Stakeholders Driving Payment Evolution and Digital Identity

July 2011 ACTion Newsletter

IN THIS ISSUE

1. Editorial - Social Media and the Financial Sector
2. Canadian Bank Note Awarded Canadian ePassport Contract
3. Four Major Credit Card Companies Joining ISIS Mobile Payments Group
4. Oberthur Technologies' NFC SIM Card, First To Receive The Common Criteria EAL4+ Certification
5. Canadians Lead The Mobile Technology Drive - Members Only Access
6. Visa's Contactless Technology Now Available At Participating McDonald's Restaurants Across Canada
7. Apriva Teams With Open Solutions For Contactless Vending
8. France, Biggest Identify Theft Victim, To Create Smart Cards To Prevent It
9. United Nations Federal Credit Union And Gemalto Publicize Increased Member Spend With Chip And Pin Payment Card
10. Mobile Payments Growth Slower Than Expected - Members Only Access
11. McDonald's Canada Introduces MasterCard PayPass Contactless Payment Technology Point-Of-Sale Payment Terminals Available At More Than 1,400 Restaurant Locations Nationally
12. ICC Solutions Receives Qualification From EMVCO For Entry Point Testing
13. UniCredit Uses Gemalto's Contactless Sticker For Mobile Payment In Slovakia
14. Ingenico and ScanSource, Inc. Partner To Optimize Product Distribution In The U.S.
15. 83% Of Business Executives Expect Mobile Payments To Be Mainstream In 4 Years - Members Only Access
16. Giesecke & Devrient Supplies Turnkey NFC Solution For Norwegian Mobile Contactless Payment Project
17. FIME's Testing Services And Laboratories Receive GlobalPlatform Certification
18. American Express And Sprint Collaborate To Promote Serve
19. EBay's PayPal Unveils Mobile-Payment System That Uses NFC
20. Successful Qualification Of The Collis GlobalPlatform UICC Compliance Test Suite

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.

ACT CANADA THANKS OUR NEW & RENEWING MEMBERS

PRINCIPAL

Interac Association ~ member since 1995
Moneris Solutions ~ new member

GENERAL

Collis ~ member since 2006
Mohawk Council of Akwesasne ~ member since 2010
MEI Inc. ~ member since 2009
Open Solutions ~ member since 2006

RETAIL

Imperial Oil ~ member since 2010

SME

AJB Software Design Inc. ~ new member
MoneyCell ~ member since 2010

CALENDAR OF EVENTS

3rd Mobile Contactless Payments Summit
Chicago, IL, USA
October 17-18, 2011
http://www.paymentinnovations.net
ACT members will receive a $300 discount - please contact andrea@actcda.com for details

The 10th Annual Smart Card Alliance Government Conference - Smart Strategies for Secure Identity
November 1-4, 2011
Washington, DC, USA
http://www.smartcardalliance.org

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

2012 Payments Summit, A Smart Card Alliance conference event
February 7-9, 2012
Salt Lake City, UT, USA
http://www.smartcardalliance.org

1. EDITORIAL COMMENT
Source: Catherine Johnston, President & CEO, ACT Canada (07/28)

Social Media and the Financial Sector

If you and your organization are contemplating a social media strategy, you know that there are more questions than answers to date. Last week the Access Group and RBC held a half day session on the topic and I chaired a panel of pioneers who answered some hard questions.

Many people view social media as simply another marketing channel and truly it is a new channel that allows us to interact with customers and target our marketing to them. This is going to require some careful planning to ensure that privacy does not become a regulatory or consumer perception issue.

It is also a channel to solicit both ideas and support from customers. For some companies this will augment or replace focus groups, but not many will go as far as some early entrants who replaced their call centres with customers answering the questions posted by other customers on web sites.

Perhaps the most interesting aspect of social media for banking, and for that matter any public or private sector organization, is that it allows your customers (or voters) to express their thoughts about you with other customers, even though they don't know each other.

This is the area where a lot of hard questions must be asked. The idea of consumer reviews is not new. I have a favourite website that I check before booking into a hotel, but I know that they take some cautionary steps before allowing reviews to be posted. We are already under attack on the internet with hackers using denial of service and other means to negatively impact businesses. In 3 Gen Y focus groups, I have heard them say that they don't want to be paid to provide a positive review of a product or service. In each case they said that they are greatly influenced by their peers' opinions but those opinions and their own must be non-commercial.

Social media is a child of the internet and is already a corporate reality, but these are early days. How it evolves can still be influenced. At some point this will become a highly competitive channel, but now there are questions, issues and directions that are non-competitive. At this stage, the more stakeholders at the table, the more chance we have of developing a worthwhile tool.

In the coming weeks, ACT Canada will poll our members on whether they would like to establish a Social Media Strategic Leadership team (SLT), which would join our new Prepaid and Cyber Security for Payments teams and our existing Mobile and Merchant teams.

Co-operating on non-competitive issues with other stakeholders is just smart business. Have a great summer, everyone.

2. CANADIAN BANK NOTE AWARDED CANADIAN EPASSPORT CONTRACT
Source: Canada Newswire (07/13)

Canadian Bank Note Company, Limited is pleased to announce that it has been awarded the contract to provide electronic passports (ePassports) to Passport Canada.

Through a competitive process, CBN was able to successfully demonstrate its capability to design, manufacture and support a program that will enhance the current Canadian passport through the inclusion of an electronic chip embedded in the book and through the inclusion of other enhanced security features.

Throughout the term of the contract, CBN will be responsible for manufacturing the new ePassport as well as for developing and supporting the technology solution that performs ePassport personalization.

"We are very pleased that the Government of Canada has selected CBN to deliver this solution to Canadians," said CBN's Ian Shaw, President Identification and Payment Systems. "We look forward to continuing to deliver the benefits of a long-standing partnership with Passport Canada."

CBN has designed and manufactured secure, electronic passports for five countries, including the associated secure issuance and chip encryption solutions.

CBN is a member of ACT Canada; please visit http://www.cbnco.com.

3. FOUR MAJOR CREDIT CARD COMPANIES JOINING ISIS MOBILE PAYMENTS GROUP
Source: Moco News (07/19)

The mobile payments scene got a little more complicated Tuesday, as the big traditional credit card companies joined the Isis mobile payments consortium run by AT&T, Verizon, and T-Mobile in what might be a hedging move by MasterCard, a launch partner for Google Wallet. The move makes sense now that Isis no longer plans to build its own payment network to challenge the traditional payment processors, but might fragment mobile payments before they even get off the ground.

Isis was formed last November by three of the four largest wireless carriers in the U.S. to investigate and deploy technology designed to let consumers use their mobile phones as digital currency. It welcomed American Express, Discover, MasterCard, and Visa Tuesday to the consortium, saying in a press release that "Isis' relationships with all four payment networks mean that with Isis-enabled phones and payment terminals in place, merchants and consumers will have ubiquity and freedom of choice when it comes to payment network acceptance."

That could be a problem for Google, which is trying to build a similar network of phones and payment processing terminals equipped with NFC (near-field communications) wireless technology. There is a lot of enthusiasm for the concept of mobile payments among mobile industry companies and payment processors, but any such venture will need the support of both phone makers and the retailers who must install new equipment in their stores to accept mobile payments.

Google thought it had solved part of that problem by tapping into MasterCard's existing PayPass network, but if retailers participating in the Isis system can accept payment from all four major payment processing companies, that could prove more attractive. It's very early days for this type of technology but the growth of the Isis consortium underscores how seriously some big-name players in payments are taking the mobile opportunity.

American Express, MasterCard and Visa are members of ACT Canada; please visit http://www.amex.ca; http://www.mastercard.ca & http://www.visa.ca.

4. OBERTHUR TECHNOLOGIES' NFC SIM CARD, FIRST TO RECEIVE THE COMMON CRITERIA EAL4+ CERTIFICATION
Source: Oberthur (07/13)

After being the first player in the industry to receive the Common Criteria certification for an Open Java platform in 2002, Oberthur Technologies, a world leader in the field of secure technologies, is proud to announce that its NFC FlyBuy card, an open Java USIM, is the first NFC & Global Platform v2.2 in the market to receive the very demanding and internationally renowned Common Criteria EAL4+ certification.
This certification has been obtained in conformity with the security requirements of USIM Protection Profile.

With this success, Oberthur Technologies offers to MNO the ability to issue NFC SIM cards with a level of security equivalent to most advanced payment and identity cards. The open Java Defensive[1] architecture allows mobile operators to add a wide range of contactless services remotely, after field deployment of these NFC SIM cards.

"With this major achievement, Oberthur Technologies proves once again its leadership in the fields of NFC and security", commented Xavier Drilhon, Managing Director of the Card Systems Division at Oberthur Technologies."The arrival of NFC represents a quantum leap in the development of our industry. This requires the ability to download secure applications into the phone which is what we offer today by bringing the highest level of security into an open and interoperable SIM platform".

This certification was granted to Oberthur Technologies by the Agence Nationale de la S�curit� des Syst�mes d'Information (ANSSI) with the highest level of attack resistance, and it testifies to product quality and compliance with security requirements. It shows Oberthur Technologies' commitment to providing customers with secure products that meet the industry's most rigorous standards, setting the ground to deploy secure contactless services, such as payment, e-ticketing, mobile authentication, etc.

"We are glad to have supported the Common Criteria certification of Oberthur Technologies' open Java USIM and flash memory platform. The certification process has proven to be very efficient, demonstrating the certification bodies' ability to adapt to telecommunications demand. The availability of high security certified SIM Cards is a prerequisite to contactless services massive deployment", said the ANSSI.

Oberthur Technologies is a member of ACT Canada; please visit http://www.oberthur.com.

5. CANADIANS LEAD THE MOBILE TECHNOLOGY DRIVE - 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. VISA'S CONTACTLESS TECHNOLOGY NOW AVAILABLE AT PARTICIPATING MCDONALD'S RESTAURANTS ACROSS CANADA
Source: Visa (07/07)

Visa announced that more than 1,400 McDonald's restaurants have joined a growing roster of Visa payWaveTM contactless payment enabled merchants across Canada. Contactless payments deliver speed and convenience to merchants and Visa cardholders while offering the built-in security benefits inherent in chip technology. Currently available nationwide for front counter service, McDonald's will be accepting Visa payWave at drive thru counters later this summer.

"We're excited to be able to offer our customers the convenience, speed and security of contactless payments in our restaurants," said Jacques Mignault, Chief Operating Officer, McDonald's Restaurants of Canada Limited.

"Visa's global experience has shown that contactless payments are more convenient and faster than cash and are the perfect solution for on-the-go smaller purchases, like McDonald's meals," said Mike Bradley, Head of Products, Visa Canada. "It's exciting to have one of Canada's favourite restaurant chains onboard, offering the convenience of contactless payments to Visa cardholders."

Visa payWave cards employ EMV chip technology, which uses a standard 128-bit encryption technology, to securely store and encrypt confidential information. When customer uses their card at McDonald's, Visa payWave transmits the payment information securely to the terminal reader and the purchase is processed in the same manner as a swiped transaction. The card and the terminal exchange security information, then conduct a secure payment transaction, all in less than one-third of a second. The cardholder does not need to swipe their card or let it out of their possession keeping the transaction quick and secure.

Visa is a member of ACT Canada; please visit http://www.visa.ca.

7. APRIVA TEAMS WITH OPEN SOLUTIONS FOR CONTACTLESS VENDING
Source: Open Solutions (07/12)

Apriva, the leading provider of end-to-end wireless transaction and secure information solutions, today announced a strategic initiative with Open Solutions to deploy EMV-compliant contactless debit and credit card acceptance technology for vending machines and unattended devices throughout Canada. EMV-compliant (Europay MasterCard and Visa) payment solutions enable vending operators to enjoy the profound business advantages realized through cashless technology, while cost-effectively satisfying Canadian regulatory mandates. The joint offering is based on Apriva's highly successful Apriva Vend cashless vending solution and is expected to be deployed throughout Canada later this year.

"Canadian vending operators have been watching the advances in cashless vending in the United States and are eager to grab the reported higher sales and better margins for themselves," said Rob Palin, general manager of Open Solutions' Payment Solutions Group. "By working closely with Apriva, we have developed a card-based payment solution for operators that incorporates secure and reliable operation and addresses the unique market and EMV requirements for Canada. This solution provides consumers with choices to pay at an unattended point of sale and introduces a disruptive technology that will invigorate the Canadian vending market."

Highly regarded as a leading provider of ATM, credit and debit card services throughout Canada, Open Solutions is a Direct Connector member of the Interac Association, a national payment network that allows Canadians to access their money through automated banking machines and point-of-sale terminals across Canada.

Introduced in 2010, Apriva Vend is an end-to-end cashless vending solution that enables operators to accept card-based payments at vending machines. Apriva Vend incorporates all aspects of a cashless vending solution, including hardware, software, payment processing, cellular carrier services and reporting. Apriva Vend provides vending operators expedited access to their cashless funds, 24/7 customer support, leading-edge flexible hardware that meets the most stringent security and privacy mandates, and numerous other benefits.

"As the leading provider of wireless payment processing solutions in North America, Apriva is excited to partner with Open Solutions to deliver an EMV-compliant solution that will help to jump-start cashless vending in Canada," said Paul DeRosse, Apriva's vice president of business development in Canada. "This joint effort not only gives our companies a strong foothold in this important market, but also enables vending operators to provide secure service to their customers, and make more money along the way."

Apriva and Open Solutions are members of ACT Canada; please visit http://www.apriva.com & http://www.opensolutions.com.

8. FRANCE, BIGGEST IDENTIFY THEFT VICTIM, TO CREATE SMART CARDS TO PREVENT IT
Source: TechZone360.com (07/22)

France is one of the countries with the biggest incidence of identity theft, with 80,000 cases per year, according to the French Interior Ministry, in a story at net-security.org. Identity theft and identity fraud are terms used to refer to crimes in which someone fraudulently gets and uses another person's personal data, "typically for economic gain," according to the U.S. Department of Justice.

So the French National Assembly has decided to issue a smart ID card to citizens to protect them against identity theft, and also offer a new way to deal with administration services, the story reports. But before this can be done, the government has to focus on how readers of these smart cards will be distributed. The market for "government and IDs" has exploded worldwide, according to the latest report from Frost & Sullivan, a market research firm, reaching "198 million unit shipment in 2011, with a market growth rate of 4.2 per cent (2010-2011)," according to the story.

Identities used to be validated using a password, says the Smart Card Alliance. But that won't work in today's highly connected world. Passwords are slowly being replaced by biometric systems that can identify a person by his facial features, fingerprints, handwriting or even his irises.

"The French eID card program is conveyed to tackle the identity theft problem, which is of growing importance in the country," Jean-Noel Georges, global director, smart cards practice, at Frost & Sullivan told net-security.org. "The proposed solution is a smart card with two chips: one including personal data with biometric information, and a second one for e-services, with the latter usage optional only."But this presents some dilemmas for the French government, according to the story. A database must be set up to "collect, store and manage all the biometrics and personal information data," the story says. And there is also the privacy issue. For this potential problem, France has made the decision to limit database access to authorized persons only, using a professional smart card that can be validated. Only certain pre-authorized persons will be able to use the card, ensuring privacy, the story says. Another issue "is the national ID card usage for e-commerce and interaction with the administration by using e-services," Jean-Noel Georges was quoted in the story. "To allow a French citizen access to the digital world by using a digital signature, the need of an external reader is mandatory."

The story notes that this might significantly hinder the adoption of e-services, "if the French Government will not push for smart card reader deployment." Despite the real threat of identity theft, France is still using driver's licenses or national ID cards for identification and validation, and needs to move into the digital world, the story advises.

"The country should follow Germany's steps and move forward to be a part of the digital world by employing advanced technologies and promote them among citizens," the story states.

9. UNITED NATIONS FEDERAL CREDIT UNION AND GEMALTO PUBLICIZE INCREASED MEMBER SPEND WITH CHIP AND PIN PAYMENT CARD
Source: Telegraph India (07/13)

Gemalto, the world leader in digital security, marked the first year since the launch of United Nations Federal Credit Union's (UNFCU) globally compliant chip and PIN credit cards with newly released results of the financial cooperatives effectiveness study. UNFCU's analyses demonstrated significant increases in member demand, satisfaction and spend achieved during the period October 2010 to February 2011, compared to the previous year:

  • 153% in card applications,
  • 382% in credit lines booked,
  • 20% for revolving balances, and,
  • 15% in overall purchases.

With some of the most highly mobile members in the world, residing overseas and frequently traveling internationally, UNFCU recognized the need for a universal, convenient and secure payment card. In October 2010, the Long Island City-based issuer became the first financial institution in the U.S. to introduce a credit card with the EMV standard. As most countries move to this standard, U.S. travelers are increasingly at significant disadvantage using magnetic stripe bankcards abroad, especially in offline applications like taxis, unattended ticketing and payment kiosks. Their payment cards are often not accepted, according to consumers.

Through the World Traveler program, Gemalto provides UNFCU with complete issuance service, including full card design, production and personalization. This program has aided UNFCU in serving members, particularly those located in the field and in extreme situations. For example, UNFCU reissued cards for members after the earthquake in Haiti.

"Having delivered hundreds of millions of EMV cards worldwide, Gemalto's experience was critical in the success of our first-to-market EMV roll-out and has helped us achieve our goal of top wallet status," said Merrill Halpern, assistant vice president Card Services at UNFCU. "Demand is high for the added security and acceptance opportunities offered through the EMV payment cards."

In response to members? positive feedback, UNFCU is slated to launch another EMV credit card product in the first quarter of 2012 and will also expand its EMV functionality to all checking account holders with a new EMV debit card.

"UNFCU is an example of an organization listening and responding to the needs of its members, and taking advantage of the untapped potential for EMV in the U.S.," added Jack Jania, vice president and general manager Secure Transactions North America at Gemalto. "By sharing its best practices and results today, UNFCU is leading the way toward the introduction of this new technology in the country, for the benefit of all. This further demonstrates that EMV is the way forward to increase transactions and revenue for financial institutions."

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

10. MOBILE PAYMENTS GROWTH SLOWER THAN EXPECTED - 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. MCDONALD'S CANADA INTRODUCES MASTERCARD PAYPASS CONTACTLESS PAYMENT TECHNOLOGY POINT-OF-SALE PAYMENT TERMINALS AVAILABLE AT MORE THAN 1,400 RESTAURANT LOCATIONS NATIONALLY
Source: MasterCard (07/07)

McDonald's Restaurants of Canada Limited and MasterCard Canada announced today the introduction of MasterCard PayPass contactless payment technology at participating McDonald's restaurant locations in Canada.

PayPass point-of-sale payment terminals have been installed at more than 1,400 McDonald's restaurants across the country, giving patrons the option to simply Tap & Go to make their purchases.

"We believe in giving our customers a quick and convenient way to enjoy quality food and superior service," said Jacques Mignault, Chief Operating Officer, McDonald's Restaurants of Canada Limited. "MasterCard PayPass allows us to offer our valued customers greater convenience with a quicker and easier way to make purchases."

Consumers with a PayPass-enabled MasterCard credit card or mobile phone can quickly and securely pay for their purchases with a simple tap of their card or phone on a PayPass point-of-sale payment terminal. The transaction is confirmed within seconds and the consumer never lets go of their card or phone.

"As the leader in innovative payments technology, MasterCard understands the need for enhanced customer convenience at the point-of-sale, including a faster way to pay, which is exactly what MasterCard's PayPass technology provides," said David E. Orzel, Head of Market Development, MasterCard Canada. "McDonald's prides itself on efficiency and we expect that McDonald's customers will appreciate how this technology will improve their overall experience."

MasterCard is a member of ACT Canada; please visit http://www.mastercard.ca.

12. ICC SOLUTIONS RECEIVES QUALIFICATION FROM EMVCO FOR ENTRY POINT TESTING
Source: ICC Solutions (07/21)

ICC Solutions is delighted to announce the immediate availability of ICCSimTMat: Entry Point qualified by EMVCo to perform Type Approval of Book A and Book B Test Cases. EMV Contactless Specifications for Payment Systems - Book A and Book B, defines the terminal requirements necessary to select an EMV Contactless Application in an international interchange environment and provides for backward compatibility with already existing Contactless Applications.

ICCSimTMat: Entry Point is an extremely efficient and cost effective test package similar to ICCSimTMat: EMV Level 2 qualified by EMVCo to perform Type Approval of EMV Terminal Level 2 Test Cases which has been used successfully by EMVCo certified test laboratories and terminal manufacturers worldwide for many years during application development, debug and type approval stages.

ICCSimTMat: Entry Point features easy-to-follow test instructions and analysis of each test case result without suffering the logistical problems created by complex hardware and card probe configurations or having to manage large decks of test cards.

According to Dave Maisey CEO / Managing Director at ICC Solutions, "ICC Solutions' welcomes this latest addition to our ICCSimTMat portfolio offering another test package qualified by EMVCo, confirming our position as the global leader of recognised test solutions. ICCSimTMat: Entry Point will offer a reliable, efficient and cost effective test environment to EMVCo certified test laboratories and terminal manufacturers."

ICC Solutions is a member of ACT Canada; please visit http://www.iccsolutions.com.

13. UNICREDIT USES GEMALTO'S CONTACTLESS STICKER FOR MOBILE PAYMENT IN SLOVAKIA
Source: Gemalto (07/07)

Gemalto announces the selection by UniCredit Slovakia, to provide Optelio contactless stickers for its first commercial mobile payment deployment. The bank, part of the major financial institution UniCredit Group, is the first to market with a contactless debit payment service in Slovakia. UniCredit Group is a leading European bank with strong roots in 22 countries and an overall global network embracing approximately 50 markets through over 9,600 branches. The Optelio contactless sticker has achieved MasterCard certification and complements a full set of Gemalto services already available for mobile payment.

The Optelio sticker is a microprocessor-based secure personal device that provides a compatibility solution to enable contactless functionality for handsets that don't have contactless features built-in. By simply attaching the Optelio contactless sticker to their mobile phone, UniCredit customers will be able to use the contactless feature on payments under EUR 20, while larger amount transactions will require a PIN code. Payments can be made in fast food restaurants, cinemas, supermarkets and other retail outlets across the Slovakia, with its established contactless payment market of over 3,000 acceptance points in place.

Combining diminutive size with the highest communication performance with the terminal, Gemalto's Optelio contactless sticker has been designed to work on any handset model. Gemalto also provides sticker personalization, packaging and delivery to the end user as part of the service to UniCredit.

"The MasterCard Paypasssticker, which we named StickAir, is another unique product modelled upon requests and needs of customers of UniCredit Bank," commented Monika Kohutova, Head of Retail Banking Division of UniCredit Bank. "It can be issued in relation to any current account open with UniCredit Bank and our customers can affix the StickAir wherever they want, like for example to the rear of their cell phone. Consumers are already accustomed to swiping their travel card to ride the public transportation in Slovakia so we believe contactless technology will also gain user adoption in the payment domain."

"Moving to contactless is more than just changing the technology, it is also changing long-standing consumer habits" added Christoph Siegelin, vice president Sales, Central Europe at Gemalto. "By turning any handset into a payment device, Optelio contactless sticker makes the speed and convenience of mobile contactless payments available for UniCredit to deploy immediately."

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

14. INGENICO AND SCANSOURCE, INC. PARTNER TO OPTIMIZE PRODUCT DISTRIBUTION IN THE U.S.
Source: Ingenico (07/19)

Ingenico, the leading worldwide provider of payment devices and services, and ScanSource, Inc., the leading international distributor of point of sale, AIDC (automatic identification and data capture), communications, and physical security products for the reseller market, today announced a joint non-exclusive partnership to co-market and distribute Ingenico's POS products by leveraging ScanSource's extensive reseller/VAR network in the U.S. According to the agreement, ScanSource, Inc. will start carrying, marketing and distributing Ingenico's industry-leading POS devices to its extensive reseller network. As a result, Ingenico will significantly expand the distribution channel and shorten its time-to-market cycle for its integrated multi-lane retail POS products in the U.S.

Through this agreement, Ingenico will co-market its entire line of multi- lane terminals, including Ingenico's newest TELIUM POS products: the iSC250/350 Signature Capture devices, the iPP320/350 Series PIN Pads, as well as the i6000 family of Signature Capture terminals, custom stands and product related accessories. In addition, Ingenico will provide a comprehensive product and software training for ScanSource's sales and technical support teams to ensure their outstanding product and services support to reseller partners.

"The POS retail channel in the U.S. is unique, complex, and very dynamic. It demands excellence in product quality, customer service and efficient distribution," says Thierry Denis, President of Ingenico North America. "Together with ScanSource's new Payment Solutions Suite, which includes a brand new key injection facility, we will provide an effective solution for resellers and VARs. ScanSource, Inc. as the value-added distributer with its proven high-growth business model, solid market strength, and customer-centric company culture provides a perfect fit for our business. We are excited about the partnership, its market potential and the benefits it will bring to our mutual customers."

This latest partnership will enable both companies to focus on creating new avenues for continued success in meeting their customers' solution, service and support needs.

"We look forward to offering Ingenico's high-quality solutions to our reseller partners. This partnership helps us to round out our payment solutions offering, enabling resellers to offer a more complete POS solution, while also creating potential new revenue streams for them," said Jeff Yelton, president, ScanSource POS & Barcoding. "With our Payment Solutions Suite services, we are able to streamline processes and manage the configuration and key injection services resellers need to meet their end-users' demands."

Ingenico is a member of ACT Canada; please visit http://www.ingenico.com.

15. 83% OF BUSINESS EXECUTIVES EXPECT MOBILE PAYMENTS TO BE MAINSTREAM IN 4 YEARS - 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.

16. GIESECKE & DEVRIENT SUPPLIES TURNKEY NFC SOLUTION FOR NORWEGIAN MOBILE CONTACTLESS PAYMENT PROJECT
Source: Wireless Developer Network (07/01)

Leading Norwegian financial services provider DnB NOR and the world's sixth largest mobile operator Telenor have launched a trial of a new mobile payment solution. The project, called Tap2Pay, is based on innovative Near Field Communication (NFC) technology and utilizes infrastructure provided by Giesecke & Devrient (G&D). Other companies involved in the project include MasterCard, provider of the MOTAPS system and the PayPass payment product, as well as Nets, one of Northern Europe's biggest providers of payment solutions. The pilot trial in Oslo is aimed at collecting feedback from consumers and store owners about making contactless payments using mobile phones.

The trial - in which 250 consumers have been provided with Samsung S5230 mobile phones equipped with NFC short-range wireless technology and a SIM card containing a G&D payment application - is being carried out in the Oslo district of Majorstua. Kaffebrenneriet coffee bars, outlets of the Vita cosmetics chain and Deli de Luca Group restaurants have all been equipped with the new payment terminals. The NFC solution behind the Tap2Pay project is provided as a complete end-to-end solution by G&D.

In the Tap2Pay project, contactless payment with NFC-enabled mobile phones offers users a number of advantages. Paying for items in a store is both fast and easy - customers simply hold their mobile phone against the payment terminal and the amount is immediately debited to their MasterCard. This speeds up the checkout process while enforcing high security standards equivalent to those of a conventional card payment.

The mobile phones are equipped with G&D's ProxSIM Taurus SIM card, an innovative type of 3G/GSM mini SIM card which supports NFC technology and offers special security features. The payment application, personalization of card credentials, and updates are loaded onto the SIM cards over the air (OTA) via the mobile network. For this pilot trial, G&D is installing the MasterCard PayPass payment application on the NFC-compatible SIM cards using its secure Trusted Service Manager (TSM) service. G&D's TSM is connected with MasterCard Mobile Over-The-Air Provisioning Service (MOTAPS) and is the world's first deployment of the system supporting contactless EMV payment on the NFC SIM and mobile phone.

The technology G&D uses to provide its Trusted Service Manager service is based on G&D's high-security, scalable, and high-availability SmartTrust NFC Service Manager. Building upon G&D's SmartTrust DP OTA platform, SIMs and any other Secure Element or mobile device can be managed independently of the network technology used. G&D's SmartTrust NFC Service Manager software offers a broad range of management functionalities designed to meet the specific requirements of service providers and mobile operators regarding scalability, performance, reliability and interoperability.

"The Oslo test is one of the first in Scandinavia and will be an important milestone towards our use of mobile phones as wallets. We are certain that contactless payment via mobile will become extremely widespread, because we all take our mobiles everywhere we go, and because it's a secure and easy way to pay," says Jon Fredrik Baksaas, President and CEO in Telenor, who will be one of those taking part in the test.

"One of DnB NOR's ambitions is to lead the way in the development of digital bank services. If we are to succeed in a market in which more and more services are being integrated into mobile phones, we need to have a good, innovative partner like Telenor. The test will show how we can work together to bring the payment systems of the future to Norway," says Rune Bjerke, CEO of DnB NOR.

Michael Kuemmerle, Member of the Management Board Group Executive, Mobile Security at Giesecke & Devrient says: "We experience a strong worldwide demand to roll out NFC payment solutions. Working with DnB NOR, Telenor, and the other participants in this project is helping us to further understand end-user adoption. Such projects are important to further enhance G&D's international technological leadership in the NFC area."

Giesecke & Devrient and MasterCard are members of ACT Canada; please visit http://www.gi-de.com & http://www.mastercard.ca.

17. FIME'S TESTING SERVICES AND LABORATORIES RECEIVE GLOBALPLATFORM CERTIFICATION
Source: SecureIDNews (07/08)

FIME has announced that its smart device and chip-based application testing facility has achieved GlobalPlatform qualified status.

This certification extends to FIME's tools and laboratory and allows it to test cards' compliance to GlobalPlatform's UICC configurations for the mobile sector.

Stephanie El Rhomri, new services marketing manager at FIME says this qualification is part of FIME's plan to develop and expand its test tool and lab capabilities. It plans to offer these services in the identity, mobile and payment sectors.

The GlobalPlatform association's compliance program is designed for companies to create and qualify testing tools to confirm card compliance to its Card Specification v2.2 market configurations.

FIME is a member of ACT Canada; please visit http://www.fime.com.

18. AMERICAN EXPRESS AND SPRINT COLLABORATE TO PROMOTE SERVE
Source: WEBWIRE (07/18)

American Express and Sprint announced an agreement that will provide Sprint customers with easy access to Serve(SM), American Express' recently launched digital payments platform. The agreement marks Serve's first relationship with a mobile carrier since launching in late March, and builds on Sprint's commitment to providing customers mobile solutions with convenience and choice.

This summer Serve's mobile wallet application will be made available in the Sprint Zone to Sprint customers using select Android-powered smartphones. Sprint customers with these devices can find Sprint Zone, which also provides Sprint account information, recommends apps and more, as an icon on their Sprint mobile device.

Serve is an easy-to-use digital payment platform that unifies online, offline and mobile payment options into a single account. Serve can be funded from a bank account, debit, credit or charge card, or by receiving money from another Serve account. Sprint customers who register and qualify for a Serve account will be able to use their Serve card for making purchases at American Express participating merchants, paying their Sprint mobile bill, and in the future, for redeeming offers on goods and services. Across carriers, Serve supports Android and Apple iOS operating systems and will continue to be developed to support additional operating systems including Microsoft and RIM operating systems.

"Sprint is a forward thinking company that is constantly looking for new ways to simplify processes and provide the best solutions for its customers. Their decision to promote Serve in the Sprint Zone is a reflection of that philosophy and we are excited to move forward with this relationship" said David Messenger, Executive Vice President, Enterprise Growth, American Express. "We believe that customers will benefit greatly from taking advantage of Serve's functionality as a quick, user-friendly way for tackling the often tedious task of paying bills and making mobile payments"

"Sprint is pleased to join with American Express to offer this convenient tool for sending and receiving money to friends, paying bills and making purchases online" said Kevin McGinnis, vice president-Product Platforms, Sprint. "Our relationship with American Express is a great example of Sprint's open enablement strategy. Sprint brings practical, easy-to-use apps and services to our customers from trusted brands like American Express"

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

19. EBAY'S PAYPAL UNVEILS MOBILE-PAYMENT SYSTEM THAT USES NFC
Source: Businessweek (07/13)

EBay Inc.'s PayPal unit unveiled a service that will let users make payments by tapping their mobile devices together, joining rivals in the market for wireless transactions using near field communication technology.

The PayPal mobile application will be available later this summer for Samsung Electronics Co.'s Nexus S phones, based on Google Inc.'s Android operating system. It will be offered more widely as NFC is included in more handsets, Laura Chambers, senior director of PayPal Mobile, said in an interview today.

EBay, the world's largest online marketplace, joins a growing crowd of companies planning to broaden the availability of payment options via NFC, including handset makers such as Apple Inc. and financial institutions like Visa Inc. As the technology gains traction, consumers may soon be able to pay for goods at a retail store, redeem coupons and split a restaurant bill with the touch of an NFC-equipped mobile phone.

"There's a lot of technologies evolving around mobile payments, and NFC is just one of those," Chambers said in a phone interview. "What we're doing is testing out NFC. We're getting it into the markets, we're getting it into the hands of consumers and we'll see how it goes."

NFC is a technology that can beam and receive information at short distances. Consumers worldwide will spend almost $50 billion using their mobile phones through NFC technology by 2014, Juniper Research said in a report last month.

EBay's Acquisitions
EBay is investing in new smartphone services as PayPal, an online-payment processor, faces growing competition. Last year, San Jose, California-based EBay acquired mobile comparison- shopping applications Red Laser and Milo, and on July 7 it agreed to buy closely held mobile-payment provider Zong Inc. for $240 million in cash.

The company now has 8 million users conducting transactions on mobile devices, Chambers said. PayPal's new NFC feature lets users instantly transfer funds between them by tapping two handsets together.

Apple plans to introduce NFC features in its iPhone and iPad tablet, Richard Doherty, director of consulting firm Envisioneering Group, said in January. Nokia Oyj and its software partner Microsoft Corp. also are working on NFC functionality.

Google kick-started adoption of NFC features last year, with a service called Hotpot in Portland, Oregon. Vendors such as Voodoo Doughnut have put special tags on their doors that can be tapped with an enabled phone to give users access to reviews, menus and directions.

20. SUCCESSFUL QUALIFICATION OF THE COLLIS GLOBALPLATFORM UICC COMPLIANCE TEST SUITE
Source: Collis (07/18)

Collis has achieved GlobalPlatform qualified status for a specialised (SIM) test tool, after successful completion of the GlobalPlatform TestFest process. Collis GlobalPlatform UICC Compliance Test Suite can be used to test whether a UICC smart card aligns with the GlobalPlatform Card Specification v2.2 UICC Configuration. The Collis product has now officially been qualified by GlobalPlatform. This means that test labs can use the Collis Test Suite to offer GlobalPlatform certification services to companies that manufacture UICC smart cards. GlobalPlatform will list UICCs that successfully pass through the Collis GlobalPlatform UICC Compliance Test Suite as 'qualified'.

To achieve GlobalPlatform qualified status, test tools must support GlobalPlatform's functional requirements, and competently run the test suite on a number of products during a GlobalPlatform TestFest. Compliance of UICCs to GlobalPlatform's configuration is essential to achieve a uniform infrastructure allowing third parties to load secure applications on a UICC (SIM card).

GlobalPlatform is a cross industry, not-for-profit association which identifies, develops and publishes specifications which facilitate the secure and interoperable deployment and management of multiple embedded applications on secure chip technology. Its proven technical specifications are regarded as the international industry standard for building a trusted end-to-end solution which serves multiple actors and supports several business models.

Dirk Jan van den Heuvel, CEO at Collis, said: "We are pleased to have achieved qualified status for our Collis GlobalPlatform UICC Compliance Test Suite through the GlobalPlatformTestFest process and we are excited to add yet another product to our broad range of test tools currently available. With our strong focus on the mobile market, we view this qualification as an essential part of our business to strengthen our position as the leader in the field of secure mobile transactions."

Kevin Gillick, Executive Director at GlobalPlatform, added: "We are delighted that Collis has shared its expertise and participated in the compliance program certification process, as we believe this important work will lay the foundation in realising long-term interoperability within the smart card market. On behalf of GlobalPlatform, I would like to congratulate Collis on achieving GlobalPlatform qualified status for its Collis GlobalPlatform UICC Compliance Test Suite."

Collis and GlobalPlatform are members of ACT Canada; please visit http://www.collis.nl & http://www.globalplatform.org.

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.