Internet Dynamics Inc, a two-year old start-up from Lombard, Illinois, has launched its first offering, a security product called Conclave for the internet and intranet networks. The company claims that Conclave, a distributed security tool, is an alternative to the perimeter model firewalls adopted by its rivals, and instead moves security further into the network with a packet filter that operates within the operating system. Traditional firewall security offerings, says Internet Dynamics, are in fundamentally the wrong place, citing statistics that show 60% of hacking is done from within an organization. Conclave implements what its makers refer to as multiple cascading filters which restrict access to data at several different levels within the company. The new system integrates firewall, encryption, authentication features as well as anti-virus functions bought in from Trend Micro Inc. It uses both IP packet filtering and proxy servers, enabling users to define security access from web server level down to individual pages of information. User access can be defined on an individual basis or according to levels of security access within an organization. Conclave identifies users with X.509 certificates where appropriate, as well as traditional methods such as smart cards, Windows IDs, IP addresses and IP domains. Access filters provide all the standard reporting and event logging functions such as web page hits, File Transfer Protocol access and unsuccessful login attempts. The product runs on Windows NT 4.0 servers and is compatible with NT and Windows 95. End user price is $2,700 for a 25-user, single site license. A 400 user, four site license would be around $21,500. It will be sold through OEM and third party distribution channels.