Industry Leaders Standardize Implementation of Secure PIN-Entry for Smart Card Applications

FREMONT, Calif., Oct. 28 /PRNewswire-FirstCall/–SCM Microsystems (Nasdaq: SCMM; Prime Standard: SMY), OMNIKEY and Kobil Systems have agreed on a joint standard for developing smart card readers with integrated PINpads (Class 2 readers). The creation of a common specification for smart card readers with integrated PINpads paves the way for increased development of smart card applications requiring high security and for the use of PIN-enabled smart card readers.

The use of a smart card in conjunction with a Personal Identification Number (PIN) significantly increases the security of transactions made using the card. Entering the PIN for the card on a keypad that is independent of the host computer prevents illicit copying of passwords from the computer keyboard.

At the end of the 1990s, technical specifications for smart card readers and terminals were adopted under the internationally accepted PC/SC standards. However, at that time smart card readers with integrated keypads were not included. Therefore, reader manufacturers worldwide have had to develop their own proprietary PINpad reader software and driver solutions in order to provide them to the developers of smart card applications. With smart card usage now expanding rapidly around the world, it is critical that smart card application developers have access to a common, accepted Class 2 reader platform.

In order to increase acceptance and demand for secure Class 2 readers, SCM, OMNIKEY and Kobil have agreed on a joint standard for the implementation of secure PIN entry, working under the umbrella of TeleTrusT, which seeks to promote the trustworthiness of information and communication technology. Application developers, end users and the reader manufacturers themselves will now benefit from the compatibility and interoperability of PIN-enabled smart card readers.

Prof. Dr. Helmut Reimer, Managing Director of TeleTrusT e.V., is very sympathetic to this initiative. He stated, “TeleTrusT appreciates the agreement on a standard for trustworthy smart card applications by the most important international suppliers of smart card readers. This is an important signal to the market.”

Class 2 PINpad readers were developed for applications where the content of the smart card is protected by a PIN to prevent unauthorized copying or use of the information stored on the card. PINpad smart card readers are particularly suited for digital signature and HBCI (Home banking computing interface) applications for both end users and enterprises.

## About TeleTrusT e.V.

TeleTrusT Deutschland e.V. was founded in 1989 to promote the security of information and communication technology in an open systems environment. The non-profit organization was constituted with the aim of: achieving acceptance of the digital signature as an instrument conferring legal validity on electronic transactions; supporting research into methods of safeguarding electronic data interchange (EDI), application of its results, and development of standards in this field; and collaborating with institutes and organizations in other countries with the aim of coordinating objectives and standards within the European Union. TeleTrusT supports the incorporation of authenticity standards in planned or existing IT applications in public organizations and associations. Special attention is being paid to security services and their management as a means for secure IT in medicine and public health administration, electronic communications in legal matters, and tele-cooperation via EDI.

## About SCM Microsystems

SCM Microsystems is a leading supplier of solutions that open the Digital World by enabling people to securely access digital content and services. The company develops, markets and sells its smart card reader technology for network and physical access and conditional access modules for secure digital TV decryption to OEM customers in the government, financial, enterprise and broadcasting markets worldwide. Global headquarters are in Fremont, California, with European headquarters in Ismaning, Germany. For additional information, visit the SCM Microsystems web site at .

## About OMNIKEY

OMNIKEY, the world leading manufacturer of innovative smart card readers, offers the most diversified product portfolio available on the market today. Having established a tight collaboration with key decision makers in the card manufacturing and software industries, OMNIKEY sits at the table of innovation. OMNIKEY’s smart card readers for PCs can be utilized by any application including logical access control, digital signature, GSM authentication, secure banking and online transactions, loyalty programs, and healthcare solutions. OMNIKEY, headquartered in Walluf, Germany, is part of the ASSA ABLOY Identification Technology Group (ITG). OMNIKEY4s US headquarters resides in Irvine, California with technical support in Atlanta, Georgia. Design, production management, and quality control of OMNIKEY’s products are carried out in the company’s two R&D centers in Linz, Austria and Erfurt, Germany. OMNIKEY readers are distributed worldwide through a global network of partners, including value added resellers, system integrators, and OEMs.

## About Kobil Systems

Kobil Systems GmbH, based in Worms/Germany, was founded in 1986 and has specialized in the development and marketing of Smart Card based IT security solutions and multifunctional Smart Card terminals. The company`s solutions guarantee secure digital communication and transaction over network infrastructures through authentication, data security and legal bindingness. Kobil mIDentity is a platform for mobile and secure company solutions integrating mobile office, mobile identity and mobile data safe compactly into one device. The one-time password system Kobil SecOVID offers secure access protection for network resources from VPN to terminal server environments through two factor authentication. Class 1 to 4 Kobil Smart Card terminals guarantee a secure execution of e-business applications. Companies like Deutsche Telekom, Hypo Vereinsbank, Badenia Bausparkasse and also well-known European banks, insurances and automobile industry companies as well as public administration and health care agencies rely on Kobil products.