APPLICATION SECURITY, INC. SELECTED BY ALWAYSON AS TOP 100 PRIVATE COMPANY AWARD WINNER

AppSecInc Recognized for the Second Consecutive Year as a Leading Provider of Database Security Solutions for Government and Enterprise Organizations

New York, NY- June 29, 2005- Application Security, Inc. (AppSecInc) (www.appsecinc.com), the leading provider of proactive security solutions for corporate and government applications, today announced that it has been chosen by AlwaysOn as one of the Top 100 Private Company award winners. AppSecInc was handpicked by the AlwaysOn editorial team based on a set of five criteria - innovation, market potential, customer adoption, media buzz and investor value creation.

The AO 100 was selected from more than 1,000 companies, peer-nominated by leading venture capitalists, investment bankers and industry analysts. The AO 100 consists of private companies at all stages of development, from early to late stage.

With more than 48 million personal records exposed in 2005 alone, the reality is that the focus of attackers has moved away from individual endpoints or the network infrastructure itself, and is now centered on the highest value target - the enterprise database. Without adequate security for critical software applications such as databases, enterprises face the very real potential of compromised information assets and the severe damage to business and brand which results from the disclosure of the loss. Traditional security offerings - built for and deployed at the network and operating system levels - cannot defend against dynamic threats to the application.

Widely acknowledged as having the industry's most comprehensive database security portfolio, and chosen as a VISA Alliance partner, AppSecInc products proactively secure enterprise applications at more than 350 organizations around the world by discovering, assessing, and protecting databases against rapidly changing security threats. By securing data at its source AppSecInc enables organizations to more confidently extend access to their business critical systems to customers, partners and suppliers.

"The AO 100 companies are shaping today's web-driven, connected environment," said Tony Perkins, founder and editor of AlwaysOn. "We were inundated with nominations from leading companies, many of which I hope will appear on our list next year. My congratulations to each AO 100 winner - these are the companies that we predict will have the greatest market traction, strongest innovation and most game-changing approaches this year."

"The critical need for stronger and more proactive database security has grown exponentially since our selection as an AO100 top private company last year, " said Jack Hembrough, President and CEO of Application Security Inc. "Our selection this year underscores that much still needs to be done, and highlights AppSecInc's leadership position in offering a complete vulnerability management suite, giving our customers the ability to proactively assess, discover, and protect their critical applications and databases. We are pleased to join the most innovative and promising industry leaders in the AO100 for a second year in a row."

The AO 100 will be honored at the AO2005: Innovation Summit at a VIP reception at 5.00pm on July 19, 2005 at the Frances C. Arrillaga Alumni Center on the Stanford University campus in Palo Alto, California.

About Application Security, Inc. (AppSecInc)

AppSecInc is the leading provider of application security solutions for the enterprise. AppSecInc's products - the industry's only complete vulnerability management solution for the application tier - proactively secure enterprise applications at more than 350 organizations around the world. By securing data at its source, we enable organizations to more confidently extend their business with customers, partners and suppliers while meeting regulatory compliance requirements. Our security experts, combined with our strong support team, deliver up-to-date application safeguards that minimize risk and eliminate its impact on business. Please contact us at 1-866-927-7732 to learn more, or visit us on the web at www.appsecinc.com.

About AlwaysOn

ALWAYSON is transforming the communication business with its online blogging network, establishing it as a leader in the Open Media revolution. Borrowing from the underground traditions of blogging and social networking, ALWAYSON (http://www.alwayson-network.com/) was launched in 2003. Today, AO's annual Summit @ Stanford and OnHollywood events, print "blogozine" and online services encourage direct collaboration between global thought leaders and technology insiders. No other media brand has dared allow such openness amongst its readers and participants. ALWAYSON, LLC, is a privately held and virtually headquartered company born out of the heart of Silicon Valley.

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AppSecInc, AppDetective, and AppRadar are trademarks of Application Security, Inc. All other company and product names are trademarks of their respective companies.

Contacts
Rebecca Knowles
Application Security, Inc.
rknowles@appsecinc.com
(781) 276-4508

Christine Atkinson
CHEN PR, Inc.
catkinson@chenpr.com
(781) 466-8282, ext. 39

Julia French
LEWIS PR for AlwaysOn
juliaf@lewispr.com
415 277 5400