FOR IMMEDIATE RELEASE
  

Vadium Technology Helps Protect Customers From Suspected State-Sponsored Cyber Attacks

TACOMA, WA – September 14, 2007 –In response to recent reports, including the attack against the Pentagon where attackers were successful in obtaining documents, Vadium Technology, Inc. today announces that its flagship product, AlphaCipher, is a critical component to protecting information from sophisticated cyber attacks.

Over the last several months, the press has reported several cyber attacks against critical government targets such as the Pentagon in the United States, certain ministries in Germany including the office of Chancellor Angela Merkel, agencies in Great Britain and the internet infrastructure of Estonia.   It has been acknowledged that these attacks were successful.  According to published reports, experts now believe that many of these cyber attacks originated from state sponsored organizations.

“These recent attacks show just how vulnerable our networks are and how difficult it is to protect them from intrusion when cyber attackers have essentially unlimited resources of time, labor and equipment,” said Wolfgang Hammersmith, Vadium’s founder and CEO.  “We applaud and support the efforts of our colleagues to protect their networks and data bases from intrusion.  However, by protecting the data itself with AlphaCipher, our customers have confidence that even if their perimeter is compromised, their critical information is safe from prying eyes.”

The Vadium AlphaCipher product provides a digital implementation of the unbreakable, one-time pad encryption solution. While historically useful in point-to-point, short-message applications requiring unconditional security, the AlphaCipher Digital One-Time Pad solution extends the utility to multi-point or user configurations, enabling secure communications among groups of users. AlphaCipher smart keys manage the key indexes for users, ensuring that each key segment is used only once, maintaining the integrity of the onetime pad, while providing users with a very easy drop down list of members.

For customers requiring complete control of their communication infrastructure, the Vadium KeyGen solution enables organizations to bring “in house” the entire key generation process to create their own AlphaCipher keys from any random number generator source.

AlphaCipher Keys can be utilized on secure USB devices supporting multi-factor authentication – both bio and password.  The combination of secure authentication, unbreakable data encryption, and ease of use make the Vadium AlphaCipher product the ideal solution for meeting today’s unconditional security requirements.

About Vadium Technology
Vadium Technology provides next generation encryption solutions.  Vadium’s groundbreaking technology, AlphaCipher, is a Digital One-Time Pad (D-OTP) that provides dynamic, multi-point communication structures by integrating Unbreakable Encryption, Strong Identification and Authorization with Multi-Factor Authentication into one easy to use, robust solution.  AlphaCipher applications can be developed for every environment as no other solution operates as fast or puts so little burden on system overhead.  AlphaCipher protects against attack regardless of resources or time applied.  Vadium Technology is a privately held firm with headquarters in Tacoma Washington.  For more information, please go to www.vadiumtech.com.

Vadium Technology, AlphaCipher and the Vadium logo are trademarks of Vadium Technology, Inc. which may be registered in certain jurisdictions.  All other brand/product names are trademarks of their respective holders.

Cautionary Language
This press release may contain forward-looking statements that involve risks and uncertainties, including statements regarding expected benefits of use of the Company's products and future growth or results. Among the important factors which could cause actual results to differ materially from those in the forward-looking statements are competition, market demand, technological change, strategic relationships, recent acquisitions, international operations and general economic conditions.

Company Contact:
Darren T. Basch
Vadium Technology, Inc.
+1 253-896-1000
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