Computer Security Study Shows Sharp Increase In Users Requiring Internet Access for Business Purposes

Study Sponsored by International Data Corporation and Check Point Software Technologies Outlines Internet Security Trends, Usage Issues and Customer Concerns

Redwood City, CA —

Check Point Software Technologies Ltd.(NASDAQ: CHKPF), the market leader in network security software, today announced the findings of a study highlighting the need for corporations to provide employees remote and mobile access via the Internet to sensitive company information. In addition, user application requirements are evolving to include increased deployment of audio and video applications both across the Internet and within the corporate intranet. The study was conducted by International Data Corporation (IDC), a leading computer industry research firm, and sponsored by Check Point Software Technologies Ltd.

The corporate computing trends outlined in the study are driven primarily by accelerated adoption of the Internet for business and commercial use and increased deployment of intranets, also known as internal subnets comprised of Internet-based applications and services.

More than 87% of the 100 network managers polled in the survey indicated that it is critical to their business success to provide users with remote access to sensitive corporate data including financial information, employee training data, or business plans using the Internet as a transport mechanism. These findings highlight the need for network security products such as Check PointŠ FireWall-1Š , which provides secure remote access capabilities and enables organizations to deploy Virtual Private Networks (VPNs) that connect a private network segment (such as a corporate LAN) with a public or untrusted network segment (such as the Internet).

The study also found that of the organizations polled, two out of three sites are already implementing an intranet. IDC estimates that this number is expected to reach 86% by 1997. The study respondents indicated that the number-one capability required by their organization is the ability to protect internal computers and specific subnets from unauthorized internal access. These findings further highlight the need for technologies such as Check Point FireWall-1 which enable organizations to define security policies encompassing access control to enable secure intranets for internal network compartmentalization.

The findings of the study also indicate evolving application requirements, including the need to use in-house and custom applications, client/server or commercial applications, Java applets and multimedia applications, such as RealAudio or Internet Phone, securely across the Internet. Of the sites polled:

64% are currently providing internal users with access to in-house custom applications and 28% are extending this capability to external users such as mobile and remote users, business partners and customers.

49% are currently providing internal users with direct database access and 18% are providing direct database access to external users, such as business partners and customers

39% are currently enabling internal users to access commercial client/server applications and 13% are extending this access to external users

40% have established security policies which enable internal users to access Java applets and 20% are providing external users to access Java applets

"The findings of the study showed that there is a strong and growing user-driven demand within many organizations to provide a much broader range of access to an expanding number of applications and services, such as direct database access across the Internet or the delivery of interactive content using multimedia technologies," said Dr. Deborah Triant, CEO and president of Check Point Software Technologies, Inc.

"This corresponds with many of the findings among our user base and also emphasizes the need for an open and extensible security platform which enables organizations to extend and customize their network security solution quickly and easily."

Additional highlights of the study include:

76% of the of the network managers polled opted for a restrictive approach to firewall design by defining a policy which denies any service not expressly permitted

87% of the network managers polled reported the need to provide remote access to sensitive company information via the Internet. By next year, that number is expected to grow to 94% for remote sites and to 91% for mobile computing users respectively

Two out of three sites are already implementing an intranet. This number is expected to reach 86% by 1997

"Business and commercial use of the Internet has expanded dramatically to become both a delivery vehicle and an execution platform for the next generation of commercial client/server applications," said Ted Julian, Internet Research Manager at International Data Corporation. "The findings of the study are indicative of the fact that as the playing field has changed, so has the type of security necessary for protecting today's enterprise."

About the Study Methodology

The study findings are based on a series of interviews conducted by IDC of 100 corporate sites providing either inbound or outbound access to the Internet. Eligible sites were those providing access to the Internet and implementing a firewall or planning to do so within the next year. Companies surveyed represented a broad cross-section of industries with the highest concentration in the transportation, communications, business services, and durable manufacturing sectors. Over 80% of the eligible participants were working at companies with over 1,000 employees companywide and over 100 people at their particular site.

About Check Point Software Technologies Ltd.

Check Point Software Technologies Ltd. (NASDAQ:CHKPF) is the network security market share leader and inventor of the "Stateful Inspection" architecture. The company commanded a 40% share of the worldwide firewall market in 1995, according to an IDC study issued in February 1996. The company's flagship product, Check Point FireWall-1, protects internal and external network communications for thousands of organizations of all sizes. Its products are sold worldwide through OEM partners, distributors, VARs, systems and network integrators and Internet Service Providers. The company has U.S. headquarters in Redwood City, California and international headquarters in Ramat-Gan, Israel. For product information, please call (650) 482-4900, e-mail info@checkpoint.com or visit Check Point at http://www.checkpoint.com.

About International Data Corporation

Headquartered in Framingham, Mass., International Data Corporation provides IT market research and consulting to more than 3,900 high-technology customers around the world. With a global network of 300 analysts in more than 40 countries, IDC is the industry's most comprehensive resource on worldwide IT markets, products, vendors, and geographies. Additional information on IDC can be found on its website (http://www.idcresearch.com).

Editor's Note

A copy of the "Firewalls and Network Security/ Roadmap to Network Security," an IDC white paper sponsored by Check Point Software Technologies is available to the media upon request. To obtain a copy of the study, contact Jessica Johannes or Emily Cohen of Check Point Software Technologies, Inc. at (415) 562-0400, x236 or x 228 jessica@us.checkpoint.com or emily@us.checkpoint.com.

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