Arcot Systems Highlights New Partnerships and Expanded Offerings at RSA Conference 2006

Aventail and Phoenix Technologies Join Growing Roster of Companies Integrating ArcotID™ for Strong Authentication Software Solutions

RSA Conference 2006, San Jose, Calif. – Feb. 13, 2006 — Arcot Systems, a leading provider of multifactor Internet authentication solutions, today announced that two leading technology companies -- Aventail and Phoenix Technologies have partnered with Arcot Systems to provide strong authentication software solutions.

The two companies have chosen to integrate Arcot's multifactor technology – ArcotID. Since the patented underlying “Cryptographic Camouflage” technology of the ArcotID thwarts brute force and man-in-the-middle attacks, the solution provides security and functionality superior to any other authentication software. The ArcotID is a PKI-based secure token that functions like a physical smartcard, but is rendered completely in software and retains the user interface of a simple password-based system.

Integrating the Arcot WebFort Strong Authentication Server with the Aventail SSL VPN Appliance delivers a solution that combines flexible, software-based strong authentication with a full-featured SSL VPN system. The solution leverages Arcot's unique software-based credential protection technology to provide authenticated access to the Aventail SSL VPN appliance. Strong user authentication to the Aventail SSL VPN Server is enabled via RADIUS servers or digital certificates.

The joint solution from Phoenix Technologies and Arcot Systems allows organizations to utilize strong end point multifactor authentication completely in software leveraging the user's PC as an additional token. Enterprises can now increase the confidence level of their authentication systems by deploying strong software user authentication combined with the strongest level of device authentication effectively and economically.

“Our commitment to innovation and excellence in the securing of digital identities, coupled with steadily increasing market recognition of the need for better ways to protect critical business assets, positions Arcot as the software strong authentication partner of choice for leading organizations like Aventail and Phoenix Technologies,” said Ram Varadarajan, President and CEO of Arcot Systems. “Both customers and partners are responding positively to our ability to offer scalable, cost-effective, and easily deployed Arcot solutions that can easily integrate, upgrade or migrate to other solutions -- now and in the future.”

In the fourth quarter of 2005, Arcot's investors, partners, customers demonstrated continued commitment to the ArcotID™ solution by increasing their investments in the company's technology, underscoring the market need for quickly deployable strong authentication solutions that also dovetail with long-term enterprise business strategies for increased efficiency via the use of e-documents, and the encryption of email and electronic statements. In addition to Aventail and Phoenix, Arcot's worldwide technology and business development partners include: Adobe, HP, IBM, Unisys, Oracle, Netcetera, eCard, CyberTrust, Documentum, Thales, and nCipher.

New Digital Signature Product Announced
During the RSA Conference 2006, Arcot is also announcing a new product -- Arcot SignFort™, a new secure signing server that supports distributed digital signing and enables enterprises to manage the digital signing of PDF and XML documents without leaving signing keys vulnerable on the client machine.

Arcot's solution holds signing keys on a secure centralized server and digitally signs after authenticating the user. SignFort supports multiple signing keys for a single user, allowing configurable levels of authentication for the use of each key. SignFort leverages existing authentication systems enabling enterprises to derive the benefits of digital signing without having to upgrade the client infrastructure of all users.

Arcot Presentations at RSA
Arcot executives will be presenting the “Digital Signatures for Real World” session during the RSA Technology Showcase on Tuesday, February 14th at 4:30 p.m. Arcot executives will also participate in separate partner presentations and events with Aventail, Adobe and Phoenix Technologies. Arcot officials will demonstrate the company's latest SignFort solution at Booth #2209. The company will also participate in the Oracle “Taking Security Beyond Your Borders” give-away contest during the RSA Conference.