AuthenTec Selects Location and Begins Operating Asia's Newest Biometric Fingerprint R&D Center.

MELBOURNE, Fla. & BEIJING -- AuthenTec, the world leader in fingerprint sensor innovation and sales for more than five years, today announced that it has selected the location and begun operating Asia's newest biometric research and development center in the Songjang District, near Shanghai. The new AuthenTec-Shanghai Biometric R&D Center, which also serves as the company's Asia headquarters, is part of its plans to expand worldwide operations by 50 percent in response to the rapid increase in demand for biometric fingerprint sensors.

Scott Moody, president and CEO of AuthenTec, announced at the ATRE 2005 Asian Technology Roundtable Exhibition in Beijing that the company has begun operating the new center in a facility on the campus of the TSMC (TAIEX: 2330, NYSE: TSM) fabrication facility. The AuthenTec-Shanghai Biometric R&D Center is one of the first R&D centers specifically dedicated to biometric fingerprint sensors for consumer and commercial markets in China. From this new regional headquarters and R&D center, AuthenTec will direct its overall Asia initiatives, oversee new developments for the region's local biometric applications, and manage its manufacturing operations.

The multi-million dollar operation initially will include a staff of 15 and facilities for product development, specifically focused on enhancing AuthenTec's overall product offerings for the PC and cell phone markets. The center also will include:

--Product localization laboratories, which will concentrate on accelerating the technology adoption rate and showcasing solutions jointly developed with AuthenTec's partners;

--A product knowledge and development services center, which will provide a fully-featured infrastructure for knowledge transfer and enhanced customer service offerings that emphasize rapid porting, certification, testing and localization of AuthenTec's products;

--And applications engineering support, to help customers better integrate biometrics into their solutions.

"Asia represents one of the fastest growing and most dynamic markets for fingerprint sensors. We are extremely excited to be working in such a world-class facility, and to be able to offer our customers throughout Asia access to the most advanced biometric fingerprint sensor technical, marketing and manufacturing support in the world," Mr. Moody said.

In addition to this Shanghai facility, AuthenTec will open multiple marketing and customer technical support offices in Japan, Korea, Taiwan and China. These new offices will provide marketing and technical support; working with AuthenTec's network of dealers and representatives to help service its existing base of Asian customers, as well as the ever expanding list of companies seeking to add fingerprint sensors to their PC and wireless devices. The offices will be opened during the next few months.

Since its founding in 1998, AuthenTec has grown to become the leading provider of biometric fingerprint sensors, with more than 4 million sensors already in use in cell phones, PCs and peripherals, and access control devices in Asia alone. The tiny sensors are used to provide the most convenient form of security against theft or fraud, as well as enabling other functions. Asia continues to be one of the fastest growing regions for biometrics, and the largest overall market opportunity.

The growth in AuthenTec's Asian operations is in addition to the company's previously announced expansion in the U.S. and Europe. The company has announced a new director and its plans to expand its presence in Europe, as well as the addition of new marketing and technical staff at its U.S. offices. As a result of these activities, the company will increase its overall staff by more than 50 percent during the next year.

About AuthenTec

With more then four million sensors in use worldwide, AuthenTec is the world leader in fingerprint sensor innovation and sales to the PC, wireless, and access control markets. AuthenTec's award-winning FingerLoc(R) and EntrePad(R) sensors take full advantage of The Power of Touch(TM) by utilizing the company's patented TruePrint(R) technology to deliver most convenient, reliable and cost-effective means available for enabling touch-powered features that extend beyond user authentication. The company's network of partners, solution providers and customers include: Analog Devices, APC, Compal, Cherry, Fujitsu Computer, Computer Associates, Fellowes, IBM, LGE, Microsoft, Motion Computing, Samsung, Tatung, Texas Instruments, Quanta, among others. Visit www.authentec.com.