Monday, February 27, 2012

New Study Shows That Liability is the Primary Concern of IT Decision-Makers In Managing Employee Internet Usage.

SEATTLE, Aug. 29 /PRNewswire/ --

Market Resources, a market research firm, today released the findings from a study entitled "Managing the Workplace" that concluded that liability issues resulting from Internet use in the workplace are the primary concern of information technology (IT) decision-makers. The study, which consisted of feedback from IT professionals at 367 organizations nationwide, found that 69 percent of those polled listed the fear of liability as their biggest concern, and 60 percent felt that liability concerns required a solution within a year.

The issue of legal liability has surfaced in the last couple of years because of the increasing use of the Internet in the workplace. According to The Center for Internet Studies, more than 60 percent of companies have disciplined employees and more than 30 percent have terminated employees for inappropriate use of the Internet. The "Managing the Workplace" survey, sponsored by Internet access management company N2H2, also showed that the use of filtering software has become one of the primary solutions being adopted by organizations hoping to curb inappropriate Internet use. Filtering software helps protect organizations by tailoring Internet content according to specific employee groups, thus dramatically reducing the potential for Web sites deemed pornographic.

"This study clearly shows that many organizations are becoming aware of the legal risks associated with Internet use in the workplace," said Nina Rook of Market Resources, who conducted the survey. "For this reason, employers are recognizing the huge potential risks of Internet misuse and are actively pursuing immediate remedies such as filtering software."

Other key findings from the survey include:

-- The categories of material that were given highest priority for

blocking were liability related categories, specifically 87 percent of

the managers surveyed rated the pornography category as a high

priority.

-- 46 percent of the companies were blocking access to specific URLs using

a filtering tool.

-- 47 percent of the companies were monitoring sites visited, using

reporting features to later to locate questionable Web sites.

"The serious concerns employers have about misuse of the Internet are driving the rapid adoption of filtering software," said Philip Welt, president and CEO of N2H2. "Employers are increasingly recognizing that filtering software can enable organizations to limit potential legal liability, conserve bandwidth and increase user productivity."

To view the "Managing the Workplace" survey please visit N2H2 Web site: http://www.n2h2.com/pdf/ManagingtheWorkplaceInternet.pdf

N2H2's unique product offerings include N2H2 Internet filtering for Microsoft ISA, Microsoft Proxy 2.0, Check Point FireWall-1, Volera Excelerator and N2H2's i2100 Internet Filtering Appliance. N2H2 uses sophisticated artificial intelligence (AI) technology and expert human review to provide the most comprehensive and accurate categorization of the Internet.

About N2H2

N2H2 Inc. (Nasdaq: NTWO) is an Internet access management company specializing in fast and scalable filtering solutions. N2H2 Internet filtering optimizes Web access -- enabling organizations of any size to limit potential legal liability, conserve bandwidth and increase user productivity.

Founded in 1995, N2H2 has more than 16.5 million users and a network of more than 2,000 filtering-enabled servers in the U.S., Canada, Australia, UK, Germany, Japan, Chile, Mexico, and Bermuda. Additional information about the company, which is based in Seattle, Washington, is available at http://www.n2h2.com or by calling 206-336-1501 or 800-971-2622.

Except for the historical information contained herein, this press release contains forward-looking statements. Such forward-looking statements are subject to various known and unknown risks and uncertainties and are therefore not a guarantee of future performance. The potential risks and uncertainties which could cause actual growth and results to differ materially include but are not limited to, the volatile and competitive nature of the Internet filtering industry, changes in domestic and international market conditions, the success of the company's brand development systems efforts, and customer acceptance of the company's services, products and fee structures. Further information on the factors and risks that could affect N2H2's business, financial condition and results of operations are included under the Risk Factors Sections of N2H2's public filings with the Securities and Exchange Commission, including the Annual Report on Form 10-K (Commission file No. 0-26825), that are available at this release. N2H2 undertakes no obligation to update publicly any forward-looking statements to reflect new information, events, or circumstances after the date of this release or to reflect the occurrence of anticipated events.

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