Stakeholders Driving Payment Evolution and Digital Identity

April 2011 ACTion Newsletter

IN THIS ISSUE

1. Editorial - EMV for the US
2. A Canadian First: Sunova Credit Union Instantly Issuing EMV Debit Cards
3. Chase Card Services Becomes First Major U.S. Bank To Issue Chip-And-Signature Technology
4. Wells Fargo To Pilot EMV Chip Technology For International Travelers
5. Who Will Profit From NFC, Mobile Payments? - Members Only Access
6. G&D In Spain Develops The USIM Card Used On Telefonica's First NFC Multi-Application Project
7. Wave Of The Future: Trusted Identities In Cyberspace
8. CPI Card Group Taps NXP, KSW For Contactless Card Tech
9. Visa and Samsung Bring NFC M-Payments To London Olympics
10. Isis Advances Mobile Commerce With First Market - Members Only Access
11. Amazon Said To Explore Mobile-Payment Service For Handsets
12. NTT Docomo Selects Gemalto For Japan's First Lte Commercial Roll-Out
13. Ingenico Agrees To Acquire Hypercom's U.S. Payment Systems Business
14. Amex Bank Of Canada Launches New B2b Payments Solution
15. NFC-Less iPhone A Blow To Industry: Paypal - Members Only Access
16. American Express and Payfone Announce Strategic Alliance To Power Global Mobile Checkout
17. Test Cases In Collis SWP/HCI Conformance Test Suite Validated By GCF and PTCRB
18. Hypercom Brings EMV Card Payment To Dubai's Metro
19. Pacific Amber and YESpay's Partnership Takes Another Dimension As Large Numbers Of Merchants Go Live In North America!

ACT Canada Partners

 Visa

Visa operates the world's largest retail electronic payments network and is one of the most recognized global financial services brands. Visa facilitates global commerce through the transfer of value and information among financial institutions, merchants, consumers, businesses and government entities.

Collis

Collis is a leading provider of EMV, e-ID, and e-Passport test tools, consulting, and training in Canada. Contact us for EMV training and test tools for every step of the EMV Transaction life-cycle - Cards, Terminals, Acquiring host and Authorization host. Collis America at 1-651-925-5410.

ACT CANADA THANKS OUR NEW & RENEWING MEMBERS

PRINCIPAL

Capital One ~ member since 2008
Chase Card Services ~ member since 2009
CUETS, a division of MBNA Canada Bank ~ member since 2009
EWA-Canada ~ member since 2004
Sears Financial ~ new member

GENERAL

INSIDE Secure SA ~ member since 2008
NXP Semiconductors ~ member since 2006

ASSOCIATE

LifeCycle Integrity ~ member since 2005
M. Blair Consulting Inc. ~ member since 2010

CALENDAR OF EVENTS

2011 Smart Card Alliance Annual Conference
May 2-5, 2011
Hyatt Regency - McCormick Place
Chicago, IL, USA
http://www.smartcardalliance.org

Cardware 2011, featuring 3 tracks to meet your needs:
Payment Insights
EMV for the US
GX 4th Annual Gift & Prepaid

Marriott Gateway on the Falls (formerly Sheraton Fallsview Hotel & Conference Centre)
Niagara Falls, Ontario, Canada
June 14-15, 2011
http://www.actcda.com/calendar/
ACT Canada members receive substantial discounts

CARTES & IDentification 2011
November 15-17, 2011
Paris-Nord Villepinte Exhibition Centre
Paris, France
http://www.cartes.com

1. EDITORIAL COMMENT
Source: Catherine Johnston, President & CEO, ACT Canada (04/29)

EMV for the US

Banks are announcing, merchants are advocating and Canadian stakeholders are optimistic that a nation-wide move has started.

Our issuers would like to see cross border fraud diminish, consumers want the security of chip when they shop in the US and suppliers want to leverage the investments they made in EMV development. Unlike some, we believe that Americans are up to the task. Yes, it will be complex and expensive. The sheer number of participants will be staggering, but they have an advantage.

That advantage is a wealth of research data and lessons learned from Canada and those who went before us. We have learned much about technology and are willing to share that information, but of even more value are the lessons learned about stakeholder engagement. Some days, I think that CHIP should stand for Can Help Initiate Progress, but that is only true when we all pull together. It takes issuers, acquirers, merchants, consumers and suppliers to make payments happen. If this is embraced by the US they will be able to reduce costs and manage risks as they convert to EMV. If it is embraced by Canada, we will enjoy the same benefits as we introduce mobile payment.
These, of course, are pretty lofty statements. For detailed information and the opportunity to talk with the individuals who can help, we invite you to Cardware 2011 - the Payment Insights track, EMV for the US and the GX Prepaid and Gift Card retreat. Let us share what we know - http://www.actcda.com/calendar/.

2. A CANADIAN FIRST: SUNOVA CREDIT UNION INSTANTLY ISSUING EMV DEBIT CARDS LEVERAGING THE EVERLINK INSTANT CARD ISSUANCE SOLUTION
Source: Canada Newswire (04/11)

Everlink is pleased to announce that Sunova Credit Union is leveraging the Everlink Instant Card Issuance system to produce fully personalized EMV Chip debit cards in their branches. Everlink is the first financial services company in Canada to not only offer an EMV Instant Card Issuance system but to actually produce a fully personalized Chip debit card in a branch that has been certified by both Interac and MasterCard.

With the first implementation completed successfully, Everlink can offer financial institutions the ability to provide highly customized cards, with a more personal touch, to the cardholders. The Everlink solution provides a number of additional security features including the ability to print the cardholder's picture onto the back of the card and of course allows the cardholder to select their PIN as soon as their card is produced.

The system will allow financial institutions to offer multiple card images for cardholders to choose from in addition to the full personalization of the Chip and printing of the cardholder data as defined by the financial institution (e.g. card number, cardholder name, valid date and expiry date). The best feature of the product is that it can all be done in less than 2 minutes, on location, in a branch.

The Everlink Instant Card Issuance system, powered by SmartSoft technology, provides clients with the means to issue debit, credit or prepaid cards (both MAG Stripe or Chip) as well as PayWave and PayPass contactless cards. Everlink will add Interac Flash contactless functionality within the next few months.

"Everlink is the first in Canada to deploy this innovative solution and issue cards in this way," said Mark Ripplinger, President of Everlink. "We are very proud of this accomplishment, and what it means for our clients. The ability to produce or issue your own EMV Chip cards on demand in a branch location is very significant in the fast-paced payments industry."

Interac Association and MasterCard Canada are members of ACT Canada; MasterCard Canada is a Cardware sponsor; please visit http://www.interac.ca & http://www.mastercard.ca.

3. CHASE CARD SERVICES BECOMES FIRST MAJOR U.S. BANK TO ISSUE CHIP-AND-SIGNATURE TECHNOLOGY
Source: BUSINESS WIRE (04/14)

Chase Card Services, a division of JPMorgan Chase & Co., announced it is the first major U.S. bank to issue chip-and-signature, a credit card with EMV chip technology that provides consumers with better ease-of-use and stronger security while traveling abroad. Chase will first unveil chip-and-signature on the JPMorgan Palladium credit card in June, a card serving customers who frequently travel abroad, and later to other Chase credit cards within the year.

Chase's cards with chip-and-signature technology will feature both an embedded encrypted chip and traditional magnetic strip to accommodate merchants in the United States. The embedded microchip of chip-and-signature makes the card extremely difficult to copy, because the encrypted chip enables the safer processing and storing of data. Chip technology is the gold standard in Europe and has completely replaced magnetic strips, so cards with chip-and-signature technology offer more streamlined credit card purchases while traveling in Europe.

"Chase Card Services is constantly seeking innovative ways to improve both the transactional and security experience for cardmembers while using their cards during travel," said David Porter, general manager, Chase Card Services. "The addition of chip-and-signature technology enables Chase cardmembers to enjoy simplified transactions in Europe, such as seamlessly using point-of-sale kiosks and train ticket turnstiles the same way the locals can, with the added piece-of-mind of secure transactions."

Chase Card Services is a member of ACT Canada; please visit http://www.chase.com.

What are the lessons learned from the Canadian EMV experience?

If you are a US banker, ISO, processor, or retailer, join us on June 14th for the EMV for the US track at Cardware 2011: Payment Insights.

On June 14th, Canadian stakeholders will help their American counterparts learn what worked during our 6 year conversion - and things we might do differently knowing what we now know! Visit http://www.actcda.com/calendar/ for more information about Cardware 2011 and the EMV for the US track.

4. WELLS FARGO TO PILOT EMV CHIP TECHNOLOGY FOR INTERNATIONAL TRAVELERS
Source: Business Wire (04/13)

Wells Fargo & Company is piloting the Visa Smart Card, which includes the traditional magnetic stripe along with EMV chip technology, helping increase card acceptance worldwide. The pilot is the industry's first chip program by a national bank and includes 15,000 Wells Fargo consumer credit card customers who travel internationally.

"U.S. issuers and merchants rely primarily on magnetic stripe technology," said Eric Schindewolf, vice president of product development for Wells Fargo Consumer Credit Card. "However, many parts of the world have adopted chip-enabled payment cards as a primary means of authentication, which has been problematic for customers who travel abroad and were unable to use their credit card. By combining traditional magnetic stripe along with the EMV chip technology, we hope our customers will have the convenience to use their credit card no matter where they are in the world."

"Visa is very pleased to support Wells Fargo in its effort to bring EMV chip-enabled cards to its international traveling customers," said Stephanie Ericksen, head of chip product integration, Visa Inc. "Wells Fargo's implementation provides cardholders an enhanced experience in international countries using EMV chip."

"Giesecke & Devrient (G&D) is pleased to support Visa and Wells Fargo in this pioneering project with the expertise we have gained in multiple EMV implementations across the globe," said Scott Marquardt, President of G&D's U.S. subsidiary.

Giesecke & Devrient and Visa Canada are members of ACT Canada. Visa Canada is a sponsor at Cardware 2011 and Giesecke & Devrient is both a sponsor and an Exchange Place Expert at Cardware 2011; please visit http://www.gi-de.com & http://www.visa.ca.

5. WHO WILL PROFIT FROM NFC, MOBILE PAYMENTS?- - Members Only Access

Available in the ACT Canada Members Only section of our web site. Click on the link below to access this section.
http://www.actcda.com/members-only/members-only-news/

If you are a member of ACT Canada but do not have your login details please contact me - andrea@actcda.com.

6. G&D IN SPAIN DEVELOPS THE USIM CARD USED ON TELEFONICA'S FIRST NFC MULTI-APPLICATION PROJECT
Source: ICMA Industry News (04/08)

Giesecke & Devrient (G&D) has once again been chosen by Telefonica as its technological partner to carry out the first NFC mobile phone project providing multiple applications inside a business complex.

A group of users composed of Telefonica employees and clients of the participating banking entities will receive a Samsung mobile phone with NFC technology. This enables them to make payments in shops, restaurants and cafés simply by bringing the handset close to the POS reader. Likewise, Telefónica employees will be able to access the company buildings in Distrito C in Madrid by tapping their mobiles close to the access control reader.

For this project, G&D has developed a USIM card based on Java technology, capable of housing different applications and suitable for any NFC handset. The new card incorporates VISA's payment application and an SWP (Single Wire Protocol) interface which permits communication with the mobile device's NFC chip and this, thanks to proximity, with the POS device.

G&D's USIM card also emulates a Mifare chip which carries access control applications and a private electronic wallet with which Telefónica employees will be able to pay at the restaurants within Distrito C.

G&D is already developing the next step in this technology, which will enable users to have their different cards-bank, loyalty, membership, transport, etc.-on their mobile devices and thus replace the traditional physical cards. Delivery of such virtual cards can be performed using E.G., an over-the-air solution G&D offers. It will be possible to use these virtual cards with G&D's security solutions.

Giesecke & Devrient is a member of ACT Canada, and is both a sponsor and an Exchange Place Expert at Cardware 2011; please visit http://www.gi-de.com.

Mobile payments & NFC in a Canadian context

Learn what the experts are predicting, AND, what they are basing it on, at Cardware 2011: Payment Insights.

Find out why Cardware is the must-attend forum for movers, shakers and future-shapers in mobile, NFC, loyalty, secure payments and leveraging EMV. Visit http://www.actcda.com/calendar/ for more information.

7. WAVE OF THE FUTURE: TRUSTED IDENTITIES IN CYBERSPACE
Source: NY Times (04/20)

On April 15 the Obama Administration released its official report on a plan to safeguard online identities across the Internet that will protect individuals and entities and create a secure backbone on which to do business on the Web.

The National Strategy for Trusted Identities in Cyberspace (NSTIC) will be a department within the National Institute of Standards and Technology (NIST) that will work with the private sector to give Internet users a secure identity. The idea is to create an "Identity Ecosystem" - "an online environment where individuals and organizations will be able to trust each other because they follow agreed upon standards to obtain and authenticate their digital identities," according to the report.

That stipulation comes as a big sigh of relief for some advocates and pundits who feared a Big Brother approach that would be mandated by the federal government. NSTIC is designed to allow the private sector to carve out the parameters Identity Ecosystem.

"Only the private sector has the ability to build and operate the complete Identity Ecosystem, and the final success of the Strategy depends upon private-sector leadership and innovation," the report says.

That is a different approach from other countries, like Spain, where Bob Blakely, VP, distinguished analyst, and agenda manager for IT1 Identity and Privacy Strategies Service at Gartner, spent time earlier this year and noticed the complete opposite approach.

"The thing that really stood out for me was how American the NSTIC proposal is," Blakley said. "Spain has, since 2006, has had an electronic identity card for all citizens. A number of the conversations I had with businesses and government entities is to how to get businesses to accept an identity credential that was produced by the government. NSTIC frames the problem exactly in the opposite way."

There are a number of ways the Identity Ecosystem could manifest itself. From a "smart card" - digital identity - that houses your trusted identity, to smart grid authentication, to the ability to have bankcards or university ID cards validated as Identity Ecosystem-approved credentials.

The implementation of NSTIC could force some companies, like Facebook, to change the way it does business. Overall NSTIC is an ambitious agenda set out to create a more secure Web. For the idea to come to fruition it will take the cooperation of all the primary stakeholders involved, from the federal government to the tech companies and most importantly, the user.

"NSTIC paints a utopian picture of a user-centric identity management system in a business environment that does not commoditize on identity," said Aaron Titus, the privacy director of the Liberty Coalition in a conference call April 18. "Of course, we support that vision but success is far from assured."

8. CPI CARD GROUP TAPS NXP, KSW FOR CONTACTLESS CARD TECH
Source: ContactlessNews (04/13)

Contactless card manufacturer CPI Card Group has announced it will broaden its portfolio of contactless offerings with technology from NXP Semiconductors and KSW Microtec.

The partnership will give CPI access to NXP Semiconductors' Fast Pay contactless security chip. Used for contactless payment applications in the U.S. and Canada, Fast Pay features embedded Data Encryption Standard (DES) hardware for boosted security and speedy transaction times.

KSW Microtec will share its Thinlam contactless prelaminate for contactless personal ID card manufacturing. According to CPI, the solution provides exceptional thinness and maintains high reliability and durability thanks to its unique assembly technology.

"In order to provide the best products for our customers, we feel it's important to offer a variety of technology choices and solutions from reliable partners in the industry," says Benoit Guez, director of Smart Cards and New Technologies at CPI. "Both NXP and KSW have demonstrated their commitment to developing cutting-edge technologies in the contactless space, and we look forward to working together as a team to meet our clients' needs, and exceed their expectations."

CPI Card Group & NXP Semiconductors are members of ACT Canada; CPI Card Group is a Cardware 2011 sponsor and an Exchange Place Expert; please visit http://www.cpicardgroup.com & http://www.nxp.com.

9. VISA AND SAMSUNG BRING NFC M-PAYMENTS TO LONDON OLYMPICS
Source: Finextra (03/31)

Members of the public will be able to make low value payments by selecting a Visa mobile contactless application and then waving their handset against equipped terminals.

The firms say they will give out the handsets to sponsored athletes while members of the public can buy them from network operators and get a Visa-enabled SIM card for making payments.

Peter Ayliffe, CEO, Visa Europe, says: "We are not only breaking new ground for Olympic partnerships, we are committed to enabling consumers to connect with mobile and contactless payments technology for 2012 and beyond. We look forward to working with financial institutions and mobile operators alongside Samsung to make this initiative a success."

Meanwhile, Samsung is also working with Telefónica on a pilot that will see staff at the wireless operator's Madrid headquarters test NFC-enabled mobile phones.

The trial will initially involve 1000 employees, rising to 12,500, who will be able to make contactless payments at retail outlets on the local business campus. They can also use their handsets to access work buildings and load their 'meal cheques' into the phone to pay for their food and drink at staff catering facilities.

Samsung and payments specialists Giesecke & Devrient and Oberthur are all providing technology for the project while Visa and banks Bankinter, BBVA, La Caixa are also involved.

Telefónica has developed a 'Movistar Wallet' for the project which allows users to choose which bank card they use for purchases, gain access to company facilities and download information by bringing the mobile up to items such as posters or brochures.

The mobile terminal saves a secure digital version in the SIM of any cards users may have, and they can use NFC technology to pay directly at the POS terminals and adapted readers at sales outlets.

The pilot comes after another trial carried out by Telefónica, La Caixa and Visa in Sitges in the province of Barcelona. The six month experiment involving 1500 people and 500 businesses saw customers carry out 30% more e-transactions, with a 23% increase in average purchase per user.

Visa Canada, Giesecke & Devrient, and Oberthur Technologies are members of ACT Canada.Visa Canada and Giesecke & Devrient are Cardware sponsors and Giesecke & Devrient and Oberthur Technologies are Exchange Place experts; please visit http://www.visa.ca; http://www.gi-de.com & http://www.oberthur.com.

10. ISIS ADVANCES MOBILE COMMERCE WITH FIRST MARKET - Members Only Access

Available in the ACT Canada Members Only section of our web site. Click on the link below to access this section.
http://www.actcda.com/members-only/members-only-news/

If you are a member of ACT Canada but do not have your login details please contact me - andrea@actcda.com.

11. AMAZON SAID TO EXPLORE MOBILE-PAYMENT SERVICE FOR HANDSETS
Source: Bloomberg (03/31)

Amazon.com Inc. is considering the introduction of a service that would let consumers pay for goods in brick-and-mortar stores using their mobile phones, according to two people with knowledge of the project.

The company's Amazon Payments unit is exploring whether to start a service based on so-called near-field-communication technology, said the people, who asked not to be named because the project isn't public.

Amazon aims to parlay its dominance in Internet retailing into mobile commerce. It's also keeping in step with other technology leaders such as Microsoft Corp., Apple Inc. and Google Inc. , which have introduced or are said to be planning software, devices or services with NFC. The value of mobile transactions is expected to surge more than sevenfold by 2014, according to research firm Gartner Inc.

Offering NFC services could pit Amazon against Google, Apple and Isis -- a joint effort between AT&T Inc., T-Mobile USA Inc. and Verizon Wireless -- which are developing their own mobile-wallet services.

Amazon has been pushing to become one of the biggest players in mobile commerce for months. On March 22, Amazon opened the Amazon Appstore for Android, which sells applications for mobile devices based on Google's Android operating system. Earlier this week, the retailer unveiled a music-streaming service that works on Android smartphones.

Mobile Payments Soar
In 2014, 340 million global mobile users will use mobile payments, with such transactions totaling $245 billion, up from $32 billion last year, according to Gartner.

Amazon is also considering creating NFC-based marketing services, one of the people familiar with Amazon's project said. For instance, a consumer shopping for jeans who can't find the right size in a retail store might be able to tap a handset against the item's NFC tag to locate the correct item for order through Amazon.com.

Amazon already offers an application for Apple's iPhone, called Price Check by Amazon, that lets consumers compare prices of in-store items with Amazon's by scanning bar codes, snapping pictures, or saying or typing the product's name.

The online retailer will decide whether and when to unveil the NFC mobile-payment services in the next three to five months, one of the people said.

What's all the buzz about Cardware 2011: Payment Insights?

This year's highlights include:

EMV for the US: Canadian insights for U.S. retailers, FI's, processors and other stakeholders
Global Prepaid Exchange presents the 4th Annual Gift & Prepaid Retreat North America
Enhanced Financial Services Track: The latest on EMV, NFC, mobile payment, self-regulation
The Exchange Place: Our forum for sit-down chats with EMV, mobile & NFC specialists
CSCIP Training & Exam Prep Course - June 13th, the exam follows conference wrap up on June 15th
Pay the New Way 2011 - hosted by YESpay on the afternoon of June 13th

Visit http://www.actcda.com/calendar/ for more information about Cardware 2011

12. YNTT DOCOMO SELECTS GEMALTO FOR JAPAN'S FIRST LTE COMMERCIAL ROLL-OUT
Source: Gemalto (04/12)

Gemalto announces that NTT DOCOMO, INC. is deploying its LTE technology solution for Xi, the Japanese operator's next-generation mobile communications service. Xi is Japan's first wireless connectivity service based on Long Term Evolution (LTE) technologies for ultra-high-speed mobile Internet and full IP networks. The service covers the major urban centers of Tokyo, Nagoya and Osaka, with plans to reach 70 percent of the Japanese population by March 2015.

Gemalto designed an LTE solution with Universal Integrated Circuit Cards (UICC) tailored to DOCOMO's stringent quality and performance specifications. The Gemalto solution enhances the security and reliability of DOCOMO's value-added multimedia services offered to its LTE network customers. Over the next three years, more than 15 million DOCOMO mobile subscribers will progressively be equipped with the LTE UICC.

"We look forward to fostering our long-term trusted relationship with DOCOMO in an environment increasingly demanding new personalized services and market differentiators," commented Tan Teck-Lee, President Gemalto Asia. "DOCOMO is leading the introduction of LTE in Japan and Gemalto is ideally placed to bring the latest in LTE technology. Working together, we will drive innovative solutions and services to enrich DOCOMO's subscriber experience."

Gemalto is a member of ACT Canada and a Cardware 2011 sponsor; please visit http://www.gemalto.com.

13. INGENICO AGREES TO ACQUIRE HYPERCOM'S U.S. PAYMENT SYSTEMS BUSINESS
Source: Ingenico (04/04)

Ingenico announced its entry into an agreement to acquire the U.S. Payment Systems business of Hypercom Corporation for US$54 million in cash, subject to certain post-completion price adjustments.

This transaction is a major step in Ingenico's plan to enhance its activities in the U.S. payment solutions market. Specifically, it will significantly increase the company's presence in the "banking" channel, particularly through the ISO (Independent Sales Organizations) community. In the United States, Hypercom has built a strong customer base across different channels including bankcard, multi-lane retail and value-added services. Following the completion of the transaction, these customers will benefit from Ingenico's innovative and robust Telium range of products including contactless solutions.

The transaction is expected to close, subject to certain closing conditions, immediately prior to the completion of VeriFone's acquisition of Hypercom, which is expected to occur in the second half of 2011.

Hypercom & Ingenico are members of ACT Canada and Exchange Place Experts at Cardware 2011; please visit http://www.hypercom.com & http://www.ingenico.com.

14. AMEX BANK OF CANADA LAUNCHES NEW B2B PAYMENTS SOLUTION
Source: Canada Newswire (04/27)

Amex Bank of Canada makes a major play in the Canadian business-to-business payments space with the launch of Buyer Initiated Payments (BIP), an automated web-based payments solution that takes paper cheques out of the payment process, helps improve a client's working capital, reduces liquidity risk and offers early payment to suppliers without affecting the buyer's cash position.

"At Amex Bank of Canada, we're seeing growing demand from businesses for help in becoming strategic about payments and expense management," says Rob McClean, Vice President and General Manager, Global Commercial Card, Amex Bank of Canada. "Commercial payments are an important business, as well as a critical area of innovation for us. We are focused on continuing to build our strong position in travel and entertainment spending while aggressively expanding to other categories of corporate spending."

While electronic payments enjoy a 20-year history in the Canadian market, Amex Bank of Canada saw an opportunity to improve an aging model by offering benefits such as working capital improvements and taking on the resourcing needs of supplier enablement/management. Indeed, the new American Express/CFO Research Global Business & Spending Monitor, a survey of 665 senior finance executives from around the world, underscores the Canadian market need for payments solutions that improve working capital and supplier enablement and management.

The survey reveals that among the top business concerns of Canadian CFOs are production process improvements, enhancing relationships with suppliers and improving cash and working capital positions. Fifty-seven percent say that during the economic downturn, they worked to establish closer relationships with their most strategic suppliers and to consolidate their base of suppliers and vendors. And 72% note that their finance team is very or somewhat concerned about their company's ability to maintain the discipline and improvements it achieved during the recession in terms of cash and working capital management discipline.

BIP was designed to address these concerns through a host of user benefits for buyers and suppliers alike, including increased efficiency and savings. Through the platform, the buyer sends a payment instruction file to American Express, who then deposits funds directly into the supplier's bank account. The buyer would then pay American Express at the end of a billing cycle. Furthermore, BIP allows buyers to extend Days Payable Outstanding and decreases Days Sales Outstanding for the supplier, improving cash flow.

American Express Canada is a member of ACT Canada; please visit http://www.amex.ca.

15. NFC-LESS IPHONE A BLOW TO INDUSTRY: PAYPAL - Members Only Access

Available in the ACT Canada Members Only section of our web site. Click on the link below to access this section.
http://www.actcda.com/members-only/members-only-news/

16. AMERICAN EXPRESS AND PAYFONE ANNOUNCE STRATEGIC ALLIANCE TO POWER GLOBAL MOBILE CHECKOUT
Source: PPYMNTS.com (04/13)

American Express and Payfone announced a strategic alliance to create and power a new global mobile checkout service. As part of the agreement, Payfone will combine its advanced mobile authorization and payment services with American Express' recently launched digital payments platform, Serve.

Working together, Serve and Payfone will provide consumers with the ability to make purchases from online merchants using their mobile phone number at checkout. Consumers will be able to link their mobile numbers to a variety of payment methods including their pre-or-postpaid mobile operator account, as well as via a customer's Serve account.

"This alliance brings together Serve's unified online, mobile and real-world functionality with Payfone's advanced mobile authorization and payment services to deliver a seamless payment solution," said Dan Schulman, Group President, Enterprise Growth, American Express. "The alliance is an important next step for the international roll out of Serve. We look forward to working with Payfone as we evolve the Serve platform to provide the most advanced payment solutions for buyers and sellers, while setting new standards in security, simplicity and reliability."

Payfone is unique in leveraging the existing assets of mobile operators, such as the global SS7 signaling network for directly connected payment authorization and processing. This approach distinguishes Payfone from other competitors.

Payfone's unique IP focuses on driving merchant's sales conversion and revenue yield while managing fraud using new factors of authentication that are inherent in the mobile operator networks. For consumers, it means greater choice in payment methods and the most frictionless user experience, across any device.

American Express Canada is a member of ACT Canada; please visit http://www.amex.ca.

17. TEST CASES IN COLLIS SWP/HCI CONFORMANCE TEST SUITE VALIDATED BY GCF AND PTCRB
Source: Collis (04/20)

Collis is pleased to announce the launch of Collis SWP/HCI Conformance Test Suite. The first batch of test cases for handsets was officially accepted at the GCF (Global Certification Forum) CAG#26 meeting in Taipei on 13th April 2011 and was already validated by PTCRB-PVG. Collis SWP/HCI Conformance Test Platform is listed as test platform 120 on both GCF and PTCRB test platform databases. Collis SWP/HCI Conformance Test Platform contains the tests cases defined in ETSI TS 102 694-1 (SWP) and TS 102 695-1 (HCI).

Collis SWP/HCI Conformance Test Suite runs on the Collis Test Manager (CTM), the leading total test life-cycle-management environment (see: CTM). Collis Test Manager consists of a user-friendly Test Management Application with the powerful Conclusion Test Engine and provides a logical path in creating & managing an entire test project. Users of the Collis SWP and HCI Test suites will now be able to configure test execution and report results in an easy manner.

Collis has been offering market leading test tools, consultancy and training for the mobile telecommunications industry for over a decade. Our test tools are used by card and handset manufacturers to develop and test products as well as by mobile network operators to test interoperability. These tools use flexible Java APIs that take testing beyond standards conformance.

Collis is a member of ACT Canada and a Cardware 2011 Exchange Place Expert; please visit http://www.collis.nl.

18. HYPERCOM BRINGS EMV CARD PAYMENT TO DUBAI'S METRO
Source: EON (04/12)

Hypercom Corporation announced that it has completed the full EMV certification of all of its Artema Modular self-service payment systems and Artema Compact countertop terminals across 49 Dubai Metro stations to speed ticketing for 4 million passengers per month. The EMV certification means that travelers on Dubai's urban railway network will benefit from secure and convenient payment using their chip and PIN cards.

"This latest certification reinforces our leadership position in self-service payment technology, our leadership in metro and rail ticketing systems, and brings new levels of speed and convenience to hundreds of thousands of travelers," said Brian J. Stobo, Vice President, Middle East and Africa, Hypercom Europe.

Hypercom is a member of ACT Canada and an Exchange Place Expert at Cardware 2011; please visit http://www.hypercom.com.

19. PACIFIC AMBER AND YESPAY'S PARTNERSHIP TAKES ANOTHER DIMENSION AS LARGE NUMBERS OF MERCHANTS GO LIVE IN NORTH AMERICA!
Source: YESpay (04/27)

A growing number of merchants in Canada and USA are now Live and EMV Chip & PIN enabled thanks to the trio: Pacific Amber Technologies, YESpay International and Chase Paymentech! Since 2010, merchants using AmberPOS are able to process EMV Chip & PIN transactions via YESpay's fully EMV and PCI-DSS certified payment solution, EMBOSSTM. Adoption is now exploding because of this successful partnership and the increasing need to adopt Chip and PIN in Canada as a result of the EMV liability shift.

With live merchants all across North America, Pacific Amber Technologies constitutes a reliable and valuable partner to both YESpay and Chase Paymentech resulting in the successful national rollout of merchants of all sizes. All three parties are working closely together to be at the front of emerging cutting-edge technologies and to offer the fastest time to market and low-cost EMV payment solution possible to merchants.

Validated for EasyV-Retail, YESpay's EMV card-present payment solution, Pacific Amber Technologies is offering a unique proposition for EMV Chip and PIN and magnetic stripe credit and debit card acceptance in North America with Chase Paymentech as the processor. Live merchants like House of Knives and John Fluevog have been EMV enabled this year and are currently using this joint solution.

With the need to offer multi-channel payment services, Pacific Amber is also integrating EasyV-Internet (YESpay's e-commerce payment solution) to expand its payment service proposition to provide its customers with an e-commerce payment platform.

Both EasyV-Internet and EasyV-Retail support credit and debit card tokenization for free. These unique 'Tokens' or card reference numbers which are linked to individual cardholder details stored in PCI DSS certified EMBOSS data centres, enables merchants to perform marketing functions or make recurring / subscription payments without access to full cardholder details.

By utilizing YESpay's EMV pre-accredited and PCI-DSS certified payment solution, Canadian and US merchants running AmberPOS software are taking advantage of the most cost effective payment service, that securely processes and settles transactions with Chase Paymentech via YESpay's dual data centres. All major EMV credit and debit cards are supported with the EasyV-Retail solution including Visa, MasterCard, Interac, Maestro, Amex, Diners and more. EasyV-Retail also supports on-line PIN validation for both Canadian Interac debit card transactions as well as US magnetic debit transactions.

As Harry Morge, National Sales Manager at YESpay explains, "This strong partnership with Pacific Amber and Chase Paymentech is really fruitful, and is now taking another dimension. Indeed, the merchant base is growing every month, and we jointly assist merchants in both USA and Canada. Pacific Amber will leverage another channel supported by YESpay, namely e-commerce, thus offering a multi-channel solution to its merchants. I am looking forward to continuing developing this relationship!"

For over 15 years, Pacific Amber Technologies has established a proven track record of successfully helping hundreds of retailers across North America. Pacific Amber Technologies chose to integrate with YESpay in order to offer to its customers a managed and multi-channel, pre-accredited payment service at a low monthly cost.

Mike Piotrowski, President of Pacific Amber Technologies comments "The uniqueness of YESpay's payment solution which is fully managed, multi-channel, cross-border and EMV certified, was the answer to our payment needs. We can now enable our numerous merchants to accept integrated payments, as part of our comprehensive point-of-sale solution which is gaining more and more traction in the market. AmberPOS has been a successful software for years and we are always looking for new ways to provide our customers with more features, including new payment processing options."

YESpay is member of ACT Canada, an Exchange Place Expert and is hosting a workshop at Cardware 2011; please visit http://www.yes-pay.com.

For more information, please contact Andrea McMullen at 1 905 426-6360 ext 124 or email andrea@actcda.com.

Please forward any comments, suggestions, questions or articles to andrea@actcda.com. Please note that articles contained in this newsletter have been edited for length, and are for information purposes only.