Microsoft Statement on Sunbelt Claims to GIANT Technology

REDMOND, Wash., Dec. 17, 2004 — On December 16, 2004, Microsoft announced that it acquired GIANT Company Software, a provider of anti-spyware and Internet security products, to help protect customers from the threat of spyware and other deceptive software. While the terms of acquisition and legal agreements made by Giant prior to the acquisition are confidential, Microsoft would like to clarify some of the issues that have been raised regarding the ownership terms of the anti-spyware technology acquired by Microsoft.

Microsoft’s upcoming beta solution for spyware, and any product offerings that Microsoft may subsequently deliver based on Giant technology, will be owned solely by Microsoft, and in no way will be co-owned by any third party.

Anti-spyware solutions require definition updates-signatures of known spyware and other unwanted software-that are necessary to keep the solutions up-to-date. Because of a legal agreement between Sunbelt Software Distribution and Giant that preceded the Microsoft acquisition, Microsoft will provide spyware signature updates to Sunbelt through July 2007.

Microsoft strongly recommends that customers use an anti-spyware solution in addition to following the three simple steps outlined at http://www.microsoft.com/protect : Use an Internet firewall on all PCs, update all PCs regularly with the latest security updates, and use up-to-date antivirus software.

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