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November 30, 2006 |
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Welcome to the November/December 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.
IN THIS ISSUE:
1. Editorial Comment
2. Members of The Canadian Payment Industry
Announce Chip Technology Trial
3. CUETS teams with Bell
ID & Aconite
for switch to EMV
4. RBC Contracts ACI for
Chip Migration
5. Gemalto Provides 1st
Visa Java EMV Cards
in Hong Kong
6. Tap & Go at Rabba
Fine Foods with
MasterCard PayPass
7. Collis Approved As Interac
Test Tool Vendor
8. Oberthur's Innovative
VersaFOB Certified
as Approved MasterCard
PayPass 3D Fob
9. NXP Helps Transform
France's Health Care
System
10. Visa UK Plans Contactless
Rollout in
2007
11. MasterCard Leads Nation's
1st Market
Trial of Personalized NFC-Enabled
Mobile
Phones
12. Gemalto Introduces
World's 1st Banking
Card Meeting Visa Global
Contactless Specification
13. Kreditkort Iceland
& StepNexus Enable
MULTOS Cardholders to Download
Two Factor
Authentication Application
14. Cardis Low-Value Payment
Application
Available On Keycorp MULTOS
& MULTOS
Step/One Platforms
15. PayPass Hits Mexico
16. Additional Stories
Available In Members
Only Section
ACT CANADA THANKS OUR NEW & RENEWING
MEMBERS:
PRINCIPAL:
Giesecke & Devrient ~ member since 1990
GENERAL:
Scotiabank ~ member since 1997
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1. EDITORIAL COMMENT
Source: Catherine Johnston, President &
CEO, ACT Canada (11/30) |
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Out with the Old, In with the New
This is the last
e-news of 2006, so
let's
review the year's
highlights and gaze
into
the crystal chip
for 2007.
EMV and e-Passports
dominated the chip
news,
and national ID cards
the optical news,
in
2006. In Canada the
financial services
sector
continues to work
toward issuing chip
cards
in next year, while
determining ways
to optimize
their investment.
In 2007, there will
be
a greater focus on
value added EMV applications
and activities in
the second half as
many
key players participate
in the Kitchener/Waterloo
technology trial.
From a strategic
perspective,
the next 18 months
will be the most
interesting
we have seen related
to chip in Canada.
The
emerging national
chip infrastructure
will
be the foundation
for a more competitive
marketplace related
to payment cards.
On the government
side, the United
States
announced controversial
plans to use long-range
RFID technology for
cross border (Canada,
USA and Mexico) identification.
Now in the
public consultation
phase, it remains
to
be seen how privacy
and security factions
will react. Assurances
that all personal
data will be stored
on a central database
would be better received
if network and data
access were secured
through the use of
multi-factor
authentication that
includes smart cards.
Locally, the GTA
fare project continues
to
progress and 2007
will see the launch
of
this very important
project.
We hope that 2007
will bring a recognition
by all governments
of the compelling
need
to upgrade the security
of identity documents,
as well as all cards
that link citizens
to
government related
programs. This has
already
started with e-Passports
and Canadian Permanent
Resident cards, but
birth certificates,
driver's
licenses, health
cards and many others
can
no longer use technology
that is easily duplicated
or altered.
Kudos to the financial
sector for leading
the way!
We hope that in 2007
all companies recognize
the need to upgrade
their network and
data
access security to
meet the growing
need
to protect consumer
and corporate information.
Again, multi-factor,
chip card solutions
are needed.
As a last note, please
mark June 21st on
your calendar for
Cardware 07 in Ottawa
and
June 25th for Toronto.
We will focus on
the
new opportunities
and issues of the
Canadian
market.
We wish you the very
best as we all go
into
this new year. Thank
you for all your
interest
in ACT Canada and
our market place
and your
support.
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2. MEMBERS OF THE CANADIAN PAYMENT INDUSTRY
ANNOUNCE CHIP TECHNOLOGY TRIAL
Source: Canada Newswire (11/29) |
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Members of the payment card industry - Interac
Association, MasterCard Canada, Visa Canada
Association, and many of their respective
card issuers and processors - announced their
commitment to conduct a chip technology trial
in Kitchener-Waterloo, Ontario. The trial
will allow participants to test the infrastructure
and ensure interoperability of systems and
devices in a controlled manner prior to each
participant's national roll-out plan.
The first chip transactions
(ed: of this
trial) will occur in the
autumn of 2007,
with card issuance and
device deployment
increasing over the months
following, reaching
a sufficient volume for
research by March
2008. The migration to
chip card technology
represents a significant
change in the Canadian
payments landscape and
this multi-participant
trial is an important step
in ensuring a
smooth transition for all
participants in
the electronic payments
system.
Interac Association, MasterCard Canada and
Visa Canada Association are members of ACT
Canada; please visit http://www.interac.org; http://www.mastercard.ca & http://www.visa.ca.
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3. CUETS TEAMS WITH BELL ID & ACONITE
FOR SWITCH TO EMV
Source: Finextra (11/06) |
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A national supplier of advanced payment systems
and services to credit unions, caisses populaires,
cardholders, merchants and clients in Canada,
CUETS is working with Bell ID and Aconite
to implement EMV technology to its existing
portfolio of card services.
As part of the relationship
with CUETS, Aconite
is delivering its
EMV Script Processor
(ESP)
solution, an easy-to-deploy
solution that
enables the generation
and delivery of updates
or 'scripts' to an
EMV card base. Aconite's
ESP solution was
chosen in partnership
with
Bell ID, and is in
addition to a current
consulting engagement
between Aconite and
CUETS that began
in the summer of
2006 to
support the organization
in their migration
to EMV - incorporating
an initial EMV strategy
through training,
testing, implementation
and exploitation
of their smart card
program
going forward.
In line with CUETS'
commitment to continually
provide its customers
with new and cutting
edge payment solutions,
ESP will enable CUETS
to deliver customer
service scripts to
manage
the use of the chip
card after it is
issued.
The solution also
provides a flexible
platform
for the introduction
of innovative card
products
in the future.
The program will
enable CUETS' customers,
primarily Canadian
credit unions and
caisses
populaires, to quickly
and easily migrate
to EMV card issuing,
avoiding the costly
replacement of legacy
systems and allowing
them to be amongst
the first financial
institutions
in Canada to migrate
to EMV. It will also
help CUETS maximize
their EMV investment
at each stage of
the migration life
cycle.
Aconite and CUETS are members of ACT Canada;
please visit http://www.aconite.net & http://www.cuets.ca.
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4. RBC CONTRACTS ACI FOR CHIP MIGRATION
Source: Business Wire (11/17) |
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Royal Bank of Canada is using software from
ACI Worldwide to migrate its credit and debit
cards to EMV.
RBC will use ACI's
Smart Chip Manager
software
for its chip card
migration program,
ACI
says. Smart Chip
Manager is a card
management
system specifically
designed for EMV
cards,
enabling issuers
to add applications
such
as loyalty and rewards
to a chip card.
ACI says that RBC
will be conducting
internal
chip card trials
in late 2007 and
that it
will use Smart Chip
Manager to develop
a
number of "innovative"
card products.
However, RBC declined
to comment on its
EMV
rollout plans.
ACI Worldwide is
a member of ACT Canada;
please visit http://www.aciworldwide.com.
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5. GEMALTO PROVIDES 1st VISA JAVA EMV CARDS
IN HONG KONG
Source: ICMA Daily News (11/17) |
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Gemalto announced that it has delivered the
first Visa Java EMV cards to DBS Bank, an
Asia banking specialist and one of the leading
card issuers in Hong Kong. This project marks
a significant milestone for smart card development
in Hong Kong's banking industry.
In order to meet
the latest Visa's
security
requirements, DBS
Bank chose to partner
with
Gemalto in implementing
its ComPass Visa
card program. The
card is highly secure
and
has an open platform
operating system
that
enables post issuance
application downloads
and loyalty functions.
Additionally, the
card provides a unique
attraction for users
by featuring a translucent
card body. With
these Visa Java EMV
cards issued by DBS
Bank
currently in circulation,
this migration
to the EMV standards
will kick off the
largest
exercise of its kind
in Hong Kong market.
Gemalto and Visa Canada Association are members
of ACT Canada; please visit http://www.gemalto.com & http://www.visa.ca.
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6. TAP & GO AT RABBA FINE FOODS WITH
MASTERCARD PAYPASS
Source: MasterCard (11/27) |
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MasterCard Worldwide announced that Rabba
Fine Foods, Your Neighbourhood Marketplace,
will begin accepting MasterCard PayPass at
its 30 stores across the Greater Toronto
Area. Rabba customers will be able to purchase
great food and a host of other items by simply
tapping their PayPass-enabled MasterCard
card on a specially equipped payment terminal.
Contactless payment technology, powered by
MasterCard PayPass, provides consumers with
a quick and convenient alternative to cash
for their everyday small purchases, without
the hassle of fumbling for cash or handing
a card over to the cashier.
"MasterCard
PayPass is quickly
becoming
a favourite among
merchants because
contactless
payments are simpler
and faster than cash,
thereby speeding
consumers through
the payment
process," said
Nagesh Devata, VP,
Acceptance
Development and Product
Solutions, MasterCard
Canada. "Our
research shows that
PayPass
cardholders display
progressive loyalty
to
PayPass merchants
and use their PayPass-enabled
cards more often
than traditional
payment
cards."
MasterCard Canada is a member of ACT Canada;
please visit http://www.mastercard.ca.
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7. COLLIS APPROVED AS INTERAC TEST TOOL VENDOR
Source: Collis (11/01) |
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Collis is pleased to announce that Interac
Association in Canada has formally approved
Collis as a Test Tool Vendor for the Interac
Association ICC Applications. Collis' INTERAC
ICC Functional Testing Tool (INTERAC ICC
FTT) enables debit card issuers to fully
self-certify with Interac Association.
Collis' INTERAC
ICC FTT is
fully automated
and allows
users to test
ICC application's
functionality.
Collis' testing
tool produces
an in-depth
report with
either a 'passed'
or a 'failed'
verdict. A
report with a 'failed'
verdict contains
the errors
in detail, enabling
the Interac
Association
member to correct
the errors
in the chip.
Collis and Interac Association are members
of ACT Canada; please visit http://www.collis.nl & http://www.interac.org.
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8. OBERTHUR'S INNOVATIVE VERSAFOB CERTIFIED
AS AN APPROVED MASTERCARD PAYPASS 3D FOB
Source: ICMA Daily News (11/03) |
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The smallest-ever card-based contactless
payment fob, called VersaFOB, was certified
by MasterCard Worldwide as an approved PayPass
product, announced Oberthur Card Systems.
This new contactless payment form factor
is just 28.5 mm by 23.6 mm (1.125" x
0.93") in size. The sub-card is snapped
out of a full size card at the end of the
production process and then inserted into
a key-chain casing.
Since the VersaFOB casings do not contain
any of the electronics, they can be inexpensively
customized to allow issuers to differentiate
their fobs from competitors' products. This
specific antenna was designed extremely small
so it could easily be used in larger VersaFOBs
- either larger sub-cards or larger casings.
Oberthur Card Systems' VersaFOB has several
advantages:
o The sub-card is secure inside the casing,
giving it a robust connection to the keychain
and minimizing instances of breakage and
loss;
o Three-dimensional devices cannot be manufactured
or personalized using traditional equipment
and processes, making them more expensive
to produce and slowing time to market.
Oberthur Card Systems and MasterCard Canada
are members of ACT Canada; please visit http://www.mastercard.ca & http://www.oberthurusa.com.
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9. NXP SEMINCONDUCTORS HELPS TRANSFORM FRANCE'S
HEALTH CARE SYSTEM WITH SMART CARD TECHNOLOGY
Source: SecureIDNews (11/08) |
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NXP Semiconductors smart card chip technology
has been selected for use in the new French
health card, Sesam-Vitale2. The contact card
allows holders to sign invoices and to have
secure access to their personal medical files
electronically. Healthcare and insurance
institutions can also benefit from the card's
increased security features and memory, by
reducing fraud and increasing the speed of
transactions.
France has successfully used the Sesam-Vitale
health card since 1998, however the first
generation cards held no photographic identification
and stored only a limited amount of data.
The new version, Sesam-Vitale2, includes
a photograph and a much greater capacity
to store information such as complementary
health insurance details. In addition, with
the increased storage capacity, administrative
processes can also be performed faster.
The latest identity protection technology,
based on IAS (Identification, Authentification
and Signature) application software, is used
in Sesam-Vitale2. The new card contains Common
Criteria EAL5+ security certified NXP SmartMX
chip technology. The 36K EEPROM public key
infrastructure contact microcontroller offers
highly advanced encryption hardware and physical
hacking counter measures. The chip's software
is using NXP's advanced common criteria security
certified cryptographic software library.
Sesam-Vitale is a smart card-based infrastructure
incorporating many components, including
a telecoms network and a message service,
223,000 health care professionals, 230 health
software applications, 210,000 card readers,
25 servers handling the flows and 23,000
terminals for card updating, this enables
insurers nationwide to access personal information
and expedite claims as quickly as possible.
NXP is a member of ACT Canada; please visit
http://www.nxp.com
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10. VISA UK PLANS CONTACTLESS ROLLOUT IN
2007
Source: epaynews (11/24) |
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Visa UK says its member banks have agreed
to roll out contactless cards across Britain,
by the end of next year, starting in London.
The rollout will enable cardholders to purchase
low-value everyday items, such as their morning
coffee and newspapers, by waving a contactless
card over a card reader in participating
stores, Visa says. The contactless cards
will contain EMV chip-and-PIN technology
as well as an RFID contactless chip.
Cardholders will not be required to enter
their PIN for contactless transactions that
are under a preset amount. However, if the
number of contactless transactions carried
out by a cardholder exceeds the card's daily
floor limit, the card will need to be swiped
in a reader and the PIN entered.
Visa and its UK members are currently holding
discussions with retailers to win their support
in advance of the contactless rollout. Further
details of the launch plans are expected
to be available by March 2007, according
to Visa.
Visa Canada Association is a member of ACT
Canada; please visit http://www.visa.ca.
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11. MASTERCARD LEADS NATION'S FIRST MARKET
TRIAL OF PERSONALIZED NFC-ENABLED MOBILE
PHONES FOR PAYMENT
Source: Giesecke & Devrient (11/02) |
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MasterCard Worldwide announced that it has
brought the promise of mass market availability
of "Tap & Go" payments via
mobile phones one giant step closer to reality.
In partnership with Nokia and 7-Eleven, Inc.,
MasterCard is now conducting a consumer trial
in Dallas, Texas, of Near Field Communications
(NFC)-enabled mobile phones with MasterCard
PayPass capability.
Up to 500 participants from the 7-Eleven
Speak Out wireless program are getting NFC-enabled
Nokia 3220 mobile phones and instructions
on how to wirelessly enhance them with MasterCard
PayPass payment functionality, via Giesecke
& Devrient (G&D)'s new secure chip
management solution. Once these simple steps
have been taken, participants will then be
able to use the phones to make purchases
at any of the 32,000 merchant locations worldwide
that accept MasterCard PayPass. The trial
will run for approximately six months.
Consumers who join the trial will be furnished
with an eFinity prepaid account that can
be accessed either by a PayPass card, or
the PayPass phone. Wireless service and network
access will be provided by 7-Eleven, through
its prepaid Speak Out wireless program.
How Secure Chip Management Works
To enhance an NFC-capable phone with MasterCard
PayPass, consumers make a one-time request
to their bank to register for the service.
Data is sent by G&D's secure chip management
platform over the carrier network. It automatically
loads, activates and personalizes the PayPass
payment application inside the mobile phone's
built-in "secure area." Secure
chip management allows flexible and individual
control of the payment application in the
phone's secure area. The wallet application
on these phones can also be password protected
so that a lost or stolen handset cannot be
used to make payments.
Once the phone becomes PayPass-enabled, it
can be used to make purchases at any of the
approximately 32,000 merchant locations around
the world that accept PayPass, including
7-Eleven stores, McDonald's, CVS, Duane Reade,
Sheetz, and Regal Entertainment Group. PayPass
is now accepted in many Major League Baseball
and National Football League stadiums.
This is all made possible via NFC technology,
a feature built into next-generation mobile
phones such as the NFC-enabled Nokia 3220.
NFC is a very short-range proximity technology
that uses RF to enable secure, contactless
communication between two devices. Contactless
payment is only one of the many data-transfer
applications that NFC enables, which makes
it an attractive technology for carriers
looking to increase handset utility for consumers.
Giesecke & Devrient and MasterCard Canada
are members of ACT Canada; please visit http://www.gi-de.com & http://www.mastercard.ca.
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12. GEMALTO INTRODUCES WORLD'S 1st BANKING
CARD MEETING VISA GLOBAL CONTACTLESS SPECIFICATION
Source: ICMA Daily News (11/07)
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Gemalto launched an innovative banking microprocessor
card to perform multiple types of Visa payments:
contact EMV (Europay MasterCard Visa), EMV-based
contactless and magnetic stripe data contactless.
The Gemalto card is the first contactless
product that meets Visa's global contactless
specification for interoperability and will
be available in mass volumes to major financial
institutions starting January 2007.
This new card from Gemalto can also host
additional applications, such as transportation,
access control and loyalty, allowing banks
to advance a wide range of valuable services
to their customers. For example, Visa issuers
will be able to deliver co-branded applications
in cooperation with transit operators and
dynamically add new services such as loyalty
schemes.
"The Gemalto product is the first card
to be developed to the new global specification
and represents important progress in bringing
enhanced contactless programs to market,"
said Stephanie Ericksen, VP of Product and
Technology Integration, Visa International.
"In addition to the test tools and facilities,
documentation and other resources now available,
the Gemalto card enables issuers to develop
new globally interoperable contactless payment
programs with enhanced security and improved
performance for faster, safer transaction
processing."
Gemalto and Visa Canada Association are members
of ACT Canada; please visit http://www.gemalto.com & http://www.visa.ca.
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13. KREDITKORT ICELAND & STEPNEXUS ENABLE
MULTOS CARDHOLDERS TO DOWNLOAD TWO FACTOR
AUTHENTICATION APPLICATION
Source: StepNexus (11/06) |
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Kreditkort Iceland, the provider of MasterCard
Debit and Credit services to Icelandic banks,
announced the commencement of Europe's first
commercial post-issuance provision of enhanced
security. With more than 70,000 cards already
in circulation, this will enable MasterCard
cardholders the ability to easily upgrade
their existing EMV card with two-factor Chip
Authentication Programme (CAP), which provides
PIN-based verification of cardholders conducting
online transactions through the use of a
card reader.
This announcement brings re-assurance to
the banking industry where the current rate
of home internet users doing online banking
remains at 50%, with security the main concern
of users according to the British Computer
Society. This new service will enable additional
protection without having to issue a new
card. By utilising the online application
generation service of StepNexus, Icelandic
MasterCard cardholders are able to drop-in
to the bank branch, have their card loaded
with CAP, pick-up a two-factor card reader
and receive a brief lesson in using the card
and reader for eBanking, all within five
minutes. A phased offering from Kreditkort
will see cardholders immediately offered
a drop-in service followed up in 2007 with
the ability to upgrade cards at ATMs.
MasterCard Canada and StepNexus are members
of ACT Canada; please visit http://www.mastercard.ca & http://www.stepnexus.com.
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14. CARDIS LOW-VALUE PAYMENT APPLICATION
NOW AVAILABLE ON KEYCORP MULTOS & MULTOS
STEP/ONE PLATFORMS
Source: Keycorp (11/06) |
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Cardis and Keycorp announced that Cardis'
patented low value payment application is
now available on Keycorp MULTOS and MULTOS
step/one platforms.
Cardis' unique technology aggregates low
value cash purchases into larger value EMV
debit/credit card transactions, which can
be cost effectively processed through the
existing infrastructure. It allows a contact
or contactless EMV payment system to replace
cash transactions in a broad spectrum of
merchant segments. Small payments are processed
offline, without PIN, offering speed and
convenience to consumers and retailers.
Keycorp Limited is a member of ACT Canada;
please visit http://www.keycorp.net.
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15. PAYPASS HITS MEXICO
Source: ContactlessNews (11/13) |
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CPI Card Group announced it has partnered
with Keycorp to manufacture MasterCard's
PayPass(tm) contactless cards for Banamex
Financial Group. The issued cards will be
introduced into McDonald's fast food outlets
throughout Monterrey, Mexico. This joint
effort will mark the first PayPass program
launched in Latin America and will put Banamex
in the lead of contactless card issuers in
Mexico.
The contactless card, manufactured by CPI,
will use utilize the dual interface chip
with the MULTOS operating system developed
by Keycorp and will be the first PayPass
EMV card issued in Latin America.
Keycorp and MasterCard Canada are members
of ACT Canada; please visit http://www.keycorp.net & http://www.mastercard.ca.
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| 16. ADDITIONAL STORIES AVAILABLE IN ACT CANADA
MEMBERS ONLY SECTION |
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These additional stories are 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
CANADA'S NEW GOVERNMENT PROPOSES TO BOOST
AIRPORT SECURITY WITH BIOMETRIC TECHNOLOGY
The Minister of Transport, Infrastructure
& Communities, announced proposed amendments
to support the implementation of the new
Restricted Area Identity Card. Through the
use of biometrics, the card will enhance
the restricted area pass system currently
in place at Canada's twenty-nine major airports…
SMART CARDS WIN SOME, LOSE ONE, IN U.S. "HSPD
12 IS NOT A NATIONAL ID, BUT IT DOES SOMETHING
NEVER BEFORE DONE IN THIS COUNTRY."
New identification projects moving forward
in the United States could put smart card
IDs in the hands of tens of millions…
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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
VP, Operations
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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