include the following: the Identity Theft Protection Act
(S1408, introduced by Senator Gordon Smith, R-Ore.); the Notification of Risk
to Personal Data Act (S115, S751 introduced by Senator Dianne Feinstein,
D-Calif.); and the Personal Data Privacy & Security Act of 2005 (S1332,
co-sponsored by senators Arlen Spector, R-Pa., and Patrick Leahy, D-Ver.). In
the House of Representatives, the data privacy and information security
legislation is the Data Accountability and Trust Act (HR 4127, written by
Representative Cliff Stearns, R-Fla.).

Prepared for Rapid Growth
In response to these market drivers, GuardianEdge this year took several
strategic steps to ensure that it is poised to meet growing demand by large IT
organizations for its data protection solutions.
The company expanded its operations by opening East Coast and Federal
Government Sales offices, relocating its corporate headquarters to a larger
site in San Francisco and expanding its software development offices in
Virginia and northern California. Now, more than 70 professionals work for
GuardianEdge in the U.S. and the United Kingdom, up from 35 at the start of
this year. In addition, the company plans to increase its sales, marketing and
engineering staff in the coming months.
Also, GuardianEdge earlier this summer announced Encryption Anywhere, the
company's new platform for reducing the cost and complexity of encrypting
enterprise data "at rest" and "in transit." Encryption Anywhere integrates the
management of multiple encryption applications (such as hard disk, email and
removable storage encryption) directly into Microsoft Active Directory,
eliminating the need for an enterprise to install 'yet another' management
console.
According to GuardianEdge CTO Noah Groth, the Encryption Anywhere solution
results in a lower total cost of any comparable solution. "Encryption Anywhere
reduces costs by leveraging an organization's existing IT management and
directory services structure. In addition, when one Encryption Anywhere
application is installed, components for all other Encryption Anywhere
applications are installed, simplifying the ability to scale encryption of
hard drives, PDAs or removable media to any computer or user in the
organization."

About GuardianEdge Technologies Inc.
GuardianEdge is a market leader in reducing the cost and complexity of
enterprise data security. Customers around the world depend on GuardianEdge
solutions to protect sensitive and proprietary information, to ensure
compliance with rules for safeguarding privacy, and to enable secure
enterprise mobility. Established in 1984, GuardianEdge is headquartered in San
Francisco and serves an installed base of more than half a million active
users at leading global corporate and governmental organizations, including
Lockheed Martin Corp., Deutsche Bank AG and Humana Inc. For more information,
visit http://www.guardianedge.com/

NOTE: Encryption Anywhere is a trademark of GuardianEdge Technologies
Inc. Active Directory is a registered trademark of Microsoft Corporation. All
other products and services mentioned are trademarks of their respective
companies.



SOURCE GuardianEdge Technologies Inc.
Web Site: http://www.guardianedge.com