Faraday Selects Semiconductor IP from SafeNet to Power Secured Server Control Chip; SafeNet's SafeXcel IP Enables Next-Generation Command Center Appliances.

BALTIMORE -- SafeNet, Inc. (NASDAQ:SFNT), setting the standard for information security, today announced that Faraday, a leading Application Specific Integrated Circuits (ASIC) provider, has licensed SafeNet's SafeXcel IP to implement an ASIC for its customer which would enable next-generation server control functions in data centers.

"Our customers require a powerful yet cost-effective security solution to build a wide range of ASICs for the next generation of Internet and data center applications," said H.P. Lin, President at Faraday. "SafeNet's industry-leading security cores not only meet all of our design requirements, they are also silicon-proven and remarkably easy to integrate into our ASIC platform. Beyond this first success, we expect to use SafeNet in a variety of upcoming ASICs."

To address these needs, Faraday licensed SafeNet's SafeXcel IP Packet Engine -- a highly integrated cryptographic accelerator for IPSec, SSL, TLS, and SRTP packet processing, as well as SafeNet's SafeXcel IP Content Inspection Engine for high-performance protection against malicious code and intrusion attempts.

"With the trend toward integration of multiple security functions into single silicon platforms, our security cores for packet processing and content inspection are a perfect fit for Faraday customers' next-generation ASICs," said Henk Pruim, vice president and general manager of SafeNet's OEM Networking Business Unit. "This is another example of the cost, performance and time-to-market benefits our partnership brings to networking OEMs looking for custom security solutions. We are looking forward to working closely with Faraday to help their customers succeed."

SafeNet OEM products include QuickSec security software, SafeXcel hardware security processors, and silicon-proven semiconductor IP. This comprehensive hardware and software security platform enables vendors to build complete network security solutions while reducing total cost and time to market.

About SafeNet, Inc.

SafeNet is a global leader in information security. Founded more than 20 years ago, the company provides complete security utilizing its encryption technologies to protect communications, intellectual property and digital identities, and offers a full spectrum of products including hardware, software, and chips. ARM, Bank of America, NetGear, the Departments of Defense and Homeland Security, Adobe, Samsung, Texas Instruments, the U.S. Internal Revenue Service and scores of other customers entrust their security needs to SafeNet. For more information, visit www.safenet-inc.com.

About Faraday Technology Corporation

Faraday Technology Corporation is a leading silicon IP and fabless ASIC vendor. The company's broad IP portfolio includes 32-bit RISC CPUs, USB 2.0, Ethernet, Serial ATA, and PCI-Express. With more than 550 employees and 2004 revenue of $159 million, Faraday is one of the largest fabless ASIC companies in the Asia-Pacific region, and it also has a significant presence in other markets, worldwide. Headquartered in Taiwan, Faraday has service and support offices around the world, including the U.S., Japan, Europe, and China. For more information, please visit: http://www.faraday-tech.com.

"Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995

The statements contained in this release, which are not historical facts, are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These statements are subject to uncertainties that could cause actual results to differ materially from those set forth in or implied by forward-looking statements. Important factors that could cause actual results to differ materially are included but are not limited to those listed in SafeNet's periodic reports and registration statements filed with the Securities and Exchange Commission. The Company assumes no obligation to update information concerning its expectations.

Editor's Note: SafeNet is a registered trademark and SafeXcel is a trademark of SafeNet, Inc. All other trademarks are the property of their respective owners.