ContinuedEd.Com™ Licenses Net Nanny’s BioPassword® Technology To Provide Strong User Authentication For Online Driving Safety Courses

Bellevue, Wash., August 16, 2001 – Net Nanny Software International Inc. (CDNX: NNS), (OTCBB:

NNSWF), a provider of biometric keystroke authentication technology, and ContinuedEd.com TM , a provider of online driving safety solutions, today announced a license agreement to integrate Net Nanny’s

patented BioPassword_ technology into ContinuedEd.com’s “TicketErasers” technology.

The integration of Net Nanny’s BioPassword security solution with ContinuedEd’s existing security processes

will make online verification of registered users significantly more reliable and biometrically secure than any

other online education company. This technology will use an individual’s unique biometric typing rhythm to

provide real-time authentication and verification of students enrolled in a driving safety course. Such courses

are required by state governments to either remove points associated with a moving violation or reduce

automobile insurance premiums.

We are very pleased to enter into this business relationship with ContinuedEd to provide a key component of

security for its online driving safety courses,” said Mitch Tarr, Net Nanny’s VP of Sales. Cost-effective and

secure biometric user authentication, that is easy to deploy, is the one area that is critical for legitimizing

online education and enabling it to achieve mainstream status. We expect to continue to enter into these types

of licensing and recurring revenue agreements in other market segments as we build upon our core strong user

authentication technology.”

Net Nanny’s patented keystroke dynamics technology, BioPassword®, allows for verification of the user by

measuring the unique manner in which individuals type on keyboards, authenticating the actual user instead

of a device. The user-specific rhythm is stored as a biometric template and is used for verification purposes

when students log in to the driving safety course with their username and password.

Gari Garimella, chief operating officer of ContinuedEd.com said, “The next generation of online validation

procedures will rely exclusively on biometrics-based solutions. Of these, BioPassword’s keystroke

authentication leads the way in terms of reliability and ease of use. This unique software–only solution will

provide a far superior alternative to hardware-based biometric solutions or proctored testing solutions.

We

expect this collaborative effort with BioPassword to establish validation standards in the online driving safety

industry.”

ContinuedEd.com’s e-Learning solutions include rapid content deployment tools; an e-commerce enabled

testing and certification engine, and an extensive suite of web-based centralized tracking and administrative

tools. These solutions employ automated knowledge management tools to evaluate progress of individuals or

groups, and assessment metrics to pinpoint needs and goals and will meet state and federal requirements in

the driving safety industry.

For more information, contact:

Nika Herford

VP, Public Affairs and Media

Net Nanny Software Inc.

Telephone: (206) 601-3616

Fax: (425) 688-3010

Email: PR@BioPassword.com

For more information, contact:

Flora Wood or Phil Williams

Investor Relations

Alphus Inc.

Telephone: (416) 323-3888

Fax: (416) 323-9202

Email: IR@netnanny.com