IMail's security enhancements will appeal primarily to smaller companies interested in a low-cost way to provide E-mail, according to analysts. "It's not a full-up system with advanced security features like public key infrastructure, but it will give small companies and mom-and-pop Internet service providers the basic security features that they need for their businesses" or their customers, says Paul Evans, an analyst at Ferris Research.

IMail's Web-messaging capabilities include search features, draft folders, and a customizable interface.

Using the Web to access company E-mail rather than dialing long distance into messaging servers has reduced communications costs at Shambhala Publications Inc., a small book publisher in Boston that is an early user of the latest version of IMail. By using IMail Server to provide employees with E-mail access via the Web, traveling editors and writers can send and receive E-mail from any Web terminal. Consequently, long-distance and fax costs have been cut in half, says Leonard Jacobs, VP of sales and special projects at Shambhala.

IMail Server is available now, priced at $995 for 250 users and $1,495 for unlimited users. E-mail-to-fax software is an additional $195. Upgrades to version 6 are available free to IMail users who have a ser-vice agreement.