Press Release

Ingrian Nets $15.4 Million in Fourth Round Fundin

Lead Investor Menlo Ventures Joined by Prism Venture Partners, Globespan Capital Partners, HighBAR Ventures, and Partech International

REDWOOD CITY, Calif.—April 18, 2005— Ingrian™ Networks, Inc., the leading provider of data privacy solutions, today announced the completion of its fourth round of venture funding, which totalled $15.4 million. Menlo Ventures led the round with Prism Venture Partners, Globespan Capital Partners, HighBAR Ventures, and Partech International also participating. Ingrian will leverage this funding to speed the delivery of enhancements to its pioneering solutions and increase its market leadership through aggressive expansion of sales efforts.

“High profile security breaches in recent weeks have dramatically underscored the need for heightened security measures that will ensure data privacy,” said Pravin Vazirani, Managing Director, Menlo Ventures. “We’re pleased to work with Ingrian as they assist enterprises in achieving this aim. With significant customer wins, unparalleled products, and expertise that comes with a wealth of enterprise deployments, Ingrian is uniquely equipped to address the rapidly growing demand for data privacy solutions.”

Founded in 1999, Ingrian has received over $55 million in funding to date. Menlo Ventures led this round of funding, which represented its first investment in the company. Menlo was accompanied by Prism Venture Partners, Globespan Capital Partners, HighBAR Ventures, and Partech International—all four of which invested in previous financing rounds.

“Increased consumer concern for data privacy, the continued prevalence of devastating security breaches, and rigorous security and privacy mandates, such as Visa’s CISP guidelines, are all creating tremendous awareness of the need to encrypt critical data at rest,” said Robert Steinkrauss, CEO of Ingrian Networks. “Ingrian delivers proven solutions that enable organizations to address a critical security need and to do so with unmatched cost effectiveness and flexibility. With this new round of funding, we’re well-poised to expand on our market lead.”

Ingrian DataSecure Platforms deliver capabilities for granular encryption, seamless integration, and centralized security management. With its solutions, Ingrian supports:

• Organizations around the world seeking to comply with privacy legislation, such as California’s AB 1950, Europe’s Data Protection Directive, and many others.
• Retailers, financial institutions, and payment processors in adhering to card issuer security policies like the Payment Card Industry’s Data Security Standard, Visa’s Cardholder Information Security Program and MasterCard’s Site Data Protection Program—programs that specifically mandate the encryption of data in databases.
• Financial institutions seeking to comply with the Gramm-Leach-Bliley Act.
• Government agencies striving to adhere to the Federal Information Security Management Act.

About DataSecure Platforms

Ingrian’s DataSecure platforms provide an intelligent, cost-effective way to protect critical data from both internal and external threats. As a result, organizations can better ensure that they are compliant with legislative and policy mandates for security, and eliminate the risks of data thefts. Ingrian’s breakthrough solution features dedicated hardware appliances and patent-pending cryptography software.

DataSecure offers flexible implementation options so organizations can deploy in a way that makes sense for their business and security needs—whether at the Web, application, or database level. DataSecure platforms can be efficiently integrated in Windows, Java, Linux, and Unix environments, and they work seamlessly with leading databases—including IBM DB2, Oracle, and SQL Server. DataSecure encrypts data in databases and applications at the column or field level, and can be used to secure such data as credit card numbers, social security numbers, passwords, account balances, and email addresses.

About Ingrian Networks

Ingrian Networks brings complete data privacy to the enterprise. With Ingrian DataSecure Platforms, organizations can protect critical data from both internal and external threats, and ensure compliance with legislative and policy mandates for security. DataSecure features a dedicated security appliance and specialized software that enables organizations to encrypt critical data in applications and databases. With its capabilities for granular encryption, seamless integration, and centralized security management, DataSecure enables organizations to guard against a range of security threats, with unparalleled ease and cost effectiveness. Ingrian is a privately held company backed by such investors as Globespan Capital Partners, HighBAR Ventures, Menlo Ventures, Partech International, and Prism Venture Partners.

Ingrian Media Contact

Betty Liang

Ingrian Networks

bliang@ingrian.com

650.261.2488