The /etc/init.d/prngd script shown in this page references the prngd executable as /usr/local/bin/prngd. However, the prngd package I got from sunfreeware.com installs the executable into /usr/local/sbin/prngd. If you fix the two occurences of the path in the script, prngd should start properly.

also, here's a link to the Solaris 8 patch needed to resolve the "PRNG not yet seeded" error:

http://sunsolve.sun.com/pub-cgi/findPatch.pl?patchId=112438&rev=01

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