VirnetX Files New Motion Against Microsoft

Windows 7 and Windows Server 2008 R2 Named

SCOTTS VALLEY, Calif. – March 18, 2010 – VirnetX Holding Corporation (NYSE Amex: VHC), a secure real-time communications and collaboration technology company, today announced that, on March 17, 2010, it filed a complaint in the Tyler Division of the Eastern District of Texas alleging infringement of U.S. Patent Nos. 6,502,135 and 7,188,180 by Microsoft's Windows 7 and Windows Server 2008 R2 software products.

“This is a tactical and procedural post-trial action to ensure and protect our property rights as we proceed to final resolution with Microsoft,” said Kendall Larsen, VirnetX President and CEO.

On March 16, 2010, a jury awarded VirnetX a $105,750,000 verdict against Microsoft Corporation for infringing the same two VirnetX patents. The Jury also found that Microsoft’s patent infringement was willful.  VirnetX will request injunctive relief.

About VirnetX

VirnetX Holding Corporation, a secure real-time communications and collaboration technology company, is engaged in commercializing its patent portfolio, derived from a Central Intelligence Agency security project, by developing a licensing program, as well as developing software products designed to create a secure environment for real-time communications such as instant messaging and Voice over Internet Protocol.  The Company’s patent portfolio includes over 48 U.S. and international patents and pending applications which provide the foundation for the Company’s unique GABRIEL Connection Technology. For more information, please visit www.virnetx.com

Forward Looking Statements

Statements in this press release that are not statements of historical or current fact constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements involve known and unknown risks, uncertainties and other unknown factors that could cause the actual results of the Company to be materially different from the historical results or from any future results expressed or implied by such forward-looking statements. In addition to statements which explicitly describe such risks and uncertainties, readers are urged to consider statements labeled with the terms "believes," "belief," "expects," "intends," "anticipates," or "plans" to be uncertain and forward-looking. The forward-looking statements contained herein are also subject generally to other risks and uncertainties that are described from time to time in the Company’s reports and registration statements filed with the Securities and Exchange Commission, including those under the heading "Risk Factors" in the Company's Annual Report on Form 10-K filed with the SEC on March 31, 2009 and most recently in the Company’s Quarterly Report on Form 10-Q filed with the SEC on November 9, 2009.

Contact:

Greg Wood VirnetX Holding Corporation 831.438.8200 greg_wood@virnetx.com