Leading Entertainment and Media Enterprise Selects Aladdin eToken

CHICAGO, October 26, 2005 - Aladdin Knowledge Systems (Nasdaq:ALDN) , the worldwide leader in Software Digital Rights Management (DRM) and a leading innovator in enterprise content security and strong authentication solutions, and a leading innovator in enterprise secure content management, today announced that one of the world's leading entertainment and media enterprises chose Aladdin eToken hardware and software solutions for secure network access and password management.

As the most powerful two-factor authentication token available today, Aladdin eToken now provides one of the world's largest international entertainment companies with a powerful, yet easily deployed solution for ensuring that employees securely gain access to critical applications and confidential data - an important process highlighted by its auditors. Aladdin eToken also offers unmatched password management capabilities, allowing both employees and the organization to simply create and manage password policies that match the needs of the company and its divisions.

Aladdin's solution was selected after a thorough evaluation of several competing products, highlighting the importance of being able to support a variety of hardware authentication devices as well as manage secure access for multiple applications. These eToken strengths provide a unique value over the competition and serve as a distinct differentiator.

"We are extremely pleased to announce that one of the world's best-known entertainment companies has entrusted Aladdin eToken to provide strong ID management and password capabilities for thousands of employees," said Steve Langerock, CEO of Aladdin North America. "This significant eToken customer illustrates the unique and flexible technology within Aladdin eToken - reaffirming its capability to provide large organizations with a reliable, cost-effective solution for employees securely accessing digital resources."

About Aladdin eToken

Aladdin eToken provides cost-effective strong user authentication and password management solutions. It provides enhanced security and ensures safe information access; improved password and ID management; and secure mobility of digital credentials/certificates and keys. Aladdin's product vision and innovation is evidenced by the company being awarded two key patents covering this security technology: USB devices with a smart card and USB devices as portable storage for credentials.

About the size of an average house key, the award-winning Aladdin eToken is easy to use and highly portable, providing users with powerful authentication by requiring something they have, the tamper-proof eToken, and something they know, a password. It is used for secure network logon, secure VPN, Web Sign-On, Simple Sign-On, secure email, and numerous other applications. eToken is available in smart card and USB form factors featuring physical access (RFID) capabilities and one-time password technology.

The Aladdin Token Management System (TMS) enables the deployment, provisioning and maintenance of security Tokens, Smartcards and ID Badges within an organization. In addition, TMS offers seamless, and reliable management for Enterprise security services combining both PKI and non-PKI systems. For more information, visit http://www.Aladdin.com/eToken.

About Aladdin

Aladdin Knowledge Systems Ltd. is a global provider of security solutions that reduce software theft, authenticate network users and protect against unwanted Internet and e-mail content, including spam and viruses. Its security products are organized into two segments: Software Digital Rights Management (DRM) and Enterprise Security. Aladdin's Software DRM products allow software publishers to limit revenue loss from software theft and piracy. Its Enterprise Security solutions enable organizations to secure their information technology assets by controlling who has access to their networks (authentication) and what content their users can utilize (content security). Visit the Aladdin Web site at www.Aladdin.com.

©2002-2005 Aladdin Knowledge Systems, Ltd. All rights reserved. eToken, Aladdin Knowledge Systems and the Aladdin logo are trademarks or registered trademarks of Aladdin Knowledge Systems, Ltd. All other product and brand names mentioned in this document are trademarks or registered trademarks of their respective owners

####

All trademarks and registered trademarks are the property of their respective holders.