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Release Management Authors: Liz McMillan, Lori MacVittie, Gilad Parann-Nissany, Carmen Gonzalez, Mark R. Hinkle

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Protect Content in the Cloud With Scrambls for Files

Scrambls Brings Privacy & Control to Social File Sharing With Instant Encryption

PALO ALTO, CA -- (Marketwire) -- 11/13/12 -- Today scrambls announced Scrambls for Files as the next enhancement to the free service designed to allow you to control your social media, manage your online privacy, and decide who to share with. Scrambls for Files brings the power of scrambls into Microsoft Windows, for easy encryption of all types of files and folders before they are sent over the open Web.

Cloud storage and social media services have become increasingly prevalent in the market, with consumers quick to embrace the benefits. Yet there are vulnerabilities in the current model of uploading information into the cloud, and then trusting third parties to apply the proper privacy, security and authentication policies. Scrambls for Files brings a more secure method of data transfer for sharing files and folders anywhere you happen to be on the Web. With scrambls, users even maintain control to change who can read messages and files even after the fact.

"This is an important solution to consider for anyone that wants to safely and securely use cloud storage services like Dropbox™ or Microsoft SkyDrive®. Only members of your specified scrambls groups are aware of and can access the content, and you maintain the dynamic control to change those permissions anytime," said Michael Sprague, scrambls co-creator. "Cloud storage and social media services see only the encrypted data, and we don't even see it here at scrambls -- we only manage the keys and groups as a trusted third party."

The power lies in the dynamic groups offered by scrambls. Users choose exactly who can see and read anything scrambled, by forming groups (based upon email address, Facebook contacts/groups, etc.). With the same simplicity of scrambls text messages, users just choose what individuals or groups are permitted to read a file. Scrambls will decrypt and display both text and files. Retract messages and/or files by changing the groups or individuals authorized; schedule a specific time for messages and files to appear or expire; and much more.

"Scrambls can be used to encrypt your posts and files for enterprise-caliber protection wherever they travel across the networked social web," continued Sprague. "Secure what you place in cloud storage and take control over who can read sensitive information. The keys to unlock your encrypted data remain separate from the content, only to be brought back together when the people you authorize look to pull that message down from the cloud. Everyone else will only see scrambled text."

While encryption concepts are not new, they've traditionally been a burden to use. The simplicity and power of scrambls' groups mechanism sets it apart. Sharing scrambled files does not require circulation of a password or management of enterprise encryption key servers. Users simply choose who is authorized to read anything and those people or groups are granted rights -- all they need is a scrambls account of their own.

Scrambls is a platform that can be used with any service, to add the protection of scrambls into any web service and infrastructure you already know and use (Facebook, DropBox, email, Active Directory, etc.). The new model of information sharing supports file and folder encryption for all Microsoft Windows platforms.

Introducing Scrambls Professional for Power Users:
Scrambls continues to introduce more functionality, expanding what users can do with their groups & connections. Scrambls for Files is the latest of these innovations, following the recent Facebook Integration for login and group creation and several mobile apps.

With Scrambls for Files, a premium offering of scrambls will be introduced for heavier usage that brings added benefits to scrambls' most active users. Scrambls is committed to keeping basic use free for any consumer to secure their social communications over the open Web. The professional version allows unlimited use of Scrambls for Files, along with more features and functionality that are yet to come.

During an initial free trial period, every scrambls user will be given one free year of the professional offering (both new and existing users). Visit www.scrambls.com to sign up for free today.

Build scrambls Into Your Next App:
Scrambls also serves as a platform for integrating security and control for third-party solutions, protecting users' interactions with the social web. App developers and social media providers interested in augmenting the privacy and security of their own applications and services can leverage scrambls' software developer kit. The SDK enables third-party apps and sites to integrate directly with scrambls, for a comprehensive and reliable solution backed by enterprise security veteran Wave Systems. For more information, visit: http://developer.scrambls.com.

About Scrambls
Scrambls is a service developed by Wave Systems Corp. (NASDAQ: WAVX) that makes online sharing simple and safe. All you need is the scrambls plug-in added to your browser toolbar. You can make any post private with just one click, even if you're publishing to different groups of contacts spread across multiple social networks. Scrambls lets you decide what the privacy policy will be for each post that you share. Scrambls makes online sharing smarter, with control over what you are sharing and whom you are sharing it with.

Safe Harbor for Forward-Looking Statements
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 company's financial condition or results of operations; (iii) the company's growth strategy and operating strategy; and (iv) the declaration and payment of dividends. The words "may," "would," "will," "expect," "estimate," "anticipate," "believe," "intend" and similar expressions and variations thereof are intended to identify forward-looking statements. Investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, many of which are beyond the company's ability to control, and that actual results may differ materially from those projected in the forward-looking statements as a result of various factors. Wave assumes no duty to and does not undertake to update forward-looking statements.

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