Agere Systems Selects Discretix's CryptoCell Embedded Security Solution.

BARCELONA, Spain -- Discretix's CryptoCell complements Agere's chipset solutions for mobile handsets by providing an integrated, robust security platform for the delivery of revenue- generating applications such as Digital Rights Management, Over-the-Air (OTA) Device Management and Secure Storage

Discretix today announced that its CryptoCell product has been selected by Agere Systems (NYSE: AGR) as a security platform for the company's digital baseband chipset solutions for mobile handsets.

Agere Systems offers a full portfolio of 3G (W-CDMA) and 2.5G (EDGE/GPRS) chipset solutions that enable mobile phone manufacturers to rapidly deliver products aimed at addressing the growing demand for multimedia capable wireless phones. CryptoCell is an integrated device security platform, incorporating hardware, a rich security Middleware layer and Device Toolkits. The CryptoCell solution provides the most comprehensive solution for device security in addition to improved performance and reduced power consumption.

Security offers a "double-driver" by both protecting the device from attacks and fraud and at the same time providing the infrastructure necessary for revenue-generating applications. With the increased rollout of multimedia capable wireless phones, security is only gaining in importance, further reinforcing the need for robust, high performance solutions. As such, both operators and device manufacturers are demanding that the level of security deployed on the device be improved to meet these more stringent requirements.

Digital Rights Management (DRM) represents the type of solution that has developed from a basic protection mechanism to an advanced security application supporting multiple business models. DRM places a considerable burden on the device's security resources, both in terms of the need to encrypt and decrypt streaming data and to protect content stored on the device. Other applications such as Secure Storage and Over-the-Air (OTA) Device Management are also in need of a robust security infrastructure. As a result, security will grow in prominence as the market evolves.

The combination of Agere's baseband products and CryptoCell's architecture provides a flexible and scalable platform that allows manufacturers and application developers to easily incorporate security into devices and end-user applications. "We have designed our chipset solutions to address the demands of manufacturers and developers as multimedia applications are being added to mobile handsets at a breakneck pace," said Mark Bode, director of product marketing for Agere's Mobility Division. "Together with Discretix's CrytoCell platform, our products will provide some of the industry's most flexible and secure solutions for this ever-evolving marketplace."

Commenting on the agreement, Gal Salomon, CEO said, "CryptoCell complements Agere's highly integrated framework approach. CryptoCell provides application developers and device manufacturers with the building blocks necessary to seamlessly incorporate security into their devices and applications."

About Discretix

Discretix is a leading provider of embedded security technology for mobile devices and flash memory. Discretix technology, which incorporates both hardware and software components, enables security to be incorporated into products at the chipset level so that it's transparent to the user while protecting sensitive information from malicious attacks, viruses, fraud, and theft. Discretix device toolkits fit into a wide array of devices and mobile systems to enhance security, reliability, and user experience. Discretix technology benefits the entire value chain of chip and platform vendors, device manufacturers, application providers, and operators by eliminating the need for them to devote resources to security, thereby lowering operation costs, increasing trust and driving increased deployment and greater revenues. For more information, please visit www.discretix.com.

Discretix and CryptoCell are trademarks of Discretix, Ltd.

Other products and trade names mentioned herein are the trademarks of their respective owners.