Exhibit 99.1

TUMBLEWEED REPORTS RESULTS FOR FOURTH QUARTER AND FULL YEAR 2007

Redwood City, Calif., February 5, 2008 – Tumbleweed® Communications Corp. (NASDAQ: TMWD), an industry leader in managed file transfer and email security, today reported financial results for its fourth quarter and full year ended December 31, 2007.

Revenue was $14.3 million for the quarter ended December 31, 2007, compared to $16.7 million for the same period last year. Product revenue for the fourth quarter of 2007 was $6.0 million, compared to $8.7 million in the fourth quarter of 2006. Service revenue for the fourth quarter of 2007 was $8.3 million, compared to $7.6 million in the fourth quarter of 2006. Revenue from core managed file transfer and email security products increased to $11.9 million in the fourth quarter of 2007 from $9.8 million in the fourth quarter of 2006. Revenue from the identity validation product decreased to $2.3 million in the fourth quarter of 2007 from $6.5 million in the fourth quarter of 2006.

Non-GAAP net loss for the fourth quarter of 2007 was $1.9 million, or $(0.04) per share, compared to a non-GAAP net loss of $242,000, or $(0.00) per share, in the fourth quarter of 2006. Non-GAAP results exclude stock-based compensation expense and intangible asset amortization expense of $1.2 million for the fourth quarter of 2007 and $1.3 million for the fourth quarter of 2006. On a GAAP basis, net loss for the fourth quarter of 2007 was $3.1 million, or $(0.06) per share, compared to a net loss of $1.5 million, or $(0.03) per share, for the fourth quarter of 2006. A reconciliation of GAAP and non-GAAP results is presented in the tables below.

Cash and cash equivalents were $26.3 million at December 31, 2007 compared to $27.0 million at September 30, 2007 and $30.5 million at December 31, 2006.

For the full year 2007, Tumbleweed reported revenue of $57.5 million, compared to $62.0 million for the full year 2006. Revenue from core managed file transfer and email security products increased to $49.0 million in the fourth quarter of 2007 from $43.5 million in the fourth quarter of 2006. Revenue from the identity validation product decreased to $7.1 million in the fourth quarter of 2007 from $14.8 million in the fourth quarter of 2006. Non-GAAP net loss for the full year 2007 was $5.0 million, or $(0.10) per share, compared to non-GAAP net income of $2.2 million, or $0.04 per share, for the full year 2006. Non-GAAP results exclude stock-based compensation expense and intangible asset amortization expense of $5.7 million for the full year 2007 and $7.1 million for the full year 2006. On a GAAP basis, the net loss for the full year 2007 was $10.8 million, or $(0.21), compared to a net loss of $4.9 million, or $(0.10) for the full year 2006.

“2007 was a transformational year for Tumbleweed,” said James P. Scullion, Chief Executive Officer of Tumbleweed. “To maximize our growth opportunities and extend our leadership in our target markets, we refined our product strategy, expanded our indirect sales model, and implemented operational changes throughout the company.

While a transformation like this is difficult, and we saw a decline in our Validation Authority business, the investments we made in 2007 will be a critical part of our success in 2008 and beyond. I am optimistic that we will be able to expand our product offerings and increase our addressable markets, and I believe that we are well-positioned to achieve solid growth with improved operating margins in 2008.”

“I’m pleased that we are already beginning to reap the benefits of our updated strategy,” continued Scullion. “In the fourth quarter, we achieved a 21% increase in revenue from our core managed file transfer and email security products, and our channel program gained momentum throughout the year. In the fourth quarter alone we added more than a dozen key partners globally, and during this period nearly half of the company’s orders from commercial customers were driven via our channel partners. Internationally, the investments we made are paying off, with last quarter’s contribution from our international operations providing 14% of total revenue. And to support our key operations initiatives, we significantly enhanced the leadership of our product and sales teams.”

Recent Highlights

Tumbleweed’s core product revenues grew 21% for the quarter ended December 31, 2007 compared to the same period last year. These core products include award-winning SecureTransport™, Secure Messenger™ and MailGate® , a suite of managed file transfer and email security solutions that enable businesses to safely utilize the internet for mission-critical communications.
Tumbleweed’s channel program delivered 48% of the company’s non-renewal commercial bookings for the fourth quarter of 2007 compared with 26% for the fourth quarter of 2006. With a focus on recruiting and enabling leading partners in 2007, Tumbleweed increased the contribution from its channel business throughout the year. In <?xml:namespace prefix = st1 ns = "urn:schemas-microsoft-com:office:smarttags" />North America, new partners include DynTek, Secure Links, Conscious Security, Enterprise Air, TRM, Prosys Information Systems, GTC Systems, and Sirius Computer Solutions. Internationally, new partners include Trustco and Blue Cube in the UK, Rainbow Technologies Components and Systems (RTCS) in Russia, ParaRede in Portugal, Primex in Hong Kong, and Nortech Infonet, Softcell Technologies, and Texport Technologies in India.
Tumbleweed further strengthened its product development organization with the appointment of Jorge Rodriguez as senior vice president of product development. Rodriguez will oversee day-to-day engineering operations while playing a hands-on role in delivering on the company's product vision and roadmap.
Tumbleweed was positioned in the Leaders Quadrant of the 2007 Gartner Email Encryption Magic Quadrant. The Gartner Magic Quadrant for Email Encryption looks at email encryption products securing email content data and attachments. According to Gartner, “leaders” are vendors who are performing well today, have a clear vision of market direction, and are actively building competencies to sustain their leadership position in the market.

Tumbleweed was awarded the FIPS 140-2 security certification by the U.S. Government for the security kernel contained in its SecureTransport™, MailGate® and Validation Authority™ products. This certification meets the toughest data security standard for all U.S. government agencies.

Financial Outlook

First Quarter of 2008:

Tumbleweed currently expects total revenue for the first quarter of 2008 to be between $13.0 million and $14.5 million.
Non-GAAP results are expected to range from $(0.01) to $(0.03) per share. Non-GAAP results exclude expected costs for stock-based compensation expense and intangible asset amortization expense of a combined $(0.03) per share for the first quarter of 2008.
GAAP results are expected to range from $(0.04) to $(0.06) per share.
Per share amounts are based on an estimated 51.2 million shares outstanding.

Conference Call Information

Tumbleweed management will host a conference call on Tuesday, February 5, 2008 at 2:00 p.m. PST (5:00 p.m. EST) to discuss the fourth quarter and full year 2007 results. The call can be accessed by dialing (800) 218-0204 and giving the company name, "Tumbleweed." Participants are asked to call the assigned number approximately 10 minutes before the conference call begins. A replay of the conference call will be available after 5:00 p.m. PST on February 5, 2008 through February 19, 2008 by dialing (800) 405-2236 and entering pass code 11106213#. The conference call and supplemental financial information will also be available on the investor relations portion of the Tumbleweed website.

SafeHarbor Statement

Except for the historical information contained herein, the matters discussed in this press release may constitute forward-looking statements that could cause actual results to differ materially from those currently expected, particularly with respect to Tumbleweed’s financial outlook for the first quarter of 2008 (including estimated revenue, loss, and loss per share on both a GAAP and a non-GAAP basis), as well as Tumbleweed’s beliefs about the transformation of the company, expansion of its product offerings, increase in its addressable markets, improved operating margins, and its future growth and success. In some cases, forward-looking statements can be identified by terminology such as “may,” “will,” “should,” “potential,” “continue,” “expects,” “anticipates,” “intends,” “plans,” “believes,” “estimates,” and similar expressions. For further cautions about the risks of investing in Tumbleweed, we refer you to the documents Tumbleweed files from time to time with the Securities and Exchange Commission, particularly Tumbleweed's Form 10-K filed March 14, 2007, Form 10-Q filed November 7, 2007, and such filings for the periods referred to above, to be filed subsequently.

Tumbleweed assumes no obligation to update information contained in this press release. Although this release may remain available on Tumbleweed's website or elsewhere, its continued availability does not indicate that Tumbleweed is reaffirming or confirming any of the information contained herein as of a later date.

Non-GAAP Information
The non-GAAP financial information included in this press release is not prepared in accordance with GAAP as it excludes amortization of intangible assets and stock-based compensation expense. Management believes that the presentation of non-GAAP information may provide useful information to investors because Tumbleweed has historically provided this information and understands that some investors consider it useful in evaluating Tumbleweed's expenses. Management also uses this non-GAAP information, along with GAAP information, in evaluating Tumbleweed's expenses and comparing Tumbleweed’s performance with that of its competitors. The non-GAAP results should not be considered a substitute for financial information presented in accordance with generally accepted accounting principles, and may be different from non-GAAP measures used by other companies.

About Tumbleweed

Tumbleweed Communications Corp. (NASDAQ:TMWD), an industry leader in managed file transfer and email security, provides enterprise-class solutions to organizations of all sizes. Tumbleweed's innovative products enable organizations to effectively manage and protect business-critical Internet communications, with capabilities that span secure file transfer, encryption, data loss prevention, and email security. Tumbleweed has more than 3,200 customers worldwide, including blue-chip companies across an array of industries such as Technology, Retail, Finance, Healthcare, Manufacturing, Consumer Packaged Goods, Telecom, Energy, and the U.S. Government. The world's most security conscious organizations rely upon Tumbleweed technology including Bank of America Securities, JP Morgan Chase & Co., the U.S. Food and Drug Administration, and the U.S. Department of Defense. Tumbleweed's award-winning products build on 14 years of R&D and 27 security patents in the U.S. alone -- many of which are licensed by other security vendors. More information can be found at www.tumbleweed.com.

Tumbleweed, SecureTransport, Secure Messenger and MailGate are either registered trademarks or trademarks of Tumbleweed Communications Corp. in the United States and/or other countries. All other trademarks are the property of their respective owners.

For Investor Relations Inquiries:	For Media Relations Inquiries:
Scott Wilson	Dan Gould
(415) 785 - 7945	SHIFT Communications
ir@tumbleweed.com	(415) 591 – 8428 dgould@shiftcomm.com

Tumbleweed Communications Corp.
Condensed Consolidated Statements of Operations
December 31, 2007
(in 000s, except per share data)

	Three Months Ended						Twelve Months Ended
	December 31,						December 31,
	(unaudited)						(unaudited)
	2007			2006			2007			2006
REVENUES
Product revenue	$	5,957		$	8,731		$	22,529		$	28,683
Service revenue		8,259			7,597			33,559			29,664
Intellectual property revenue		44			366			1,367			3,647
NET REVENUE		14,260			16,694			57,455			61,994
COST OF REVENUE
Cost of product revenue (1)		1,473			1,092			5,694			4,316
Provision for excess inventory		-			933			164			933
Cost of service revenue (1)		1,953			1,901			7,672			6,750
Amortization of intangible assets		234			234			936			1,467
GROSS PROFIT		10,600			12,534			42,989			48,528
Gross Profit %		74	%		75	%		75	%		78	%

OPERATING EXPENSES
Research and development (1)		3,537			3,833			15,107			14,836
Sales and marketing (1)		6,842			8,016			28,575			28,002
General and administrative (1)		2,608			2,308			10,157			10,622
Amortization of intangible assets		39			204			305			1,041
Restructuring costs		930			-			930			-
TOTAL OPERATING EXPENSES		13,956			14,361			55,074			54,501
OPERATING LOSS		(3,356	)		(1,827	)		(12,085	)		(5,973	)
Other income, net		294			363			1,336			1,206
NET LOSS BEFORE TAXES		(3,062	)		(1,464	)		(10,749	)		(4,767	)
Provision for income taxes		15			56			16			115
NET LOSS	$	(3,077	)	$	(1,520	)	$	(10,765	)	$	(4,882	)

BASIC AND DILUTED NET LOSS PER SHARE	$	(0.06	)	$	(0.03	)	$	(0.21	)	$	(0.10	)

RECONCILIATION TO NON-GAAP NET INCOME (LOSS)
NET LOSS	$	(3,077	)	$	(1,520	)	$	(10,765	)	$	(4,882	)
Stock-based compensation expense		888			840			4,504			4,605
Amortization of intangible assets		273			438			1,241			2,508
NON-GAAP NET INCOME (LOSS)	$	(1,916	)	$	(242	)	$	(5,020	)	$	2,231

NON-GAAP BASIC AND DILUTED NET INCOME (LOSS) PER SHARE	$	(0.04	)	$	(0.00	)	$	(0.10	)	$	0.04

WEIGHTED AVERAGE SHARES:
BASIC		51,124			50,310			51,028			50,007
DILUTED		51,124			50,310			51,028			50,007


(1) Stock-based compensation expense is classified as follows:

Cost of product revenue	$	-		$	3		$	-		$	9
Cost of service revenue		37			36			142			142
Research and development		186			287			946			1,256
Sales and marketing		164			69			1,205			569
General and administrative		501			445			2,211			2,629
	$	888		$	840		$	4,504		$	4,605

Tumbleweed Communications Corp.
Condensed Consolidated Balance Sheets
December 31, 2007
(in 000s)

	12/31/2007			12/31/2006
ASSETS	(unaudited)			(unaudited)

CURRENT ASSETS
Cash and cash equivalents	$	26,299		$	30,511
Accounts receivable, net		13,074			12,506
Other current assets		1,733			1,938

TOTAL CURRENT ASSETS		41,106			44,955

Goodwill		48,074			48,074
Intangible assets, net		233			1,470
Property and equipment, net		2,038			1,820
Other assets		385			612

TOTAL ASSETS	$	91,836		$	96,931

LIABILITIES & EQUITY
CURRENT LIABILITIES
Accounts payable	$	820		$	1,808
Accrued liabilities		6,795			7,522
Accrued merger-related and other costs		-			97
Deferred revenue		20,996			20,003

TOTAL CURRENT LIABILITIES		28,611			29,430

LONG TERM LIABILITIES
Deferred revenue, excluding current portion		5,401			4,728
Other long term liabilities		13			63

TOTAL LONG TERM LIABILITIES		5,414			4,791

TOTAL LIABILITIES		34,025			34,221

STOCKHOLDERS' EQUITY
Common stock		52			51
Additional paid-in capital		365,155			359,238
Treasury stock		(796	)		(796	)
Accumulated other comprehensive loss		94			29
Accumulated deficit		(306,694	)		(295,812	)
TOTAL STOCKHOLDERS' EQUITY		57,811			62,710
TOTAL LIABILITIES & STOCKHOLDERS' EQUITY	$	91,836		$	96,931

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TUMBLEWEED COMMUNICATIONS CORP 8-K