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August 26, 2004 |
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Welcome to the August edition of ACTion News.
This complimentary service is provided by
ACT Canada; "building an informed marketplace".
It is also available in the Resource Centre
of our web site. Please feel free to forward
this to your colleagues.
If you would prefer to receive this newsletter
in plain text please email your request to
andrea(AT)actcda.com.
This newsletter has been sponsored by ACT
Canada's 2004 Partner:
A Coinamatic Company
IN THIS ISSUE:
1. Editorial Comment
2. McDonald's Expands Cashless Payment Options
3. Keycorp In Wireless
Payment System For
Canadian Taxis
4. First Smart Cards Dealt
5. New Gift & Pre-Paid
Stored Value Card
Products Integrate With
Loyalty System
6. Contactless Payment
Provider Looks Beyond
Canada
7. Axalto Offers New Hybrid
ID Card
8. Olympics Test New European
Health Card
9. Hong Kong Rolling Out
More Smartcards
10. Contract Awarded For
Prototype Of Transportation
Workers' ID
11. Smart Card Alliance
Invites Nominations
For Outstanding Smart Card
Achievement Awards
12. Additional Stories
Available In Members
Only Section
ACT CANADA WOULD LIKE TO THANK OUR NEW & RENEWING MEMBERS:
PRINCIPAL:
Giesecke & Devrient
~ member since 1990
ASSOCIATE:
The Gooderham Group ~ member
since 2003
UPCOMING EVENTS:
ACT Canada Members receive
discounts at the
following event:
ACT Canada presents
Cardware 04 - Innovation & Your Bottom
Line
Sept. 23 & 24, 2004
OBA Conference Centre,
Toronto, ON, Canada
Solution Centre Sponsors
include: Coinamatic;
Giesecke & Devrient;
Ingenico; MasterCard;
SCM Microsystems; Smart
Chip Technologies
& William Exline Inc.
Buy 1 Seat Get 1 ½ price
early bird discount
expires on August 31, 2004!
For more details visit http://www.actcda.com/calendar/symposium.htm
Smart Cards in Transport
- 5th Annual International
Conference
September 28 - 30, 2004
Paris, France
http://www.urban-transport.com
Inside ID: The Identification
Solutions Mega
Show
November 15 - 17, 2004
Washington, DC, USA
http://www.insideid.com
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1. EDITORIAL
Source: Catherine Johnston, President &
CEO, ACT Canada (08/25) |
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Silence: Golden or Very Costly?
The biggest barrier
to smart cards in
Canada
is not cost, but
the absence of an
open stakeholder
forum. We are going
to change that.
Members of the retail
community and public
sector tell us it's
time to put a structure
in place to meet
their needs for an
ongoing
dialogue and access
to information. Initially
there will be a Retailer's
Stakeholder forum
and a Government
forum where these
groups
will work with other
stakeholders. In
the
retailer forum, financial
sector acquirers
and issuers can join
with card technology
industry representatives
to help retailers
gain an understanding
of the options open
to them. The government
forum should cross
all levels of government
and include members
of the industry.
There is a role for
retailers
and the financial
sector in this forum
when
the discussion turns
to the delivery of
electronic
benefits.
ACT Canada has often
brought groups together
over past years to
further our collective
understanding of
specific issues.
Now as
we move further into
the pioneering stage
of the Canadian market,
it is time to bring
together interested
parties to make the
best
use of opportunities
and work through
obstacles
through this ongoing
dialogue.
Information can be
shared among all
parties
and ACT Canada will
facilitate and support
the forums, but it
is the stakeholders
themselves
who will set their
own agenda. These
forums,
along with the National
Card Advancement
Committee, will assist
ACT Canada in meeting
our goal of advancing
an informed, open
market.
As stakeholders,
you are all invited
to add
your voices to the
ACT Canada Stakeholder
Forums. To get involved
you can do one of
three things. There
will be forum sessions
at Cardware 04, September
23rd and 24th for
registrants. We will
also be taking applications
at the ACT Canada
booth in the Solution
Centre
at the conference.
It is open to the
public
on Thursday September
23rd from 10 am to
6:30 pm.
I'd like to take
this opportunity
to invite
you to join us in
the Solution Centre
for
a networking reception
from 4:30 to 6:30
on the 23rd. It is
at the Ontario Bar
Association
Conference Centre,
20 Toronto Street,
Suite
200, Toronto (2 blocks
east of Yonge Street,
North of King Street).
In the event that
you cannot join us
there, please contact
me by email at catherine(at)actcda.com.
Progress comes from
sharing ideas, solutions
and interests.
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2. McDONALD'S EXPANDS CASHLESS PAYMENT OPTIONS
FOR CUSTOMERS WITH MASTERCARD PAYPASS
Source: MasterCard (08/18) |
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'McDonald's announced an agreement to accept
MasterCard PayPass (contactless payment option
utilizing radio frequency technology) at
select McDonald's restaurants in the U.S.
Participating McDonald's restaurants in Dallas
and the New York metropolitan area will implement
MasterCard PayPass later this year, with
additional locations to be added in 2005.
McDonald's currently
accepts cashless
payment
options at more than
4,500 restaurants
in
the United States
and expects to increase
up to 8,000 by the
end of 2004. McDonald's
has more than 13,500
restaurants in the
U.S.
"In today's
fast-paced world,
people
count on the convenience
and utility of electronic
payment options.
MasterCard PayPass
simplifies
the customer experience,"
said Fred
P. Gore, senior vice
president, North
America
Acceptance, MasterCard
International. "We're
thrilled to be working
with McDonald's to
offer a place for
MasterCard cardholders
to use the latest
payment innovation
at their
favorite restaurant."
Is PayPass coming
to Canada?
"We're looking
forward to introducing
MasterCard PayPass
in Canada over the
next
year. MasterCard
Canada is in active
discussions
with merchants in
sectors for which
MasterCard
PayPass is a natural
solution - where
payment
needs to be fast
and simple. Those
sectors
include: quick service
restaurants, oil
and
gas, movie theatres,
convenience stores,
parking facilities
and pharmacies. We're
also looking at other
categories such as
grocery, stadiums
and public transit."
Nagesh Devata, Vice
President, Commercialization,
MasterCard Canada
MasterCard is a member of ACT Canada, and
will be participating in the Cardware 04
Solutions Centre. For more information visit
http://www.mastercard.com.
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3. KEYCORP IN WIRELESS PAYMENT SYSTEM FOR
CANADIAN TAXIS
Source: Keycorp (08/10) |
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Keycorp Canada Inc announced an agreement
with Digital Dispatch Systems Inc. to introduce
an in-vehicle solution for accepting debit
card payments in Canadian taxis.
The two companies
have developed the
solution,
called SmartPay,
to allow Canadian
taxi companies
to accept real-time
payments using Interac,
Canada's national
debit card service.
The solution uses
a taxi's existing
radio
system to securely
transmit wireless
data
to authorise card
payments. Until now,
Canada's
only in-vehicle wireless
point-of-sale solutions
were based on cellular
networks and required
the merchant to pay
airtime connection
fees.
Taxis could also
accept manual credit
card
payments.
Keycorp worked with
Digital Dispatch
Systems
to integrate the
Keycorp K23 payment
terminals
into the taxi radio
dispatch terminal.
"SmartPay can
help taxi companies
across
Canada to gain market
share" said
Rob
Milne, Vice President
of Marketing for
Digital
Dispatch. "Not
only can our customers
provide better service,
but debit card transaction
fees are typically
much lower than credit
card fees, so they
also save money."
BlueBird Cabs Ltd,
based in Canada,
has already
signed a contract
with Digital Dispatch
Systems
to purchase the SmartPay
system for its fleet
of taxi cabs.
Paul DeRosse, Managing
Director Keycorp
Canada
Inc., said: "Canadians
have been pushing
taxi companies to
introduce mobile
debit
payments for some
time and Keycorp
is proud
to be partnering
with Digital Dispatch
to
make this a reality."
Keycorp is a member of ACT Canada. For more
information please visit their web site at
http://www.keycorp.net.
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4. FIRST SMART CARDS DEALT
Source: ICMA Daily News (07/28) |
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Australians will from today have access to
a new-generation Medicare card which can
be loaded with their personal medical history.
The new Medicare
smart cards will
store basic
information, such
as childhood immunisation
records, which could
be viewed at Medicare
offices or on the
Internet.
In the future, the
cards will be linked
to
a central database
so that when swiped
at
a GP clinic, hospital
or in an ambulance
the doctor or paramedic
has access to the
patient's medical
history.
Health Minister Tony
Abbott launched the
cards in Tasmania,
where they will first
be available before
further trials in
South
Australia and north
Queensland in preparation
for a national roll-out
next year.
Mr Abbott said the
optional cards would
reduce
mix-ups and help
save lives. "About
3600 hospital deaths
per year are attributed,
in part, to inadequate
health information,"
he said.
He said the scheme
was a more sophisticated
version of the bracelets
worn by diabetics.
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5. NEW GIFT & PRE-PAID STORED VALUE CARD
PRODUCTS INTEGRATE WITH LOYALTY SYSTEM
Source: ICMA Daily News (08/09) |
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Smart Chip Technologies is pleased to announce
two new products: e-llegiance(TM)-powered
Gift Cards and Pre-Paid Stored Value Cards
that will integrate seamlessly with its existing
end-to-end Loyalty Program Management Solution.
The Gift Cards and
Pre-Paid Stored Value
Cards will use the
same technology infrastructure
as the SCTN Loyalty
System, including
Loyalty
Central(TM) and the
e-llegiance(TM) engine,
so banks and merchants
can offer flexible
bonuses and restrictions,
and create coalitions
of merchants in numerous
ways in order to
boost their business.
Like (their) current
Loyalty solution,
the new products
work with
a merchant's present
card and point-of-sale
(POS) system. Different
types of cards and
devices, such as
magnetic stripe and
smart
cards, can be mixed
within a single program,
making it easy for
banks and merchants
to
upgrade to smarter
devices in increments
as small as one card
or POS terminal at
a
time.
Smart Chip Technologies is a member of ACT
Canada, and will be participating in the
Cardware 04 Solutions Centre. For more information
please visit http://www.sctn.com.
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6. CONTACTLESS PAYMENT PROVIDER LOOKS BEYOND
CANADA
Source: CardTechnology (08/16) |
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Toronto-based Dexit Inc. is having preliminary
discussions about expanding its pay-with-a-wave
system beyond Canada, according to Renah
Persofsky, president and CEO. She told analysts
that she was headed for Europe for talks,
but emphasized that no deal was imminent.
Persofsky noted that Dexit has formed partnerships
in Canada with large organizations that have
relationships with many consumers and merchants,
including Bell Canada, mobile phone company
Telus Mobility, and banks TD Canada Trust
and National Bank of Canada. "We'll
be looking for those types of merchants in
the European market and elsewhere,"
Persofsky said. She said 32,000 consumers
now have Dexit keyfobs or stickers for their
cell phones that they can use to pay at 250
merchant locations in downtown Toronto. She
emphasized coffee shops as a key to making
Dexit a prepaid alternative to cash in low-value
transactions. Dexit plans to expand throughout
the Toronto area in coming months and is
making its service bilingual so that it can
move into French-speaking areas of Canada.
A company spokesperson says Dexit initially
is considering expansion into Europe and
Latin America. The U.S. market "is further
down the road," she says.
TD Canada Trust is a member of ACT Canada.
For more information please visit http://www.td.com.
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7. AXALTO OFFERS NEW HYBRID ID CARD
Source: CardTechnology (08/19) |
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Axalto has introduced a new method for putting
contact and contactless chips into a smart
card that the company says avoids the printing
problems of other hybrid cards. The card
contains a module 30% bigger than the standard
protective casing of a contact smart card
that also allows room for the contactless
chip. With both chips under the card's contact
plate, the rest of the card is available
for printing, Neville Pattinson, director
of business development and technology, tells
Card Technology. When the contactless chip
is placed apart from the contact chip, he
says the card's surface is uneven, which
interferes with the dye sublimation printing
often used on plastic cards. Pattinson says
putting the contactless chip into the same
module also makes the card more durable and
tamper-resistant. He says the card is targeted
at government and corporate ID card programs,
although Axalto first developed the module
for a contact/contactless transit smart card
project in Europe.
The introduction comes at a time when several
U.S. government agencies are considering
whether to add a contactless chip to their
smart card IDs. Among them is the Department
of Defense, which until now has only put
a contact chip on the more than 5 million
Common Access Cards it has issued to military
and civilian personnel. Sources say a decision
is expected in October. While smart card
vendors offer dual-interface chips that allow
a single chip to be accessed through either
a contact or contactless interface, some
U.S. officials remain concerned that data
on the chip could be accessed without authorization
through the contactless interface. Thus,
insiders say any contactless card the U.S.
government issues in the near future is likely
to be on a hybrid card, with separate contact
and contactless chips so that data on the
contact chip could not be accessed through
the contactless radio frequency interface.
Axalto is a member of ACT Canada. For more
information please visit http://www.axalto.com.
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8. OLYMPICS TEST NEW EUROPEAN HEALTH CARD
Source: CardTechnology (08/23) |
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Besides hosting the Olympic Games, Athens
and Saloniki, Greece, are serving as test
sites for a new health card system designed
to allow Europeans to obtain care throughout
the European Union. The system is expected
to result in all of the 350 million citizens
of the European Union carrying smart cards
with their health and eligibility data by
2008 and the deployment of at least 2 million
smart card readers at hospitals, pharmacies
and doctor's offices.
In Greece, 14 hospitals have been equipped
with smart card readers from U.S.-based SCM
Microsystems so they can read chip cards
already in use. These include the 60 million
cards issued to French citizens and the 80
million German health chip cards, as well
as the first of the 7.5 million smart cards
that Austria is beginning to issue its citizens.
The health care project, called Netc@ards
aims to replace paper forms that prove eligibility
for health care with electronically readable
cards.
The European law allows countries to use
magnetic stripe cards as well as chip cards,
but the amount of data required is expected
to lead most countries to issue chip cards,
says Carlo Leonardi, project manager for
the health care smart cards in the Lombardy
Region of northern Italy, one of the regions
participating in the Netc@ards project. He
says Lombardy's smart cards with 32 kilobytes
of rewriteable memory cost about 7 euros
to buy, print, initialize and distribute.
Lombardy would like to spread the cost by
using the same card for such other government
services as paying taxes or parking fees
or as a library card, he says.
The region has distributed about 1.5 million
smart cards and expects to complete the rollout
to its 9.2 million citizens by the end of
2005, Leonardi says. Germany, which today
issues a memory card that merely stores data,
is moving to a higher-end microprocessor
card that will also store prescriptions and
other health data, says Manfred Müller, director
of strategic marketing at SCM Microsystems.
He says Germany alone plans to deploy some
500,000 smart card readers for the health
care project.
SCM Microsystems is a member of ACT Canada,
and will be participating in the Cardware
04 Solutions Centre. For more information
please visit http://www.scmmicro.com.
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9. HONG KONG ROLLING OUT MORE SMARTCARDS
Source: ICMA Daily News (07/28) |
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Keycorp Ltd said the Hong Kong government
had begun the second phase of a rollout of
new identity cards which use the company's
technology. Keycorp has signed a contract
to supply the Hong Kong government with a
further 4.7 million chips for the Smart Card
Identity Card System (SMARTICS), having already
supplied it with over two million chips last
year.
The Hong Kong government, which has used
identity cards since 1949 as a deterrent
against illegal immigration, began issuing
its citizens with new ID cards based on Keycorp
technology in August 2003. The new cards
are being issued to replace the existing
laminated plastic photo ID cards.
Keycorp said the multi-function smart ID
card contained the photograph, basic identity
details and fingerprint biometric of each
cardholder, and could also contain an electronic
certificate for electronic transactions.
In the first phase of the program, the smart
cards were provided to new arrivals, people
who had lost or damaged their existing cards,
people who wished to amend their existing
details and police and other government officials,
Keycorp said.
It said the second phase would address the
remainder of Hong Kong 's citizens, progressively
replacing their cards in a rolling program
based on birth dates.
Keycorp is a member of ACT Canada. For more
information please visit http://www.keycorp.net.
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10. CONTRACT AWARDED FOR PROTOTYPE OF TRANSPORTATION
WORKERS' ID
Source: CardTechnology (08/12) |
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The U.S. Transportation Security Administration
has awarded a $12 million contract for the
prototype phase of the Transportation Worker
Identification Credential to BearingPoint
Inc. The seven-month contract will cover
the final testing of a smart card identification
card that's designed to improve security
at seaports, airports, rail, pipeline, trucking
and mass transit facilities. The card creates
a nationwide credential intended to prevent
unauthorized persons from gaining access
to secure areas. The goal of the prototype
is to analyze the different processes involved
in collecting transportation worker data,
performing background checks, issuing credentials
and studying the day-to-day use of the cards,
the TSA states in a release Some 150,000
maritime, rail, aviation and ground transportation
workers are expected to participate in the
prototype program at 40 sites in six states.
The TWIC looks to have the largest U.S. government
smart card ID program with as many as 12
million cards expected to be issued.
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11. SMART CARD ALLIANCE INVITES NOMINATIONS
FOR OUTSTANDING SMART CARD ACHIEVEMENT AWARDS
Source: Smart Card Alliance (08/05) |
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The Smart Card Alliance announced that it
would begin accepting nominations for the
organization's Outstanding Smart Card Achievement
(OSCA) awards. The Alliance will present
three separate OSCAs recognizing those who
have significantly impacted and influenced
the market for smart cards in North America.
The awards will be presented at the Smart
Card Alliance Fall Annual Conference on October
18-20, 2004 in San Francisco, California.
This will be the first year that the Smart
Card Industry will present an OSCA award
to an individual for leadership and accomplishments
in the smart card industry. The other two
awards will be presented to organizations.
Submissions are due by September 17th, 2004.
Any North American-based organization or
individual is eligible to win an OSCA award.
The first award category is for end user
or issuing organizations which have not only
deployed smart card technology throughout
their organization or client base, but have
also helped boost the industry through outreach
and communication to peer organizations about
benefits and lessons learned regarding the
deployment of smart cards. The second category
is for North American supplier organizations,
such as product and solution vendors or integrators,
which have delivered outstanding solutions
for practical use by end users, bringing
benefits such as increased operational efficiencies,
increased security and/or cost savings. The
third award is to an individual who stands
out for his or her leadership, vision, support
and commitment to the smart card industry
in North America.
A judging panel, consisting of North American
industry leaders along with individuals from
the analyst and media communities, will evaluate
the OSCA applications and select the winners.
The criteria for evaluation of the organizations
include:
- The level of industry outreach and impact
- The success of solution implementations
- The amount and level of benefit the deployment
has delivered to the end user community
The criteria for evaluation of the individual
will include:
- Years of service
- Outstanding contributions
- Record for contributing to the industry
for the general good of the industry as a
whole
The nominated smart card applications must
meet the following criteria for the organization
or individual to be eligible to receive an
OSCA:
- Application must use contact smart cards,
contactless smart cards, smart chip-based
tokens or other similar-functioning integrated
circuit devices
- Application must have completed the pilot
phase and be in pre-production or production
- Application must have been implemented
in the North American marketplace, including
Canada, Mexico or the United States
The Smart Card Alliance is a member of ACT
Canada and a founding member of ISCAN (International
Smart Card Associations Network). For more
information please visit http://www.smartcardalliance.org.
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| 12. ADDITIONAL STORIES AVAILABLE IN ACT CANADA
MEMBERS ONLY SECTION |
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These additional stories will now be available
to ACT Canada members via the Members Only
section of our web site. Click on the link
below to access this section. If you are
a member of ACT Canada but do not have your
login details please contact me - andrea(AT)actcda.com.
http://www.actcda.com/members-only/news.htm
DATAMONITOR PLC: 121% INCREASE IN COUNTERFEIT
CARD FRAUD
Source: PRNewswire-FirstCall (08/25)
A new report reveals that counterfeit card
fraud rose by 121% in the last five years,
from US$95.6 million in 1999 to over US$211
million in 2003…
MASTERCARD AND VISA CO-OPERATE TO ALIGN PIN
ENTRY DEVICE (PED) SECURITY REQUIREMENTS
GLOBALLY
Source: Visa (08/05)
MasterCard International and Visa International
announced they are co-operating to align
PIN Entry Device (PED) security requirements
and approval procedures...
BANKS LOOK TO NEW ALL-IN-ONE IC CARD TO DRAW
CLIENTS
Source: ICMA Daily News (07/30)
The Asahi Shimbun Major banks are introducing
multifunction integrated circuit (IC) cards
to attract new clients and drum up more business
with existing account holders. The new smart
cards work as a bank card, a credit card,
electronic money and identity cards...
DISCOVER & PAY BY TOUCH SIGN AN AGREEMENT
TO FOSTER BIOMETRIC PAYMENTS
Source: ICMA Daily News (08/20)
Discover Financial Services and Pay By Touch
announced that they have formed a strategic
alliance to drive adoption of biometric payments
and to increase use of the Discover card…
CONTACTLESS CARD STANDARDS: DECODING ISO
14443, 15693, & 10536
Source: Contactless News (08/03)
In any review of contactless technology,
it quickly becomes apparent that there are
multiple technology choices-some considered
industry standard and others that are proprietary
to a specific vendor…
CONTACTLESS TEST SHOWS COMPATIBILITY IS STILL
A PROBLEM
Source: CardTechnology (08/06)
Governments around the world are preparing
to add contactless smart card chips to their
passports to hold biometric data. But making
chips and readers from different vendors
work together is proving to be a problem
even though the products conform to the international
standard known as ISO 14443…
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| ACT Canada is an international non-profit
association for the advancement of card technologies.
We work on behalf of our members to promote
the awareness, understanding and use of all
advanced card technologies; including optical,
smart, capacitive and emerging technologies.
If you would like to learn more about ACT
Canada membership please visit http://www.actcda.com or contact our office at (905) 426-6360. |
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| Please forward any comments, suggestions,
questions or articles to andrea(AT)actcda.com.
If you would like to be removed from our
newsletter distribution list please reply
to this email with the word "REMOVE"
in the subject field. Please note that articles
contained in this newsletter have been edited
for length, and are for information purposes
only. |
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Andrea McMullen
AVP
ACT Canada
tel: 905 426-6360 ext. 24
fax: 905 619-3275
email: andrea(AT)actcda.com
web: www.actcda.com
mail: 85 Mullen Drive, Ajax, ON, L1T 2B3 |
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