SOURCE: Strikeforce Technologies, Inc.
EDISON, NJ--(Marketwire - Aug 24, 2011) - In conjunction with the filing of the company's latest quarterly report on August, 22, 2011, StrikeForce Technologies (OTCBB: SFOR) is providing the following insight into the state of the Company.
STATE OF THE COMPANY
While the general business climate for many companies remains challenging, the overall business environment for StrikeForce Technologies ("company") is very promising, and we believe that demand for our products is growing. Cyber-crimes and high profile intrusions, security breaches and theft of data and money, such as the data breaches at Sony, Epsilon, RSA and Lockheed Martin, are reported in the global media on almost a daily basis. It was reported that over 500,000,000 (half a billion) records have been compromised from data breaches since 2005, as reported by http://datalossdb.org/. The U.S. government ranks cyber-crime as the third gravest challenge to the country's economic stability, following only nuclear attack and weapons of mass destruction. Our management believes that consumer Internet users and enterprises are experiencing a heightened awareness of cyber security risks, resulting in more stringent security guidelines, regulations (e.g. FFIEC, HIPPA) and requirements. In turn, we contend that demand is increasing specifically for the types of capabilities that StrikeForce Technologies' patent and patent pending products deliver. All of this translates into the potential for substantial sales growth for our company.
CHANNEL SALES PARTNERS
This "perfect storm" of public attention, enterprise sector awareness and increased governmental regulations has coalesced to cause demand for our products to surge. Our strategy is to do what we do best; to develop and refine leading edge products for cyber safety and have our channel sales partners take those products to market and increase sales. We have recently and publicly announced several substantial channel partner successes, including:
- White Sky: The security platform provider has bundled our GuardedID® anti-keylogging product into its offering. It is being downloaded widely through White Sky's launch customer, one of the U.S.'s leading providers of online entertainment, information and communications products and services. WhiteSky is also in negotiations with other prominent and big named potential clients that includes our product.
- TrendMicro: This publicly traded $1 Billion dollar security software company has also included our GuardedID product in its security suite. Its integrated offering, "Trend Micro Titanium Security," is receiving favorable reviews from the press: 5 out of 5 stars from Computer Shopper, 4 Stars from CNET, 9 out of 10 from PC Magazine, and more.
- DWCC, Ltd: The London, UK-based technology focused business development company is marketing, distributing and supporting StrikeForce's cloud and enterprise security solutions to European organizations to enable them to procure the security protection available through StrikeForce's unique security software technology. We believe that they are already in serious discussions with potential clients across the European continent.
- Additional top-tier channel partners with whom we continue to work with towards increasing our revenues include Intersections, Datanet2000, Security Bit by Bit, Greenware, FNB Merchants, and others.
Just as each of these strong partners has sought us out for our best of breed technology, we have partnered with them because we believe they represent the best of breed in the marketing and sales of our products into their respective markets. We expect that these sales efforts will help us expand into new markets, and fully anticipate sales growth that will surpass the company's sales results to date by sizeable multiples.
In addition, the Company is continuing its direct sales activities to potential clients. Some of these transactions could be sizeable and lead to broader penetration in the financial, healthcare and technology markets.
Our channel sales model generates a high quality revenue stream consisting of immediately recognized revenue. In addition, many of these sales include ongoing monthly or yearly recurring revenue from each user or licensee.
The Company is working to restructure its balance sheet and is in the process of working with its secured investors, consultants and financial partners to develop the plan with a goal to address old debts while freeing up future cash that can be directed toward corporate growth.
NEW PRODUCT PIPELINE
While our current line of products meets current market needs, we continue our research and development efforts on technologies to address future market needs such as mobile security, and Mac based products. Our next new product deliverable is targeted for first quarter 2012 -- a Mac OS version of GuardedID® (keystroke encryption).
MARKETS AND TRADING
Our management expects, but cannot guarantee, that our Company will be re-listed on the OTCBB market in the near term. The Company was delisted from the OTCBB due to the Company's previous sponsoring market maker suffering reversals that forced them to close their doors. We are currently aligned with an active market maker who has filed the Form 211 with FINRA for re-listing. In the interim, we have continued to fully report our financials and make our regulatory filings as if we were on the OTCBB.
StrikeForce Technologies has recently been the subject of a research report written by Boston-based Research 2.0. The report discusses the macro-economic conditions in the marketplace and addresses the company's positioning within this sector. Based on discussions with clients and the company's OEM partners, the analysts forecast revenue of $2.1 million for fiscal year 2011. The company believes, while there can be no assurances, that this is a reasonable target that reflects the accelerating success of our strong sales partners, and also reflects the alignment of our core technologies -- Out-of-Band authentication and keystroke encryption -- with the market cycle.
Additional research coverage is provided by Chicago-based Institutional Analyst, Inc., as the company has been placed on their Internet Security Stock Review "Watch List". This is a universe of companies whose technologies or recent market performance are determined by the analyst to be compelling.
"The timing is absolutely perfect for StrikeForce Technologies," said Mark Kay, StrikeForce's CEO. "Our product development strategy is paying off, our products are being embraced as best of breed in the industry and our sales are commencing and projected to grow at multiples of previous performance based on the business noted above. The regulatory environment is phasing in mandates for the type of authentication and protection protocols that our patent and patents pending cover and our products provide. We expect the remainder of the year to be very positive for StrikeForce with expanded market penetration and highly profitable sales growth in the ensuing months and years."
ABOUT STRIKEFORE TECHNOLOGIES, INC.
StrikeForce Technologies helps to prevent online identity theft and data security breaches for consumers, corporations, and government agencies. It provides powerful two-factor, 'Out-of-Band' authentication and keystroke encryption solutions. StrikeForce Technologies, Inc. (OTCBB: SFOR) is headquartered in Edison, N.J., and can be reached at www.strikeforcetech.com or by phone at (732) 661-9641 or toll-free at (866) 787-4542.
Safe Harbor Statement:
Matters discussed in this press release contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. When used in this press release, the words "anticipate," "believe," "estimate," "may," "intend," "expect" and similar expressions identify such forward-looking statements. Actual results, performance or achievements could differ materially from those contemplated, expressed or implied by the forward-looking statements contained herein. These forward-looking statements are based largely on the expectations of the Company and are subject to a number of risks and uncertainties. These include, but are not limited to, risks and uncertainties associated with: the sales of the company's identity protection software products into various channels and market sectors, the issuance of the company's pending patent application, and the impact of economic, competitive and other factors affecting the Company and its operations, markets, product, and distributor performance, the impact on the national and local economies resulting from terrorist actions, and U.S. actions subsequently; and other factors detailed in reports filed by the Company.