Proofpoint, Messaging Protection Company, Secures Entry into Japan's Booming Market

November 2005

Opportunities in Japan
Due to rising levels of email-borne security threats companies and organizations are experiencing a growth in demand for email security solutions.  These challenges along with new legislation in Japan requiring more stringent protection of personal information make Japan a prime market for Proofpoint, a leading provider of email security solutions based on machine-learning software that protects companies from both incoming security threats, such as spam and viruses, and outgoing confidentiality leaks.

Japan's status as an early adopter of technology was also attractive to Proofpoint. "We felt we had a strong opportunity to bring Proofpoint's products and services to Japan given the market's history of being an early adopter, especially within the information technology sector," said Gary Steele, CEO of Proofpoint.

Market Entry
Proofpoint selected Japan as the site for its first Asian office, taking advantage of JETRO services to facilitate its entry into the market. JETRO's business consultants provided explanations of the options available for office registration, including cost estimates. JETRO also provided detailed information on procedures for registering an office, visas, tax requirements, and human resource laws.

JETRO helped Proofpoint gain needed exposure in Japan's business community by introducing the company to key contacts at the Nihon Keizai (Nikkei) Shimbun, Japan's leading financial newspaper. The result was an article featuring an interview with Proofpoint CEO Gary Steele that was published in the Nikkei Sangyo Shimbun shortly after the opening of Proofpoint KK.

Results and Outlook
Proofpoint KK was incorporated in Tokyo in March 2005.  With JETRO's help, the company has already solidified important partnerships, including signing Mitsui Knowledge Industry Co Ltd as Proofpoint's first Japanese distributor. Building on these results, Proofpoint expects Japan will continue to play a key role in the company's growth. "We're big believers in the Japanese market. Given the ease of entering Japan with JETRO's help, coupled with early success, we are confident that Japan will contribute to a big portion of our revenue over a long period of time," explained Steele.

Looking ahead, Proofpoint intends to build upon its presence in Japan by expanding into other markets in Asia. "In the next 12-18 months, we will focus our energy in Japan and then start planning on getting into other parts of Asia," said Steele.

Proofpoint Japan K.K.
906 BUREX Kojimachi
Kojimachi 3-5-2, Chiyoda-ku
Tokyo, 102-0083
Japan
Tel +81 3 5210 3611
Fax +81 3 5210 3615
www.proofpoint.com