ARCSIGHT DISCOVERY SELECTED AS A SEARCHNETWORKING.COM 2004 PRODUCT OF THE YEAR

Ease of Use and Ability to Identify and Detect Threats Other Security Devices Miss Earn ArcSight Discovery a Silver in “Network Security Devices and Tools” Category

Cupertino, Calif. – January 18, 2005 – ArcSight, the leading provider of enterprise security management (ESM) software, today announced that it has won the Silver Award in the "network security devices and tools" category of SearchNetworking.com's 2004 Products of the Year Awards.

SearchNetworking.com editors noted that ArcSight Discovery was “judged to be particularly adept at anticipating and managing less well known but no less dangerous threats,” and can also provide “early warnings that many other security devices might miss.”

“This honor continues industry recognition of ArcSight's ESM leadership,” said Robert Shaw, CEO and chairman, ArcSight. “ArcSight Discovery is our most recent innovation, providing CSOs the ability to proactively decrease their window of vulnerability.”

This award adds to a growing list of industry honors that ArcSight has recently received. In 2004, ArcSight was named one of Red Herring’s Top 100 Private Companies. ArcSight’s ESM software received Network World’s Best of the Tests Award in the security management category, the Network Computing Editor’s Choice Award and the Network Computing Well-Connected Award.

SearchNetworking.com’s 2004 Products of the Year Awards honor solutions that advance the state of the art in computer networking. In all, 18 products were chosen out of 122 submitted on the basis of seven major criteria: innovation, performance, ease of integration into environment, ease of use and manageability, functionality, value, and service and support. The awards were judged by the SearchNetworking.com editorial staff, in conjunction with a team of users, industry experts, analysts and consultants. The complete list of winning products is available online at www.SearchNetworking.com.

About SearchNetworking.com
SearchNetworking.com is a leading online resource for more than 330,000 enterprise IT professionals who seek information on the latest networking technologies and issues so they can make decisions, research products and set strategies. SearchNetworking.com provides original news stories, expert advice and interactive features for the networking community, and is the largest online source of networking e-newsletters, white papers and Webcasts. More information can be found at www.SearchNetworking.com.

About ArcSight Discovery
ArcSight Discovery provides security organizations with full knowledge of previously undetectable exploits attempting to invade the network. Through advanced artificial intelligence and data mining techniques, ArcSight Discovery detects and helps stop Zero Day and "low and slow" attacks that span multiple devices, identities and threat methods.

About ArcSight
ArcSight, Inc. is the leading provider of Enterprise Security Management (ESM) solutions. Winner of CMP’s Network Computing Editor’s Choice and Network World Best of Tests awards, and numerous other awards and recognitions, ArcSight ESM 3.0 enables enterprises to centrally manage information risk. By comprehensively collecting and analyzing security data, ArcSight ESM 3.0 provides accurate, real-time internal, external threat management and compliance reporting. ArcSight customers include companies in the Fortune top 5 of financial services, banking, telecommunications, high-technology, retail, healthcare, and biotech industries -- and more than 20 of the top 30 federal agencies.

For more information on ArcSight news, please contact: pr@arcsight.com