MICROSOFT EXCHANGE HOSTED ENCRYPTION
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Microsoft Exchange Hosted Encryption is a convenient, easy-to-use e-mail encryption service
that helps to safely deliver your confidential business communications.
Government and industry regulationssuch as those posed by the Health Insurance Portability
and Accountability Act (HIPAA) and the Gramm-Leach-Bliley Act (GLBA)offer even more
compelling reasons for corporations to increase the security of messages to help meet
compliance requirements. However, existing solutionssuch as server-to-server level
encryption, public key infrastructure (PKI), and password-protected filescan be expensive and
complicated to integrate and to deploy for communication with parties outside of your
organization. These solutions do not provide the flexibility, sophistication, or ease of use that
corporate users need to deploy e-mail encryption for external communications.
Exchange Hosted Encryption is one of four distinct services in the Microsoft Exchange Hosted
Services portfolio. The service enables users to send and receive encrypted e-mail directly from
their desktops as easily as regular e-mail. Using a simple process, users can encrypt and deliver
any business communication without complex hardware and software to purchase, configure,
and maintain. Exchange Hosted Encryption is deployed over the Internet, which helps minimize
up-front capital investment, free up IT resources to focus on value-producing initiatives, and
mitigate messaging risks before they reach the corporate network.
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BENEFITS
Send encrypted e-mail
messages to anyone,
regardless of the recipients
system configuration
Decrypt and read e-mail with
confidence, without installing
client software
Provide strong, automated
encryption with a cost-effective
infrastructure.
Consistently and
automatically help protect
sensitive information and data
leaving your e-mail gateway,
Help manage compliance
with security and privacy
requirements such as HIPAA
and GLBA
Eliminate need for key and
certificate management
Generate keys on the fly
Minimize up-front capital
investment
Integrate with existing e-mail
infrastructure
Help free up administrator
time to focus on other projects`
Microsoft Exchange Hosted Encryption Flow Diagram
HOW IT WORKS
In traditional encryption systems such as PKI, certificates bind public keys to identities. Users
must pre-enroll in server systems to receive a certificate, which is signed by a Certification
Authority, so that they can send and receive secure messages.
Exchange Hosted Encryption incorporates Identity-Based Encryption (IBE) technology in a
managed service platform. Developed by Voltage Security, a Microsoft technology partner, IBE
is a breakthrough in security and usability for message encryption. Exchange Hosted Encryption
eliminates the need for certificates and uses a recipients e-mail address as the public key, IBE
automatically binds the users identity to the public key and eliminates the need for certificates.
SOLUTIONS OVERVIEW
Transparent Encryption and E-Mail Delivery
When a user sends an e-mail message, it travels to the Microsoft global network through a TLSencrypted tunnel, and is automatically encrypted at the gateway according to rules created and
managed within the Microsoft Exchange Filtering module.
When a message is encrypted, a private key for the recipient is created and stored in a securityenhanced environment on the Microsoft network. The private key is made available to the
message recipient when the recipient decrypts the message. The recipient does not have to preenroll to receive and decrypt the message. In fact, the recipient may have never received a prior
e-mail from the sender.
HOSTED SERVICE BENEFITS
Lower total cost of ownership
than on-premise solutions
Offers a predictable
subscription-based payment
Simplifies IT environment by
minimizing the need to deploy,
configure, monitor, and
update in-house e-mail
security servers and
applications
Helps increase available
bandwidth
Helps free up server
resources and lower load on
CPU
Scales to meet the needs of
virtually any enterprise
The Microsoft encryption process is transparent to the sender, who does not need to do anything
other than write and send the message as usual.
Simple Authentication and Security-Enhanced, Web-based Decryption
Upon receiving a Microsoft Exchange encrypted message, the recipient completes an easy twostep authentication process through e-mail answerback to verify the recipients identity.
After completing the authentication process, the recipient decrypts and views the message using
the Voltage Zero Download Messenger. The Zero Download Messenger is a clientless, browserbased method that enables a recipient to have confidence decrypting and reading a message
and its attachments and then to reply with confidence. Furthermore, the encrypted message
remains in the recipients e-mail inbox for access at any time.
FEATURES
Policy-based encryption encrypts messages at the gateway based on policy rules
IBE technology uses a common ID for public key.
Encrypted e-mail delivered directly to recipients inbox and not to a Web service.
The Zero Download Messenger enables Web-based decryption and encrypted replies for any
recipient of encrypted messages.
Managed key server eliminates the need for certificate maintenance.
Communication through TLS-enabled network further enhances message security.
ABOUT MICROSOFT EXCHANGE HOSTED SERVICES
Microsoft Exchange Hosted Services offer a cost-effective way for enterprises to actively
ensure the security and availability of their messaging environment, while instilling confidence
that their messaging processes satisfy internal policy and regulatory compliance requirements.
A seamless extension of Microsoft Exchange that operates over the Internet as a service, the
complete line of services includes hosted filtering for spam and virus protection; hosted
archiving to satisfy compliance requirements and internal policies; hosted encryption to
preserve e-mail confidentiality; and, hosted continuity for ongoing access to e-mail during and
after disasters. Microsoft Exchange Hosted Services provide value to corporate customers by
eliminating upfront capital investment, freeing up IT resources, and removing incoming e-mail
threats before they reach the corporate firewall. For more information, visit
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The information contained in this document represents the current view of Microsoft Corporation on the issues discussed as of the
date of publication. This document is for informational purposes only. MICROSOFT MAKES NO WARRANTIES, EXPRESS OR
IMPLIED, IN THIS DOCUMENT. 2006 Microsoft Corporation. All rights reserved. Microsoft is a registered tradmark of Microsoft
Corporation in the United States and/or other countries.
ANALYST PERSPECTIVE
Security, compliance, and
business continuity requirements
in industries such as healthcare
and financial services are placing
greater demands on the
messaging infrastructure. Its not
enough to handle these
challenges with a growing array
of stand-alone appliances or
point solutions. Managed
services are a fundamentally
sound method for deploying
multiple, integrated services.
Michael Osterman,
President and Founder,
Osterman Research
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