Wave Knowd Introduces New Model for Internet Authentication Without Passwords

Wave Knowd Introduces New Model for Internet Authentication Without Passwords 
Knowd 'Trust Score' Assures User Identity When Accessing Web Services 
LEE, MA -- (Marketwired) -- 05/09/13 --   Wave Systems Corp. (NASDAQ:
WAVX), the Trusted Computing Company, today announced Wave Knowd, a
new web service available for preview that significantly reduces the
vulnerability and use of passwords by leveraging the unique identity
of computing devices. With a simple integration of Wave Knowd, any
website can establish reliable and consistent identity relationships
with the devices its customers use most often for Internet services.
Wave Knowd, which signifies "Known Devices," is being tested by
partners to provide the backbone for general purpose machine
identity. 
"The maturation of the web mandates a change in how we, and our
computing devices, connect to the web," said Steven Sprague, Wave
CEO. "With cable television, satellite radio, bank kiosks and mobile
phones, the service relationship is tied to the endpoint device. The
web needs the security and simplicity of this same model, where our
computing devices themselves play an added role in authentication. I
access dozens of web services every day from the computer in my home
office, and want those sites to know and trust my PC so they'll stop
continually asking me to log in. Wave Knowd enables that trust." 
To make web authentication stronger and simpler, Wave Knowd provides
a new approach to signing on and accessing Cloud and Internet
services. From online banking to business services and even consumer
gaming, passwords are failing to provide a level of security that
either service providers or users can trust. Knowd is built upon the
concept that only known devices should ever access a protected
network. Knowd incorporates all of your access and identity solutions
together to establish a relationship of trust between users'
computing devices, and the web services they access. 
"We interact online using so many devices now, but from a security
perspective those devices aren't all equal. Accessing medical records
or confidential business files from my kid's smartphone is certainly
not as trustworthy as connecting from my business PC with an
encrypted drive," continued Mr. Sprague. "Wave Knowd is all abo
ut
making the Web simpler and safer, and that new foundation of trust
begins with known devices, and known capabilities." 
Once machine identity is established, any web site -- from gaming,
social networking or shopping; to banking, business and financial
services -- can use Wave Knowd to create a reliable and persistent
identity for the connecting device. Knowd allows Web sites to
streamline access for users who repeatedly log on from trusted
devices, while bolstering security. Initial authentication creates a
unique and anonymous relationship between each computing device and
each web service accessed, and then the level of trust between the
two grows over time. Knowing the device can also help the site
prevent fraud and phishing, or simply provide quicker no-password
access. Wave is the partner helping to create and manage these
relationships. 
"Wave Systems was the obvious choice to provide ID Dataweb's
attribute exchange with device identity services," said David Coxe,
CEO at ID Dataweb. "In Knowd, Wave has provided a system that is
rooted in state of the art device security technologies such as the
Trusted Platform Module and other secure elements, while also
offering a simple web based integration. It's easy to identify if a
connecting device is highly trusted, or whether it requires added
screening and security." 
ID Dataweb uses Wave's Knowd solution as part of the Identity
Ecosystem supported through a grant from the U.S. Department of
Commerce's National Institute of Standards and Technology's NSTIC
initiative (National Strategy for Trusted Identities in Cyberspace).
ID Dataweb has created a standards-based platform to simplify online
identity verification using OpenID credentials. 
Providing the Tools to Manage Trust in the Cloud: What's Your Trust
Score?
 Wave Knowd is a powerful enhancement for any website. The
endpoint identity service links an individual users' unique device
identity, with the Internet services that are typically protected
only by username and password access. Users are prompted by their
cloud service provider to register their primary computing devices to
create a unique and persistent device identity relationship with
their Internet services and service providers. No personal ID
information is obtained by Wave, as Knowd works purely as a machine
identity service. Furthermore, registered devices are given a unique
ID for every service provider, establishing a separate trust
relationship with each service. 
Wave Knowd asserts a Trust Score that helps both consumers and cloud
services or relying parties to determine the level of trust granted
to each specific computing device. For example, a home PC that is
used regularly for banking will quickly build a high Trust Score.
Users can achieve a higher Trust Score by installing a small software
application (Wave Knowd currently supports Windows 7 and 8, with
Apple and Android to follow later this year). Business-class PCs
containing a standard Trusted Platform Module (TPM) can establish
even greater trust by leveraging the TPM security chip to create and
securely store a unique device ID. 
Knowd provides a web service with a new capability to enable or
disable features based on the device that the user is actively using,
providing a new security option for the end user. Perhaps an account
password can only be reset from the user's registered home computer
and not from anywhere in the world, thereby linking in all of the
user's investment in the security of their home, from their alarm
system to the doorman. Every web service can benefit from integrating
Wave Knowd as part of the user's experience.  
Wave Knowd is free to consumers, and reduces the authentication cost
to providers. Knowd is available to relying parties using the
standard OpenID protocol, and also offers a simple web API. For more
information visit: ID.Wave.com  
About Wave Systems 
 Wave Systems Corp. (NASDAQ: WAVX) reduces the
complexity, cost and uncertainty of data protection by starting
inside the device. Unlike other vendors who try to secure information
by adding layers of software for security, Wave leverages the
security capabilities built directly into endpoint computing
platforms themselves. Wave has been a foremost expert on this growing
trend, leading the way with first-to-market solutions and helping
shape standards through its work as a board member for the Trusted
Computing Group.  
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 This press release may
contain forward-looking information within the meaning of the Private
Securities Litigation Reform Act of 1995 and Section 21E of the
Securities Exchange Act of 1934, as amended (the Exchange Act),
including all statements that are not statements of historical fact
regarding the intent, belief or current expectations of the company,
its directors or its officers with respect to, among other things:
(i) the company's financing plans; (ii) trends affecting the
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Company: 
Wave Systems Corp. 
Michael Wheeler 
413-243-7026 
mwheeler@wavesys.com 
Investor Relations:
David Collins 
Eric Lentini
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wavx@catalyst-ir.com