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ActivIdentity Announces Strong Authentication Solution Supporting OATH-Promoted One-Time Password Algorithm
ActivIdentity Mini Token OE Provides Financial Services Customers Flexibility of Choice in Deploying One-Time Password Solutions

FREMONT, Calif., May 23 /PRNewswire-FirstCall/ -- ActivIdentity Inc. , a global leader in digital identity assurance, today reaffirmed its commitment to the authentication standards by launching the ActivIdentity Mini Token OE and ActivIdentity Authentication SDK supporting the HMAC One-Time-Password (HOTP) algorithm technology developed by the Initiative for Open AuTHentication (OATH). OATH is an industry initiative with the mission to drive the ubiquity of strong authentication across all networks, applications and devices.

"As the OATH standards become widely adopted, two-factor authentication technology will become increasingly more affordable, enabling businesses to better protect themselves against malicious security threats," said Wally Kowal, OATH marketing team member and vice president of marketing for mobile security company Diversinet. "The momentum created by companies such as ActivIdentity deploying the HOTP algorithm will accelerate OATH's vision of creating a network based on security standards where consumers can feel confident entering personal information online and where business partners can safely collaborate and share data across domains."

ActivIdentity's strong authentication platform is designed to support current and future releases of the OATH HOTP algorithm, and aligns with the company's strategic commitment to industry standards. OATH is well positioned to deliver royalty-free open authentication technologies which help to resolve security threats such as identity theft, phishing, internal security breaches and satisfy government regulations requiring a stronger level of authentication than provided by static usernames and passwords. ActivIdentity's technology leadership has made significant contributions to standards development for the U.S. government's GSA Smart Card Interoperability program and the U.S. Department of Defense Common Access Card program.

"Industry leaders embrace standards, and it is only through standards-based, interoperable strong authentication solutions combined with other layers of security that we will begin to curb the rampant fraud and identity theft plaguing the retail banking industry," said Dominic Fedronic, chief technology officer of ActivIdentity. "We are a strong supporter of the OATH initiative because no one company will solve this problem alone and the solutions of today will not solve the security problems of tomorrow. It is only through a standards-based approach that the security industry will be able to adapt and meet customer needs as the threat landscape evolves."

ActivIdentity Mini Tokens deliver simple strong authentication for identifying users and granting secure access to banking services. The ActivIdentity Mini Token provides banks and their customers an easy-to-use device to help combat Internet fraud. Its small size, durability (water proof to 1 meter) and long lifespan of up to 10 years combine to give banking institutions an affordable one-time password solution suitable for the exacting requirements of consumer banking. Unlike solutions from other companies, the ActivIdentity Mini Token eliminates the need for financial services companies to require banking customers to replace expiring authentication tokens every couple of years. This significantly reduces deployment costs, as well as administrative and operational expenses going forward.

The ActivIdentity Authentication SDK enables the rapid development of OATH HOTP algorithm-based solutions for efficient deployment of OATH tokens as well as flexible initialization and management capability after issuance to users. The solution can be used in conjunction with a server managed personal identification number (PIN) or password to provide two-factor authentication. The same back-end systems that administer the ActivIdentity Mini Token also support other authentication methods from ActivIdentity, as well as EMV CAP-based authentication and a variety of proprietary tokens and static passwords. Financial institutions can provide different forms of authentication to different users while using the same backend server, reducing costs and providing a migration path for the future.

About the Initiative for Open AuTHentication

The Initiative for Open AuTHentication (OATH) is the industry's leading collaboration of device, platform and application companies, and end user customers of authentication technologies. OATH participants hope to foster use of strong authentication across networks, devices and applications. OATH participants work collectively to facilitate standards and build a reference architecture for open authentication while evangelizing the benefits of strong interoperable authentication in a networked world. As OATH grows, the organization is actively seeking feedback and technology contributions from end-user participants who share a common vision for open authentication technology and the products that provide this important measure of security.

OATH is dedicated to helping customers reduce the cost and complexity of deploying strong authentication within enterprises, and across the Internet. Since its formation, OATH's membership includes security industry leaders from token manufacturers, platform vendors, smartcard providers, and security services companies. End user companies are joining OATH to add their voice and ideas towards the goal of open authentication.

About ActivIdentity

ActivIdentity(TM) is the trusted enabler of digital identity assurance for governments, enterprises and identity management partners. Formed from the union of ActivCard and Protocom -- leaders in the areas of authentication, credential management and enterprise single sign-on -- ActivIdentity provides the only complete platform for the secure issuance, management and use of digital identities. The platform consists of strong authentication, enterprise single sign-on and enterprise access card solutions. Today more than 20 million users at corporations, government agencies and financial institutions use the Company's solutions to safely and efficiently interact electronically. Headquartered in Fremont, Calif., the Company has development centers in the US, Australia, and France, and sales and service centers worldwide. For more information, visit http://www.actividentity.com/.

The statements in this press release that are not historical facts are forward-looking statements that involve risks and uncertainties. These risks and uncertainties include risks relating to changes to our management team, the integration of acquired business and technologies, and other risks identified under the caption "Risk Factors" in our most recent Annual Report on Form 10-K, and in subsequent Quarterly Reports on Form 10-Q, which are filed with the United States Securities and Exchange Commission (SEC). Copies of these filings are available from the Company and on the SEC's website at http://www.sec.gov/. Actual results, events and performance may differ materially from our forward-looking statements. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise.

NOTE: ActivIdentity and ActivCard are registered trademarks in the United States and/or other countries. All other trademarks are the property of their respective owners in the United States and/or other countries.

ActivIdentity Inc.

CONTACT: Tim Polakowski, timp@mcgrathpower.com, or Susie Hayne,
susieh@mcgrathpower.com, of McGrath/Power Public Relations, +1-408-727-0351,
for ActivIdentity

Web site: http://www.actividentity.com/

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