Citrix Introduces Citrix Extranet For Secure Access to Applications over the Internet.

Business Editors/High-Tech Writers

FORT LAUDERDALE, Fla.--(BUSINESS WIRE)--Sept. 5, 2000

Citrix Provides Enterprise Customers and ASPs with First Server-based Computing Solution using the Internet to Securely Access Applications

Citrix Systems, Inc. (Nasdaq:CTXS) today announced the introduction of Citrix Extranet(TM), its new Virtual Private Network (VPN) software solution that allows customers to securely access the latest business-critical applications delivered to users around the world via the public Internet. Now Citrix customers can maximize their IT investment, and benefit from the cost efficiencies of the Internet with more confidence in secure access. The new Citrix Extranet product is part of the overall expansion of the Citrix product line, which also includes enhancements to the company's application server and portal products. (See related announcements for details on these product enhancements.) Citrix Extranet is being showcased for the first time at Citrix iForum(TM) 2000, October 2-5 in Orlando.

"A secure means of delivering applications over public networks like the Internet has moved from being just a cost-savings issue to a fundamental business necessity," said Damon Darais, director of product management for Citrix. "Companies are looking for the most effective means of delivering applications via Extranets, which require the highest level of security. The new Citrix Extranet product expands our overall application management offering by enabling enterprise customers and application service providers (ASPs), whose core business involves connecting outside clients with applications hosted in data centers, the level of security they need."

"The Internet is a public network, so despite the fact that the application server model keeps application execution 100 percent on the server, sensitive data is still transmitted to the client and organizations are demanding additional security features," said Corey Ferengul, senior program director with the META Group. "Virtual Private Networks are one of the most effective ways to provide secure access to applications over the Internet, and should be looked to as a potent option when doing business over the Internet, even when utilizing the application server model."

Brought to market to address the growing demand for application security over the Internet, Citrix Extranet provides an exceptionally high level of security for both enterprise and ASPs using a server-based computing model. The solution, which is optimized for Citrix MetaFrame(TM) customers, supports a wide range of client operating systems and supplies the three major types of safeguards required for the highest level of VPN security - authentication, access control and encryption. In sharp contrast to other solutions within the VPN software category that are Windows(R)-centric - limiting the flexibility of application deployment - Citrix Extranet will support Microsoft(R) Windows NT(R), Windows 95, Windows 98, Windows 2000, Windows CE, Macintosh(R), Linux(R) and Sun Solaris(TM) client devices.

For a security solution to be viable for an ASP or extended enterprise, it must be firewall independent. Specifically designed to address large extranet user populations, Citrix Extranet solves this problem by utilizing the worldwide VPN model, and can be installed on firewall platforms or on a stand-alone platform behind the enterprise firewall. Administrators can deploy applications and users can traverse multiple firewalls without intervention - an especially important advantage for environments where many firewalls may need to be deployed. Now, employees, customers, suppliers and strategic partners can all gain secure access to virtually any business-critical application via Web browsers or remote access.

Key Features of Citrix Extranet

Citrix Extranet uses the latest authentication, encryption and access control technology to advance application delivery by expanding the usability, performance and security of Citrix application server software across the Internet. Citrix Extranet provides data encryption, access control and mutual authentication across the Internet to clients running on other networks.

Access Control

Typically, organizations do not want every user or group to have access to all the applications and data on the system. To limit authorized users to only the information they are allowed, Citrix Extranet assigns access permissions on a per-user, per-group and "all" basis. Once a user is authenticated, the system contacts every server for which that user has an authentication key and requests current permissions. The user is given access only to those servers and URLs for which they have current privileges.

--  User-Specific Access Control

    Citrix Extranet enables user-specific access control by having a
    unique user ID associated with each user's Access Control List
    (ACL) entry.

--  Service Proxies

    The Citrix Extranet Server contains service proxies that enforce
    access policy.

--  Citrix Extranet Admin

    A Graphical User Interface (GUI) that allows administrators to
    manage multiple Citrix Extranet Servers from a single, remote or
    local console.

--  Event Logging

    Citrix Extranet logs critical events necessary for security
    auditing and client/server troubleshooting on UNIX(R) and
    Windows NT.

--  Dynamic Configuration

    Dynamic Configuration virtually eliminates the need for local
    configuration by the end user.

Authentication

Considering the millions of individuals and organizations with Internet access that could potentially intercept a VPN transmission, a key component of VPN security is obtaining proof of a user's identity before establishing a connection. Citrix Extranet uses a two-factor authentication system comprised of a digital token, digital certificate, or smart card that the user has, and an access code that the user knows.

--  Two-factor User Identification

    Verifies the identity of an authorized user by something they
    know, an access code, and something they have, a token.

--  Two-way (Mutual) Authentication

    Authenticates both a Citrix Extranet client and a Citrix Extranet
    server to ensure that only authorized users are establishing VPN
    sessions.

--  Third-party Authentication Support

    Citrix Extranet supports RSA SecureID/ACE Server, RADIUS, x.509
    (PKI) digital certificates, smart cards, and tokens.

--  On-Line Registration

    On-line Registration (OLR) greatly reduces administration time
    and enables thousands of users instantly. The user registers the
    Citrix Extranet client via the Internet.

Encryption

Although it is the basic method for keeping information private on the Internet, encryption can negatively affect connection performance. Further, scaling up the distribution of encryption keys can be problematic. Citrix Extranet solves these challenges by applying two different encryption technologies at different stages of deployment: public key encryption during the online registration process to enable remote users to receive and register their encryption keys; and the use of Triple Digital Encryption Standard (3DES) to create an identical key on the server. Shared key encryption is computationally simpler than public key technology, offering performance advantages necessary to support business applications over VPN connections.

--  3DES Encryption

    This shared key pair is the basis of Citrix Extranet's VPN
    session encryption. Shared key encryption is computationally
    faster than public key technology. Citrix Extranet uses 168-bit
    3DES to encrypt sessions.

--  Public Key Encryption

    Used for the Citrix Extranet Server's initial (one-time) key
    distribution, On-Line Registration, and token registration.

--  Firewall Independence

    Citrix Extranet uses standard ports (443, 80, 3845) for traversing
    firewalls.

Pricing and Availability

Citrix Extranet is immediately available for ordering through more than 9,300 members of the Citrix Solutions Network(TM). For Citrix Extranet, each person on the network must have a unique license, so licensing is based on a named user model. Suggested retail pricing is $119 per named user with Citrix's Subscription Advantage program, or $99 per named user without Subscription Advantage. The product is sold as a Server + 15 user license (required for server installations), with additional increments of 5, 10, 20, and 50 user license packs.

About Citrix iForum 2000

Citrix iForum 2000, October 2 -5 in Orlando, is a conference designed for IT innovators, as well as Citrix resellers, systems integrators, alliances and ASPs to exchange ideas, successes and strategies on application server computing. Attend Citrix iForum 2000 to see demonstrations of the newest Citrix products: Citrix MetaFrame Feature Release 1, Citrix NFuse 1.5, and Citrix Extranet. For more information, visit the Citrix Web site at http://events.citrix.com/iforum.

About Citrix MetaFrame

Citrix MetaFrame application server software is enabling organizations to achieve "Digital Independence(TM)" from the high cost and complexity of traditional computing by transforming the way they deploy, manage and access business applications across the extended enterprise. MetaFrame extends the functionality of Microsoft Windows NT Server 4.0, Terminal Server Edition and Microsoft Windows 2000 Terminal Services, as well as UNIX(R) operating systems. It provides enterprise application management for increased scalability, deployment and simplified application support, Web enablement of applications via Citrix NFuse application portal software, and universal application access to users in any location, on any device, over any network connection -- wireless to Web.

About Citrix

Citrix Systems, Inc. is a global leader in application server software and services that offer "Digital Independence" - the ability to run any application on any device over any connection, wireless to Web. Citrix's solutions enable organizations of all types, from major enterprises to emerging application service providers (ASPs), to reach more users, with more applications, in more locations - and achieve this with greater speed and predictability, and lower costs. Its products, including MetaFrame application server software, NFuse application portal software, and Independent Computing Architecture (ICA(R)), a core application-server technology, have been widely adopted by the corporate mainstream to achieve key business goals. The firm, which markets its solutions through value-added resellers, system integrators and OEM licensees, is headquartered in Fort Lauderdale, Fla. Citrix is traded on The Nasdaq Stock Market(SM) under the symbol CTXS and is part of the Standard & Poor's 500 Index. For more information, please visit the Citrix Web site at http://www.citrix.com.

For Citrix Investors

This release contains forward-looking statements which are made pursuant to the safe harbor provisions of Section 21E of the Securities Exchange Act of 1934. The forward-looking statements in this release do not constitute guarantees of future performance. Investors are cautioned that statements in this press release which are not strictly historical statements, including, without limitation, statements regarding current or future financial performance, management's plans and objectives for future operations, product plans and performance, management's assessment of market factors, as well as statements regarding the strategy and plans of the company and its strategic partners, constitute forward-looking statements. Such forward-looking statements are subject to a number of risks and uncertainties that could cause actual results to differ materially from those anticipated by the forward-looking statements, including, without limitation, risks associated with the following: the success of the company's MetaFrame product line and the acceptance of the company's ICA protocol; the company's ability to develop and commercialize new products and services; the company's success in expanding into new geographic markets, the company's ability to expand its core business in large enterprise accounts, the company's ability to succeed in the transition to a paper/electronic licensing model; the size, timing and recognition of revenue from significant orders; increased competition, including potential competition from Microsoft and other companies; the results of the company's iBusiness and other new licensing programs; the rate of growth of the ASP market; and the company's ability to continue to develop and market products to meet the requirements of this market; the proportion of revenues derived from distributors, OEMs and other channels; changes in the company's pricing policies or those of its competitors, including Microsoft; the costs of developing, acquiring, or integrating new technologies or enhancements to existing products; the company's reliance upon its strategic relationships with Microsoft and other strategic partners; management of growth; the possibility of undetected software errors; dependence on proprietary technology; risks that the company's branding campaign will not enhance the company's business or results in the manner anticipated; as well as risks of downturns in economic conditions generally, and in the software industry specifically, and risks associated with competition and competitive pricing pressures and other risks detailed in the company's filings with the Securities and Exchange Commission. Citrix assumes no obligation to update any forward-looking information in this press release or with respect to the announcements described herein.

Citrix(R), ICA(R), MetaFrame(TM), Digital Independence(TM), NFuse(TM), Citrix Extranet(TM), Citrix iForum(TM), SecureICA(TM) and Citrix Solutions Network(TM) are registered trademarks or trademarks of Citrix in the U.S. and other countries. UNIX(R) is a registered trademark of The Open Group in the U.S. and other countries. All other trademarks and registered trademarks are property of their respective owners.