Aladdin eToken to Secure Virgin Mobile Phone Activations throughout France

CHICAGO, September 25, 2007 - Aladdin Knowledge Systems Ltd. (NASDAQ: ALDN), the leader in Software DRM, USB-based authentication, and secure Web gateways, today announced a deal with Virgin Mobile France that provides more than 3,000 of the country's Virgin Mobile distributors with the Aladdin eToken solution. Distributors at retail centers now use the Aladdin eToken authentication solution to secure transactions on Virgin Mobile's Internet-based phone activation system in France, providing powerful, strong authentication for the company's country-wide sales operations.

By providing distributors with the two-factor eToken NG-OTP authentication key, Virgin Mobile France adds a high level of security to its vast phone activation operations throughout France – preventing unauthorized users from gaining access to the company's vital, business-critical system. eToken NG-OTP stands as one of the industry's most innovative, smartcard-based hybrid USB and One Time Password (OTP) tokens. The device offers all of the functionality of Aladdin's smartcard-based USB token, eToken PRO, with the addition of OTP technology for strong authentication in detached mode.

Since February, Virgin Mobile's French distributors have been receiving customized eToken devices (see photo), replacing previous password-based log-in methods. The rollout significantly reduces fraud and arms the company with a consistent method of securely controlling distributors' access to their system. eToken, which is about the size of an average house key, is easy to use and highly portable, allowing Virgin Mobile France's distributors to use something they have, the Aladdin eToken, and something they know, a password, to authenticate.

Aladdin's Token Management System (TMS) also allows Virgin Mobile France to easily and cost-effectively control the entire strong authentication process with a single, robust system – enabling full lifecycle management of eToken devices, including deployment, provisioning and ongoing maintenance of tokens provided to distributors across France.

Continually prioritizing the security of their IT systems and the safety of their company/customer data, Virgin Mobile France's IT department found eToken's strong authentication solution as a powerful yet convenient protection method. They selected Aladdin eToken over competing solutions due to superior integration capabilities and ease of deployment that became clear during the IT department's thorough evaluation. The company was also able to cost-effectively load digital certificates onto each eToken NG-OTP device in an effort to prepare for any future needs that require such credentials.

"Companies such as Virgin Mobile France realize the necessity of protecting access to a system used by third parties throughout such a large region," said Shlomi Yanai, vice president of the Aladdin eToken Business Unit. "Aladdin eToken not only provides powerful data security, but also streamlines the life-cycle management of the full authentication solution, including the tokens themselves. We're pleased to provide Virgin Mobile France with an easily integrated, quickly deployed Aladdin eToken solution that further strengthens their control of the phone activation process."

About Aladdin eToken

Aladdin eToken is the world leader for USB-based authentication solutions. It provides strong user authentication and cost-effective password management solutions enabling organizations to easily and effectively expand business opportunities with secure network access, improve data security through enhanced encryption and digital signing, and reduce costs and vulnerabilities through superior password management. For more information, visit www.Aladdin.com/eToken.

About Aladdin

Aladdin Knowledge Systems' Software Rights Management products are the #1 choice of software developers and publishers to protect intellectual property, increase revenues, and reduce losses from software piracy. laddin eToken is the world's #1 USB-based authentication solution. The Aladdin eSafe secure Web gateway provides the most advanced protection against the latest Web-based threats and attacks. Aladdin has offices in 12 countries, a worldwide network of channel partners, and has won numerous awards for innovation. For more information, visit the Aladdin Web site at www.Aladdin.com.

©2007 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.