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SealedMedia CIO Survey Reveals Major Concerns About Effective Digital Information Protection; 76 Percent of CIOs With Enterprise Content Management Systems Say They Need Additional Content Protection and Controls.

LOS GATOS, Calif. -- Sarbanes-Oxley and Other Compliance Mandates Remain Major Concerns

According to a CIO survey conducted by SealedMedia Inc., today's Enterprise Content Management (ECM) systems don't meet the content protection and compliance needs of today's enterprise customers. As a result, many CIOs are seeking Enterprise Digital Rights Management (E-DRM) solutions to complement their ECM systems, to safeguard content and e-mail systems, and address compliance concerns related to Sarbanes-Oxley, HIPAA and other government mandates.

While most participants feel that their respective ECM system meets their basic needs, 76 percent of participants are seeking additional content protection and control functionality. Moreover, ECM systems are often too complex and expensive for enterprise-wide deployment. Specifically:

--CIOs revealed that only 45 percent of their employees use ECM systems -- leaving 55 percent of employees to struggle on their own with content- and digital rights management issues.

--About 50% of their employees store sensitive information outside the ECM repository -- leaving organizations vulnerable to information loss or manipulation.

--43% of sensitive corporate information is never intended to reside in the ECM repository -- begging the question: Where should it be stored and how should the information be protected?

--8 out of 10 participants are interested in functionality that would allow them to protect content once it is checked out of the ECM system.

--69% are more interested than a year ago in protecting content outside the ECM repository.

--Seven out of ten would like to use their ECM system to protect and control documents outside the repository.

Each of these data points reinforces the need for SealedMedia 5.0, the flagship E-DRM solution that transforms digital rights management from a complex technology into an enterprise-wide solution for all employees (see related release: www.sealedmedia.com/news/press_releases.htm).

"Based on the current climate of compliance/business model, ECM systems must play a larger role in extending policy-based content control," said Landon Lack, vice president of Business Development, SealedMedia. "Moreover, ECM systems will become increasingly important as more and more content is shared across the value chain. SealedMedia 5.0 addresses these issues today for everyday enterprise users, without the complexity of yesterday's digital rights management systems."

About the Survey

Commissioned by SealedMedia in February 2006, the survey involved 29 CIOs from companies that have invested $1 million or more in enterprise content management systems. Survey participants represented 12 Global 500 companies; five Fortune 50 companies; and midsize organizations.

On a scale of 1 to 8 (1=least important, 8=most important), CIOs were seeking content management systems to

--Ensure ISO 17799 compliance (6.03 on a scale from 1-8)

--Protect intellectual property when outsourcing or offshoring (5.52)

--Protect board and executive communications (4.79)

--Improve workflow-process automation (4.41)

Overall, survey participants were most concerned about information being at risk of improper exposure, manipulation or distribution -- while it is being edited or collaborated on (38% of respondents) and when the final content is distributed (28%).

CIOs had major concerns about the consequences of leaked enterprise content, and how it can potentially damage the reputations of executive officers and the IT department (6.38 on the scale of 1-8). CIOs were also concerned about how leaked information can erode shareholder confidence (5.31) or ultimately cause the loss of trade secrets and intellectual property (5.24).

For more information about the survey, contact SealedMedia at info@sealedmedia.com.

About SealedMedia, Inc.

SealedMedia helps organizations maintain complete control over who can use their most sensitive information and when, for the lifetime of a document. Executives and employees can send emails and documents securely to anyone, anywhere in the world, while easily maintaining control over when, where and how the information is used, and by whom. Headquartered in Los Gatos, California with European offices in London, UK and North American sales offices in Boston, Massachusetts, SealedMedia has an enviable customer base of Fortune 500, Global 1000 and FTSE 100 companies, as well as governments and government agencies around the world.

SealedMedia, SealedMedia Express, SealedMedia Express for M&A, Enterprise, Sealed eRoom, Sealed Email for BlackBerry, and SealedMedia Sealing Service for Documentum are trademarks of SealedMedia Inc. All other names and trademarks are the property of their respective firms.
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Date:Apr 25, 2006
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