Overview and Frequently Asked Questions
`
`Overview
`
`Oracle Buys Bharosa: Delivers Next-Generation
`Risk-Based Access Management
`
`Customer Benefits
`
`On July 18th, 2007 Oracle announced our plan to buy Bharosa, a
`leading provider of fraud prevention and strong authentication
`security solutions. The transaction will extend Oracle’s Identity
`Management capabilities by adding proactive real time risk-
`analysis, strong authentication and fraud prevention. The
`transaction is subject to customary conditions and is expected to
`close in August 2007. Until the deal closes, each company will
`continue to operate independently, and it is business as usual.
`
`Online fraud has increased, causing users to lose confidence in
`web-based services and leading to significant impact to business.
`Driven by specific regulatory mandates such as FFIEC, PCI, and
`HIPAA, organizations are under pressure to proactively detect and
`prevent fraud and provide more granular reporting of their
`progress toward protecting the privacy of consumers. Bharosa
`provides key capabilities spanning strong authentication, mutual
`authentication, contextual authorization, proactive real-time risk
`monitoring and fraud detection, and real-time reporting and
`analysis. Their proven technology secures leading consumer web
`sites, including those of National City Bank, and 30 others,
`protecting over 25 million users. Bharosa’s products restore
`confidence in the Web channel, reduce the costs and complexity of
`interacting with consumers, protect users against online threats,
`and mitigate misuse from privileged users within the enterprise.
`
`The acquisition of Bharosa will extend Oracle’s ability to offer its
`customers comprehensive web-based access management
`solutions. Combined with Oracle’s identity management
`products, these innovative solutions will deliver the next
`generation of adaptive, risk-based access management providing
`our customers with a comprehensive set of tools to protect and
`manage access to their assets.
`
`The proposed combination of Oracle and Bharosa is expected to
`result in several benefits to customers after the close of the
`transaction:
`
`Bharosa customers will benefit from:
`
`• Oracle’s global reach and 24X7 capabilities
`
`• Alignment with other Oracle product releases
`
`• Additional product functionality, supportability, and
`3rd party integration
`
`Oracle customers will benefit from:
`
`• Rapid evolution toward the next generation access
`management solutions
`
`• Better integration with Oracle Access Manager and other
`Oracle products
`
`• Reduced cost and complexity for a complete, end-to-end solution
`
`Partner Benefits
`
`The proposed combination of Oracle and Bharosa is expected to
`result in several benefits to partners after the close of the transaction:
`
`• The addition of leading proactive, real time risk analysis, strong
`authentication and fraud prevention technology extends Oracle’s
`Identity Management offering. This product family is an integral
`part of the Oracle Fusion Middleware application development
`and deployment platform many partners build to today.
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`• Oracle offers a global partnering infrastructure and capabilities,
`allowing existing Bharosa partnerships to be broadened, while
`providing for new ones as well.
`
`• Broader opportunities for ISVs to embed their technology.
`
`• System Integrators benefit from increased strategic opportunities.
`
`Frequently Asked Questions
`
`Product Overview and Strategy
`
` What products does Bharosa currently develop
`and support?
`
`Bharosa develops and supports two main products:
`
`• Bharosa Tracker, a comprehensive anti-fraud software solution
`that works behind the scenes by verifying a host of factors used
`to confirm identity. Tracker scores risk and alerts the
`organization in real time to potential fraud.
`
`• Bharosa Authenticator, which includes a suite of highly secure
`software-based authentication devices. These authentication
`devices provide a lightweight, cost effective solution that work
`with any browser to protect passwords, PINs, and other
`sensitive user information from malicious programs or man-in-
`the-middle attacks.
`
`How will this acquisition impact the on-going
`development of Bharosa solutions?
`
` Until the closing of the acquisition, Bharosa and Oracle remain
`separate companies. Bharosa intends to continue to deliver
`enhancements and improvements to its products as currently
`contemplated. After the closing, Bharosa and Oracle plan to
`provide continuity in roadmap and direction. Oracle plans to
`support and protect customers’ investments in Bharosa
`applications. Research and development investments in Bharosa
`solutions are expected to increase after the closing as it will then
`have the backing of Oracle and will be able to share in Oracle’s
`$1.9B R&D budget.
`
`2
`
`How does Bharosa fit into Oracle’s overall identity
`management strategy?
`
`Bharosa products will become part of Oracle’s Identity Management
`offering. Bharosa’s innovative solution will add multiple layers of
`controls to Oracle Access Manager’s authentication and
`authorization techniques and provide metrics for assessing risks and
`detecting fraud during online transactions. Bharosa’s products bring
`critical adaptive capabilities to Oracle’s identity management suite
`and helping customers evolve toward a new generation of access
`management technologies. Bharosa can enhance the confidence in
`each transaction by providing a risk basis for Oracle’s proven
`identity management and access control technologies.
`
`Will Oracle continue to support customers running
`Bharosa solutions on non-Oracle databases?
`
`Oracle plans to continue to support Bharosa’s products on
`alternative databases to serve customer needs, as it does today with
`other Oracle Identity Management offerings.
`
`Will Oracle continue to support customers running
`Bharosa solutions with non-Oracle ERP and CRM
`applications?
`
`Oracle plans to continue to support Bharosa’s solutions with
`alternative ERP and CRM applications to serve customer needs, as
`it does today with other Oracle Identity Management offerings.
`
`How compatible are Bharosa’s products with
`Oracle’s products?
`
`Bharosa and Oracle solutions are very compatible. Bharosa
`brings to Oracle a complementary set of solutions, built using
`industry standards that are already integrated with Oracle
`Identity Management, Oracle Database, and Oracle Fusion
`Middleware solutions.
`
` How does Oracle plan to maintain Bharosa’s industry and
`domain expertise after the closing?
`
`The goal of the combination is to complement the offerings of
`Oracle. Bharosa brings significant market domain expertise and is
`considered a leader in this segment by leading analysts. Bharosa
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`management and employees will be an integral part of the identity
`management business within Oracle for the combined companies.
`Bharosa’s executive management and founders as well as Bharosa
`employees are anticipating joining Oracle.
`
`• Better integration with Oracle Access Manager and other
`Oracle products
`
`• Reduced cost and complexity for a complete, end-to-end solution
`
`Customers and Partners
`
`How is the proposed transaction between Oracle and
`Bharosa expected to benefit Bharosa customers?
`
` Bharosa and Oracle have complementary products and a shared
`focus on providing secure authentication and authorization
`solutions. Bharosa customers are expected to benefit in a number of
`ways from this transaction:
`
`• Access to Oracle’s global reach and 24x7 capabilities
`
`• The backing and R&D budget of the world’s largest enterprise
`software company
`
`• Alignment with other Oracle products spanning middleware,
`database, and applications
`
`How is the proposed transaction expected to
`benefit partners?
`
`After the transaction is complete, Oracle and Bharosa partners will
`benefit by working with a single vendor to address customer needs
`for identity management and real time fraud analysis and
`prevention. Oracle partners are expected to benefit from Bharosa’s
`best-in-class solutions for strong authentication and risk analysis.
`Bharosa partners are expected to benefit from Oracle’s increased
`support of Bharosa partners and increased investment in Bharosa
`and Oracle Identity Management products. Both companies’
`partners are expected to benefit from the complementary solutions
`that provide an opportunity to increase business value and drive
`down cost of ownership throughout an integrated, standards-based
`enterprise software stack.
`
`• Additional product functionality, supportability, and
`3rd party integration
`
`How will Oracle continue to support and broaden
`relationships with Bharosa partners?
`
`How will customers’ investments in Bharosa solutions
`be protected by Oracle?
`
`
`
` Customer investments in Bharosa solutions are expected to be
`supported and protected. Bharosa’s current product plans and
`support plans continue as currently contemplated. In addition,
`Oracle currently plans to fully support and continue development
`of Bharosa’s solutions on an ongoing basis.
`
`As an Oracle customer, how can I benefit from Bharosa’s
`products and services capabilities?
`
`Current Oracle Identity Management customers are expected to
`benefit from the addition of Bharosa’s products in several ways:
`
`• Access to leading strong authentication and fraud prevention
`technologies
`
`• Rapid evolution toward the next generation access
`management solutions
`
`To provide for a smooth transition, existing Bharosa partner
`contracts will remain in effect until after the closing, and your
`existing Bharosa contracts for support, professional services, and
`sales remain the same. As contact information changes, we will
`communicate these changes through normal channels. As a
`Bharosa partner, Bharosa representatives will be reaching out to
`you to answer any questions you might have. You may also use
`your current Oracle channels for support for any questions. Oracle
`will continue to provide access to Oracle PartnerNetwork and
`establish a partner focus area for Bharosa partners.
`
` How is this acquisition expected to impact any existing
`project, deployment, or services engagements?
`
`Bharosa and Oracle remain separate companies until the closing of
`the acquisition. It is not expected that this transaction will impact
`any existing project, deployment or services engagement.
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`How will Oracle provide for a smooth integration of the
`two companies after the closing?
`
`provides the best possible service for their organizations, and we
`know excellent training is critical to reach that goal.
`
`Oracle is very focused on customer satisfaction and plans to
`provide for a smooth transition without customer disruption.
`Oracle is experienced with integrating companies quickly and
`efficiently. Oracle will provide dedicated personnel from key
`functional areas for integration and utilize proven templates and
`processes for repeatable success in integration. We will
`communicate regularly throughout this process to keep our
`customers and employees well informed.
`
`Business Continuity
`
`Can I still purchase Bharosa products?
`
`Yes, Bharosa and Oracle remain separate companies until the
`closing of the acquisition. Please contact your Bharosa sales
`representative to assist you, or visit www.Bharosa.com for
`contact information.
`
`Should Bharosa customers continue to call the Bharosa
`support services?
`
`Yes. Until the closing of the transaction, Bharosa continues to
`operate as a separate business. Bharosa customers will continue to
`receive support and services from Bharosa, and should continue to
`use existing Bharosa contacts for support, professional services, and
`sales to address immediate and ongoing needs. We will
`communicate all changes and transitions occurring after the close
`of the transaction well in advance through these familiar channels.
`
`Should Bharosa customers continue to contact their
`Bharosa sales representative?
`
`Yes. Until the closing of the transaction, Bharosa continues to
`operate as a separate business and, until further advised, customers
`should continue to rely on existing relationships.
`
`Will training on Bharosa products continue?
`
`Yes. Until the closing of the transaction, Bharosa continues to
`operate as a separate business. After the transaction closes, we
`currently plan to combine the Bharosa education program with
`Oracle University. We want to ensure that our customers’ software
`
`Will existing Bharosa customer contracts be honored
`after the closing of the transaction?
`
`Yes. Oracle intends to honor the terms and conditions of existing
`Bharosa contracts for all existing license and service projects after
`the closing. Technical support will continue to be governed by the
`terms of the Bharosa maintenance agreement until the current
`support term expires. At the first renewal with Oracle, customers’
`support services (and not licenses) will be migrated to an Oracle
`License and Services Agreement (OLSA), which will govern the
`next support term. The OLSA will not govern customers' Bharosa
`license(s). New orders under existing Bharosa contracts may
`include order specific modifications to meet the requirements of
`Oracle's order taking policies
`
`Will the Bharosa leadership and employees be retained?
`
`The goal of this combination is to complement the offerings of
`Oracle. The acquisition of Bharosa significantly increases Oracle’s
`commitment to Identity Management. Bharosa’s employees, who
`have significant domain expertise in strong authentication and
`fraud detection will be an integral part of the identity management
`and security business within Oracle for the combined companies.
`
`What is the acquisition integration timeline?
`
`Until the transaction officially closes, we cannot comment on
`future integration plans, but we will communicate any updates
`with customers when they become available. We currently expect
`the transaction to close in August 2007.
`
`Where can I find out more information about the
`proposed Oracle and Bharosa combination?
`
`For more information, please visit Oracle.com/Bharosa.
`
`The above is for informational purposes and may not be incorporated into a
`contract. It is not a commitment to deliver any material, code, or functionality,
`and should not be relied upon in making purchasing decision. The develop-
`ment, release, and timing of any features or functionality described for oracle’s
`products remains at the sole discretion of oracle. The development, release,
`and timing of any features or functionality described for Bharosa’s products
`remains at the sole discretion of Bharosa. This acquisition is subject to the
`satisfaction of a variety of conditions. Oracle is not affiliated with Bharosa and
`Bharosa is not affiliated with Oracle until the official close of the transaction.
`
`Copyright © 2007, Oracle. All rights reserved. Oracle is a registered trademark of Oracle Corporation and/or its affiliates. Other names may be trademarks of their respective owners. 07003122
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