GRISOFT Celebrates 15 Years of Internet Security Success

Millburn, N.J., 5th December 2006 - GRISOFT, the developer of AVG security software, today celebrates 15 years of innovation since its launch in 1991. During this time, GRISOFT grew from a regional company to a global Internet security leader. According to recent surveys, AVG is the fourth, most well-known brand in computer security. For the consumer and SMB markets, GRISOFT’s estimated market share is about 50 %.

"The success of the company has been driven by quality products connected to great services like regular updates, improved versions and free technical support," said Larry Bridwell, Global Security Strategist of GRISOFT. "Our customers have provided us with invaluable product feedback and a lot of our sales are generated via their word of mouth. We’ve responded to our customers by offering them two-year licensing and very competitive prices as well as continuing to grow our product portfolio."

The AVG Free Edition and all-inclusive suite AVG Internet Security, which protects users against all common Internet risks like viruses, spyware, spam and hacker attacks, has helped raise awareness of the AVG product line. AVG Anti-Virus is the flagship product of GRISOFT’s portfolio and is installed on more than 40 million PCs globally.

GRISOFT’s strong growth is illustrated by its increased sales and revenue. In 1992, GRISOFT’s revenue was $105,000 and thirteen years later it was $19.8 million. In 2006, the GRISOFT group expects worldwide revenue of $40 million. In the last two years, the number of employees has grown to now include 200 software engineers, support specialists and back office workers.

The company is preparing for expansion into new markets and strengthening its position in North America and EU countries. Continued success in the North American market will be important for the future growth of GRISOFT as this market represents half of the $4,5 billion global security market.

"We started only with AVG (Anti-Virus Guard) in 1992 and now have grown the portfolio to include several new security products as well as an all-inclusive Internet Security program," said Tomáš Hofer, Sales Director and co-founder of GRISOFT. "With our first product, viruses were considered exotic, spreading almost exclusively on floppy disks. Because of their rarity in PC security, only tools to fight specific viruses were developed," adds Hofer.

GRISOFT’s History

GRISOFT was formed in 1989 by Jan Gritzbach who started the company in 1991 in the Czech Republic with Tomáš Hofer. The first AVG Anti-Virus product was introduced in 1992 to the local market. In 1997, the first AVG licenses were sold in Germany and UK and in 1998, AVG was introduced to the U.S. soon after, GRISOFT started building an international network of distributors and resellers to provide service worldwide. GRISOFT has business partners in Australia, New Zealand, Brazil, France, Germany, Slovakia, UK and Ireland and thousands of resellers worldwide. GRISOFT, Inc. was also established in the U.S as an independent business unit of the GRISOFT group.

In 2001, Jan Gritzbach decided to sell the company to Benson Oak Capital Acquisitions. Four years later, Benson Oak valorized its investment by selling 65% share in the company to Intel Capital and Enterprise Investors for $52 million.

Following the growth in spyware and other potentially unwanted applications, GRISOFT included an anti-spyware product in its portfolio. In May of 2006, GRISOFT closed a deal to acquire German company ewido networks and integrated ewido anti-spyware into its portfolio as AVG Anti-Malware. AVG Internet Security – a comprehensive suite for computer security – is the result of 15 years of hard work and great ideas put into GRISOFT’s growth and dedication to users’ security.

For more detailed information please contact:

Fran Bosecker
PR@vantage for GRISOFT
(845) 536-1416

Jim Gildea
North American Marketing
Grisoft, Inc.
(973) 218-0688