Aladdin Establishes Software and Internet Security Affiliate in South Africa.

NEW YORK--(BUSINESS WIRE)--March 29, 1999--Aladdin Knowledge Systems Ltd. (NASDAQ: ALDN), a global leader in the field of information security, today announced that eSafe SA will now be its affiliate in South Africa for Aladdin's security products. This includes HASP software protection devices and the eSafe line of Internet anti-vandal and content security products.

The South African Software market has been estimated to be worth over $145 million. In addition, South Africa is the major software supplier to the entire African continent, which has steadily increased its usage of technology-driven products. South Africa represents the largest computer and telecommunications market in Africa and major international organizations such as IBM have chosen to establish their continental base there. However, alongside this growth, there is the constant threat posed by illegal and unlicensed software usage, which is estimated to represent some 50% of all software in use.

"Bringing the full range of Aladdin's products to South Africa, backed by its international standing, will give a major boost to the local information and software security markets. Local software developers know they need to protect their products, and at the same time they want to sell more software. In addition, Aladdin offers an award-winning range of Internet security products, making eSafe SA the one-stop provider of unrivaled security solution for content protection and Internet security," commented Brett Myroff, eSafe SA's CEO.

"We are committed to improving and developing our presence in the African market and having one direct supplier of all Aladdin security products enables us to fully provide the market with comprehensive solutions and support," added Aladdin's Software Security Unit General Manager, Jacob Vind.

About Aladdin:

Aladdin Knowledge Systems Ltd. (NASDAQ/NMS: ALDN) is a global leader in the field of Internet and digital content security. Aladdin's products include: HASP and Hardlock, token-based software security systems that ensure license compliance and provide innovative marketing and distribution solutions for software and digital content publishers; Privilege, a comprehensive Internet-ready software licensing tool for developers; eToken for Internet security and authentication; and the award-winning eSafe line of anti-vandal, anti-virus and content filtering software for Internet-connected networks and PCs. Aladdin, an ISO 9002 accredited company, has offices throughout the United States and the world including Seattle, New York, Chicago, the United Kingdom, the Netherlands, Germany, Japan, and Israel as well as over 40 distributors serving more than 100 countries. For more information, visit the Aladdin home page at www.aks.com.