FOR IMMEDIATE RELEASE

Privilege Software Commerce Platform Supports Mac OS X version 10.2 "Jaguar"

Aladdin Knowledge Systems proven anti-piracy and electronic distribution
capabilities now available to Mac OS X v 10.2 application developers

CHICAGO, October 1, 2002 ? Aladdin Knowledge Systems Ltd. (Nasdaq: ALDN), a
leader in electronic software commerce, today announced support of the new
Mac OS X version 10.2 "Jaguar" with the Privilege Software Commerce
Platform (SCP), enabling anti-piracy and electronic distribution
capabilities for application developers.

"Privilege SCP for Mac OS X enables state-of-the-art software to be
delivered in a safe and secure way," said Stephen Axel, vice president of
global marketing for Aladdin Knowledge Systems. "We are very pleased to
expand the Privilege platform to protect the intellectual capital of Mac
developers around the world."

"Mac OS X's open, UNIX-based architecture with support for the industry
standards like Java, Apache, OpenGL, WebDAV, and PDF, offers developers the
most powerful and flexible environment for creating robust, feature-rich
applications," said Ron Okamoto, Apple's vice president of Worldwide
Developer Relations. "Protecting software is very important and we're
delighted to have Privilege SCP provide such solid anti-piracy protection
and worldwide multi-tier electronic software distribution for our
developers."

Using Privilege SCP, application developers can protect their Mac OS X
v10.2 applications from unauthorized use and also securely distribute these
applications around the world via the Internet. The features of Privilege
SCP that allow software publishers to implement new and secure business
models include:

=B7 Product Activation ? Ensuring that the publisher is compensated each and
every time their application is installed on a new personal computer.

=B7 Trial Ware ? Allowing the publisher to distribute fully-functional, yet
time-limited, demo versions that can be converted electronically to fully
licensed applications as a Try Before You Buy model.

=B7 Electronic Software Distribution ? Enabling publishers to leverage the
24x7 availability of the Internet to both sell and deliver software
applications through multiple distribution channels.

For more Privilege SCP information, visit www.eAladdin.com or call
800.562.2543.

Aladdin Knowledge Systems

Aladdin (Nasdaq: ALDN) is a leader in digital security, providing solutions
for software commerce and Internet security since 1985. Aladdin serves over
30,000 customers worldwide. Aladdin's products include: the USB-based
eToken device for user authentication and e-commerce security; the eSafe
line of content security solutions that protect PCs and networks against
malicious, inappropriate and nonproductive Internet-borne content; HASP and
Hardlock, hardware-based software security systems that protect the
revenues of developers; and Privilege, a software licensing and
distribution platform. Visit Aladdin's Web site at www.eAladdin.com.