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Qualys Receives Frost & Sullivan Market Penetration Leadership Award; Named to the Inc. 5000 “Fastest Growing Private Companies” List

Accelerating Momentum Marked by Industry Accolades, Rapid Year-Over-Year Growth, New Strategic Partnerships and Broad Customer Adoption Propels Qualys Toward Number One Spot in Market

Redwood City, CA - September 17, 2007 - Qualys, Inc., the leading provider of on demand security risk and compliance management solutions, today announced the continued growth of the company’s market share and momentum as illustrated by recent industry awards, customer adoption and expansion of its strategic alliances. Two recent awards that highlight widespread customer adoption and company growth include the Frost & Sullivan Market Penetration Leadership Award and Qualys’ inclusion in the Inc. 5000.

The Frost & Sullivan and Inc. honors underscore another period of significant customer and partner growth, strong financial metrics and continued industry recognition from leading media and financial and industry analysts.

2007: A Year of Qualys Accomplishments and Recognition

The first eight months of this year has included a series of other notable company milestones. In addition to reporting a 50 percent growth over the same period last year; with a total of 323 percent growth since 2003, Qualys:

  • Was identified by IDC in its Worldwide Security and Vulnerability Management Software 2007 – 2011 Forecast (published in August 2007) as having the second-largest revenue share for the Network Vulnerability Assessment software market in 2006
  • Was named 2007 “Best Audit and Vulnerability Solution” in the U.S. SC Magazine Reader’s Trust Awards and “Best Security Product” and “Best Vulnerability Assessment” in the 2007 Europe SC Magazine Awards
  • Recently signed new strategic agreements with leading managed services providers including BT, SecureWorks and Telus
  • Delivered the largest Vulnerability Management deployment with more than 220 appliances deployed in 53 countries at a Forbes 50 Global company
  • Is now managing the largest deployment of scanning appliances with over 5000 appliances deployed at large corporations in 63 countries
  • Is now performing over 150 million IP scans on an annualized basis
  • Established QualysGuard PCI Platform as the de facto standard for PCI compliance with over 50 percent of ASVs and QSAs (PCI certified security consulting organizations) having adopted it

“Qualys has a proven track record of leveraging a SaaS platform to deliver vulnerability and compliance management solutions that enable enterprises to meet the increasingly demanding business and regulatory environments they face in the contemporary market,” said Loren Rudd, research analyst with Frost & Sullivan. “For creating a dynamic mix of product features resulting in additional customer value, and strong annual gains in market share, Qualys is the consecutive recipient of the 2007 Frost & Sullivan Award for Market Penetration Leadership.”

Statement of Appreciation from Qualys CEO, Phillipe Courtot

“Thanks to continued support from our customers and widespread new adoption, by this time next year we expect Qualys to be the number one vulnerability management vendor in the security industry,” said Philippe Courtot, chief executive officer at Qualys. “The findings from Frost & Sullivan highlight a shift in the marketplace towards the adoption of solutions delivered via the Software as a Service model. Like Salesforce.com and a few other companies, when we started the company in 1999, we had the clear vision that the Software as a Service model would revolutionize the way complex software is developed, delivered and maintained, freeing corporations of having to make difficult and costly infrastructure changes, while providing the ability to access the application from any Web browser and providing customers with rapid access to new and upgraded functionalities. We focused our efforts and made significant investment to bring this model to security. On behalf of all of our customers who trusted and supported us, we are very proud of our accomplishments and are honored by Frost & Sullivan’s recognition.”

Qualys Momentum

Since its founding in 1999, Qualys has remained dedicated to research and development, with more than half of all Qualys personnel enlisted for these efforts. Qualys is now expanding its offering to bring security and compliance together in a single solution delivered as a service.

In their market leadership research service, Frost & Sullivan states that the “stats on Qualys’ continued leading market growth illustrate the rewards that have come with this commitment. Of the 3,000 active subscribers worldwide, 30 percent of the Fortune 100 rely on Qualys for auditing their network and identifying potential threats, in addition to 220 of the Forbes Global 2000.”

Taking a cue from the 40 percent of Fortune 100 companies that are currently engaged in outsourced projects, Qualys secured strategic agreements with managed services providers including BT, Etisalat, IBM, SecureWorks, Symantec, Telus and VeriSign. These relationships, coupled with the QualysGuard platform’s ability to easily integrate with other critical security applications, have significantly fueled the widespread adoption of the QualysGuard security risk and compliance solutions.

About the Frost & Sullivan Awards

The Frost & Sullivan Award for Market Penetration Leadership is presented each year to the company that has demonstrated excellence in capturing market share within their industry. The recipient has demonstrated strategic excellence in product innovation, marketing, and sales strategies that have resulted in the largest gain in market share over the past 2-3 years. For more information, visit www.awards.frost.com.

About Frost & Sullivan

Frost & Sullivan, a global growth consulting company, has been partnering with clients to support the development of innovative strategies for more than 40 years. The company’s industry expertise integrates growth consulting, growth partnership services, and corporate management training to identify and develop opportunities. Frost & Sullivan serves an extensive clientele that includes Global 1000 companies, emerging companies, and the investment community by providing comprehensive industry coverage that reflects a unique global perspective and combines ongoing analysis of markets, technologies, econometrics, and demographics.

About Qualys

Qualys, Inc. is the leading provider of on demand security risk and compliance management solutions. Qualys is the only security company that delivers these solutions through a single Software as a Service platform. QualysGuard® allows organizations to strengthen the security of their networks and conduct automated security audits to ensure compliance with policies and regulations. As a scalable and open platform, QualysGuard enables partners to broaden their managed security offerings and expand their consulting services. Qualys’ on demand solutions are deployed in a matter of hours anywhere in the world, providing customers an immediate view of their security and compliance posture. QualysGuard is the widest deployed security on demand solution in the world, performing over 150 million IP audits per year.

For more information, please visit www.qualys.com.

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Qualys, the Qualys logo and QualysGuard are proprietary trademarks of Qualys, Inc. All other products or names may be trademarks of their respective companies.

For media inquiries or to find the appropriate spokesperson
Contact: Kim Angell or Jason Morris
Schwartz Communications
(415) 512-0770
qualys@schwartz-pr.com

For all other matters
Contact: pr@qualys.com