FOR IMMEDIATE RELEASE: July 16, 2003

PACE Anti-Piracy Releases InterLok 5.0 for Macintosh

Extensive copy protection and anti-tampering toolset for software is the
first to natively support Mach-O. New font protection and management system
offered.

SAN JOSE, CALIFORNIA - July 16, 2003 - PACE Anti-Piracy Inc., a leader in
the development and licensing of anti-piracy systems for software
publishers, has released version 5.0 of InterLok=AE for Macintosh. This
version works seamlessly with all Apple supported versions of the Mac OS.

The new release adds the ability to apply comprehensive copy protection to
Mac OS X native Mach-O executables without requiring source code
modifications - a first in the industry. This significant new feature will
help many software publishers in their migration to native Mach-O
applications by providing the reliable copy protection and license
management tools from PACE. In addition, PACE is now offering a Mac OS X
font copy protection system based on the InterLok tool set. These features
can be used for pure software copy protection or hardware based copy
protection using the optional iLok USB Smart key and related web site
www.iLok.com (http://www.iLok.com/) .

"The development of this new InterLok version has followed an 18 year
tradition of commitment to maximum security, advanced features, and
ease-of-use," said Allen Cronce, President and founder of PACE Anti-Piracy,
"InterLok 5.0 for Macintosh raises the bar of software security for our
customers while addressing their needs for a state of the art platform for
copy protection of Mac OS X native software".

InterLok 5.0 is the next-generation tool set for distributing and selling
software in a flexible, cost-effective, and highly secure manner. The
scalability of InterLok makes it a timely solution for software publishers
and distributors who are simultaneously challenged by increasing
peer-to-peer software sharing and decreasing development budgets. InterLok
enables publishers to protect their software by wrapping an application in
minutes with no source code changes or through the use of PACE's
comprehensive application programming interfaces.

"InterLok 5.0 re-introduces font protection tools to our line up" Andrew
Kirk, VP of Business Development explains, "We have worked hard to support
robust protection of all Mac OS X supported font formats including
OpenType, TrueType, and CID. The architecture has been designed so that we
can support other file types in the near future. Leveraging either direct
Internet Activation or Manual Activation for systems off the network, PACE
customers can build a robust platform for enforcing their licensing terms
and supporting their paying customers".

InterLok 5.0 continues to support the same range of software licensing
features as previous InterLok versions: automated wrapping, easy
integration into existing build systems, trialware and buy-before-you-try
functionality, metering, software rental, remote feature/module control,
iLok USB smart key support, web-based user registration, and automatic
delivery of authorization via the Internet.

Earlier this year PACE launched www.iLok.com (http://www.iLok.com/) , a
user services portal that supports the iLok USB smart key's ability to hold
multiple cross platform authorizations with various attributes such as
license periods or feature enablement. The iLok is one of the most
advanced USB dongles on the market today.

New Features and Benefits

Native Mach-O Support: Support for automatic protection of Mach-O
applications, Component Manager components, Audio Units
and other Mach-O bundle-based shared libraries and plug-ins.

Font Protection: Support for OS X font protection in a separately
available module. End users can manage their protected fonts
and licenses via PACE's Font License System Preferences pane.

Increased Security: New, highly secure anti-hacking, anti-debugging
functionality designed to limit the piracy of code at runtime.

Certificate-Based Signing: This version adds support for certificate
based digital signatures for protected executables. While
previous versions of InterLok supported digitally signing executables,
this new version expands on that feature with new
infrastructure using keys certified by PACE. This provides a mechanism
by which one can know who signed a given executable,
instead of just whether or not an executable was signed. This feature
can be used to programmatically establish additional
layers of trust between software components.

Availability of InterLok 5.0

InterLok 5.0 for Macintosh is available now as are the additional tools for
font protection.
More information is available about InterLok and PACE's iLok USB Smart Key
at http://www.paceap.com. A parity update for Windows for InterLok will be
released this summer. PACE Sales may be contacted by phone at (408)
979-9774 x1 or at sales@paceap.com. Evaluation kits are available, for
details please refer to the following
http://www.paceap.com/docs/PACEEval.pdf

About PACE Anti-Piracy
PACE Anti-Piracy Inc. is a privately held company based in San Jose,
California. Since 1985, PACE has provided software publishers and
distributors with high quality solutions for secure software distribution.
PACE's products are used by hundreds of world-class software publishers
around the world, including Adobe Systems, Bomb Factory, Corel, Digidesign,
Dolby Laboratories, FontWorks Japan, InstallShield, Liquid Audio, Morisawa
and Company, Network Associates, Nikon, Sanyo, Sonic Solutions, Steinberg,
WAVES, and The Walt Disney Company.