Cryptography Research, Inc. Expands Digital Content Security Team

SAN FRANCISCO, California — May 9, 2007 — Cryptography Research, Inc. (CRI) today announced the addition of Peter Cossack and John-Mark Gurney to its world-class digital content security development and authoring team. Cossack and Gurney will help CRI continue to develop and implement Self-Protecting Digital Content (SPDC™), the company’s innovative solution for securing digital content. CRI is expanding the SPDC team to meet the growing demand from movie studios wishing to utilize the technology on a variety of platforms, including the custom “BD+” implementation used in the high definition Blu-ray Disc format. SPDC is designed to help mitigate attacks without revoking players or otherwise limiting reliability or playability.

“As the demand for CRI’s solutions continues to accelerate, we are pleased to add the technology leadership of Peter Cossack and John-Mark Gurney to our team,” said Paul Kocher, president and chief scientist at CRI. “Peter has an exceptional track record in DVD authoring and technology operations, and John-Mark has an extensive background in security software engineering. Their expertise will help us further develop and deliver SPDC.”

As Director of Authoring, Cossack will be responsible for the management, planning, and production of CRI’s BD+ authoring services business. Prior to joining CRI, Cossack was the DVD and technology operations production manager for HBO Network. There he supervised all technical aspects of standard definition and high definition disc authoring and production. Before joining HBO, Cossack worked for Crest Digital where he supervised DVD authoring.

Gurney joins CRI as a leading software engineer with deep expertise in audiovisual tool development and security. Prior to joining CRI, Gurney held engineering positions at nCircle Network Security, Vernier Networks, Azanda Network Devices, Ventana Technology, Credence Systems Corporation, Taos Mountain, Apple and nVidia. Gurney is an active participant in numerous open source software initiatives, and has made several notable contributions to the development of FreeBSD.

“I am pleased to be joining a strong team that is making key contributions in an exciting and developing field,” said Cossack. John-Mark Gurney added, “I look forward to using my digital video experience to help improve SPDC further and to apply the core technology to address security challenges as they arise.”

About Self-Protecting Digital Content

SPDC™ is a security platform created to protect and enhance the distribution of digital content. Designed so each clip of content can carry its own decoding software, SPDC™ enables content authors to determine which security threats need to be addressed by their content. This reduces the burden on player makers and provides content authors with the tools needed to manage piracy and deliver a consumer-friendly playback experience. SPDC’s approach to combating piracy provides adaptive and renewable security for online and offline environments, and enables much more flexible and unobtrustive use of content than traditional restriction-based digital rights management (DRM) systems.