WatchGuard To Appoint Jim Cady President and Chief Operating Officer; Respected Industry Leader...

Business Editors/Technology Writers

SEATTLE--(BUSINESS WIRE)--July 2, 2001

WatchGuard Technologies, Inc. (Nasdaq:WGRD), a leader in Internet security solutions, today announced the appointment of Jim Cady to WatchGuard's management team as President and Chief Operating Officer.

"Jim is a strong leader with a distinguished track record," said Christopher Slatt, Chairman and CEO of WatchGuard. "I am pleased that Jim is joining WatchGuard. He complements our current people and assets and we expect to benefit significantly from his talents and experience as we extend our leadership in the Internet security market."

"WatchGuard pioneered the Internet security appliance market, and the management team has successfully built an industry-leading global company," said Jim Cady, President and Chief Operating Officer of WatchGuard. "The opportunities and potential for the Internet security market are extraordinary, and I am proud to be joining a strong team that is dedicated to taking WatchGuard to the next level of growth."

Cady is a respected executive with over 20 years of experience in electronics, communications and high tech markets. Cady was most recently President of SONICblue's Rio Division, and he is noted for his role in building Rio to a position of market leadership, reaching millions of customers worldwide. Previously, he was an executive at Diamond Multimedia, a leading vendor of computer and networking products, which was acquired by SONICblue in 1999. Prior to that, Cady was Executive Vice President and Chief Operating Officer of Supra Corporation, which in 1995 was acquired by Diamond Multimedia.

About WatchGuard Technologies, Inc.

WatchGuard (Nasdaq:WGRD) is a leading provider of dynamic, comprehensive Internet security solutions designed to protect enterprises that use the Internet for e-business and secure communications. The Company is a pioneer in the creation of the plug-and-play Internet security appliance and server security software. The Company's innovative LiveSecurity Service enables organizations and users to keep their security systems up-to-date, and its ServerLock software provides server content and application security to protect critical data and services against unauthorized or unintentional access or manipulation. For more information, please call 206/521-8340 or visit www.watchguard.com.

Certain statements in this press release are "forward-looking statements" within the meaning of the Securities Act of 1933, as amended. Forward-looking statements are based on the opinions and estimates of management at the time the statements are made and are subject to known and unknown risks and uncertainties and inaccurate assumptions that could cause actual results to differ materially from those expected or implied by the forward-looking statements. Our actual results could differ materially from those anticipated in the forward-looking statements for many reasons, including the risks described under "Factors Affecting Our Operating Results, Our Business, and Our Stock Price" in our quarterly report on Form 10-Q for the quarter ended March 31, 2001, and in our Securities and Exchange Commission filings from time to time. Readers are cautioned not to place undue reliance upon these forward-looking statements which speak only as of the date of this release.

WatchGuard(R) and LiveSecurity(TM) are either a trademark or registered trademark of WatchGuard Technologies, Inc. in the United States and other countries. Firebox and ServerLock are trademarks of WatchGuard Technologies, Inc.