CardTech/SecurTech 2003, Orlando, May 12, 2003–SCM Microsystems, Inc. (Nasdaq: SCMM, Prime Standard: SMY), a leading provider of solutions that open the Digital World, expanded its line of smart card readers today with a dual interface device that reads and writes to both contactless and contact smart cards.

“There is a lot of activity now in both contactless and contact smart cards, and clients need a flexible way to use them with PCs and other systems. This new reader meets that need because it puts the two technologies into one reader device. This device will be useful for organizations that want a mix of contactless and contact cards for logical access control or other applications. Others may plan to start with contactless and migrate to contact, or vice versa. A dual technology reader makes it easier to manage these types of implementations, and reduces the risk of having to change the devices downstream as needs and technologies evolve,” said Mladen Filipan, executive vice president, PC Security, SCM Microsystems.

The company will primarily sell the SCR331DI to large OEMs and system integrators that are active in smart card applications. SCM offers several customizing options including casing, colors and company logo. This provides a way for companies to have their own brand appear on a reader with industry leading price/performance without having to make their own investment in product development and certifications. The SCR331DI is a small, low profile device, measuring 90 mm length x 70 mm width x 16.5 high that provides full speed USB connectivity at 12 Mbps, is bus-powered and CCID compliant. It is PC/SC compliant, ensuring compatibility with all PCs and their operating and communications software, as well as Microsoft® Windows® Hardware Quality Labs (WHQL) certified. The SCR331DI works with all leading operating environments including Windows 98, ME, 2000 and XP.

The SCR331DI is based on SCM’s proprietary interface and STC II microcontroller that brings a common set of advanced smart card reader technology including:

• Onboard flash, enabling the reader to be upgraded after deployment to take advantage of new smart card technology or new EMV protocols, new applications or other technology evolutions that may arrive;

• High speed communication support, up to 115,200 bits per second with smart cards with T=0 and T=1 protocol support;

• Support for ISO 14443 A and B contactless protocols, parts 1 thru 4 with a communication speed at 106 Kbps; and

• Compatibility with SCM’s highly flexible and proven SmartOS™ middleware.

The SCR331DI reader is available for immediate delivery and will be in full production by June 2003. For more information, please visit http://www.scmmicro.com.