Quest Software and Microsoft Announce First License for Protocol Technology in European Licensing Program

ALISO VIEJO, Calif., and REDMOND, Wash. – March 8, 2007 – Quest Software, Inc. (Nasdaq: QSFT) and Microsoft Corp. (Nasdaq: MSFT) today jointly announced that Quest has become the first licensee in the Microsoft Work Group Server Protocol Program (WSPP) established following the European Commission’s March 2004 decision.

Quest officials said the agreement to license Microsoft’s protocol technology will extend and enrich interoperability capabilities for customers working across heterogeneous server environments. Quest plans to develop innovative software solutions, incorporating Microsoft protocols, which will provide customers with expanded capability to integrate Unix, Linux and Java authentication systems with Active Directory beyond what is available from Quest today. Today’s announcement is the latest step by Quest and Microsoft to provide easy and effective ways to secure and manage user identities across a heterogeneous IT infrastructure.

“Our mutual goal has been to ensure enterprise organizations needing to manage a diverse infrastructure can do so in a practical way and leverage their existing investments in technology and people,” said Doug Garn, president, Quest Software. “The value of this agreement is that Quest is now better positioned than ever to implement truly interoperable solutions for customers that do not require them to support and maintain multiple islands of technologies and redundant processes.”

As a WSPP licensee, Quest will have access to the communications protocols that are implemented in Windows Server Operating Systems and used by a Windows Work Group Server to deliver group and user administration services (including Windows Domain Controller services, Active Directory services, and Group Policy services) to Windows Work Group Networks.

Microsoft developed the protocol licensing program to meet its obligations under the European Commission’s March 2004 decision, which required Microsoft to expand upon the protocol licensing it already offered under a U.S.-based licensing program. While 27 companies have licensed Microsoft protocol technology through the U.S. program, Quest is the first company to license protocols in the European program.

“This agreement represents a significant milestone for the WSPP and demonstrates the momentum we are seeing in the industry around platform interoperability,” said Bob Muglia, Microsoft senior vice president, Server and Tools Business. “Quest is a great partner and we look forward to working together to make this program successful for Quest and its customers around the world.”

Garn added that both companies have been working together for a number of years to make sure the right protocols are available to enable a full and positive experience for Unix users and for Unix-centric solutions. Quest is focused on providing simplified identity management solutions for customers by using standards-based methodologies and products such as Active Directory to integrate, consolidate and optimize Windows and cross-platform infrastructures.

About Quest Software, Inc.

Quest Software, Inc. delivers innovative products that help organizations get more performance and productivity from their applications, databases and Windows infrastructure. Through a deep expertise in IT operations and a continued focus on what works best, Quest helps more than 50,000 customers worldwide meet higher expectations for enterprise IT. Quest’s Windows Management solutions simplify, automate and secure Active Directory, Exchange and Windows, as well as integrate Unix, Linux and Java into the managed Environment. Quest Software can be found in offices around the globe and at

About Microsoft

Founded in 1975, Microsoft is the worldwide leader in software, services and solutions that help people and businesses realize their full potential. Over the past three years, it has signed nearly 200 intellectual property licensing agreements demonstrating the value of intellectual property and Microsoft’s efforts through its IP licensing program launched in December 2003.

Quest and Quest Software are registered trademarks of Quest Software, Inc. The Quest Software logo and all other Quest Software product or service names and slogans are registered trademarks or trademarks of Quest Software, Inc. Microsoft is a registered trademark of Microsoft Corp. in the United States and/or other countries. The names of actual companies and products mentioned herein may be the trademarks of their respective owners.

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