Mozambique Deal Expands African Adoption of Digimarc Secure ID Solutions

Digimarc Corporation

Digimarc will supply its market-leading secure enrolment system and digital watermarking security to the Mozambique driver license program

Digimarc Corporation (NASDAQ: DMRC) today announced that Mozambique is the second African nation to adopt Digimarc secure digital driver license solutions in the past six months and joins a growing number of international and U.S. driver license issuers who secure their credentials with machine-readable digital watermarking features designed to help thwart counterfeiting and photo swapping.

The Mozambique Administracao Nacional de Estradas (ANE) is taking advantage of and leveraging Digimarc's market-leading enrollment solutions and digital watermarking to produce the nation's new secure digital driver license. The contract will be delivered in partnership with Face Technologies, a leading specialist provider of smart card technology, beneficiary payment systems, biometrics and card solutions.

Driving License with Digital Watermarking

The system will incorporate Digimarc secure enrollment products, such as the Digimarc Camera Tower with its shadow reduction system, to strengthen the process of capturing reliable applicant identity information while ensuring high levels of customer service; and Digimarc ExianDual card architecture - a proprietary high security card solution for over-the-counter driver license issuance.

"Many African nations are upgrading their driver license systems to enhance the security of their credentials and production processes. We believe Digimarc is well positioned to help countries like Mozambique with market-leading secure ID solutions that can be quickly and easily deployed," said Bob Eckel, president, government programs, Digimarc Corporation. "We are also pleased to see the growing adoption of digital watermarking-based ID security beyond the U.S., where 50 million digitally watermarked licenses are already in circulation."

The win in Mozambique demonstrates the expanding adoption of Digimarc secure ID solutions that can be adapted to the specific needs of ID issuers around the world. Digimarc signed a contract to supply Ghana's driver license system in the third quarter of 2006. Previously, Digimarc has worked with regional partners to provide support for Mozambique's voter identification program.

Digimarc secure ID solutions are used currently in several key driver license programs in Africa, including Ghana, Botswana and Lesotho. One of the fastest developing countries of the Southeast Africa region, Mozambique will introduce a new driver license that is compliant with South African Development Community (SADC) driver license standards for the region.

Beaverton, Oregon - March 8, 2007


About Face Technologies

Face Technologies is an IT systems integrator specialising in smart card and biometric technology. Face Technologies focuses on enabling businesses and organizations to identify personnel, clients and assets, and prides itself on providing end-to-end integrated business solutions. Face Technologies is capable of customising beneficiary payment systems, national identification systems, voter registration and election systems or transport information systems according to a country's specific requirements.

Face Technologies pioneered the use of biometrics in South Africa and has successfully applied the technology in a variety of applications, ranging from automatic fingerprint identification systems (AFIS) and fingerprint enrollment for driver's licences to automated payment systems based on biometrics and smart card technology to verify the identity of pensioners in over 15 countries.

Face Technologies is partnering with a local Mozambican company, called Escopil International LDA, to do Support and Maintenance of hardware equipment. Face Technologies has delivered projects in the following countries: South Africa, Botswana, Democratic Republic of Congo, Lesotho, Namibia, Malawi, Poland, Tanzania, Uganda, Zambia, Zanzibar and Zimbabwe.

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