Gemalto, NXP Team on SIM-enabled Near Field Communication Solutions

Gemalto, a world leader in digital security, and NXP Semiconductors, the independent company founded by Philips, announced their collaboration on SIM-enabled Near Field Communication (NFC) solutions based on the Single Wire Protocol (SWP). Both companies will together define and develop SIM products for SWP-based solutions to ensure interoperability with MIFARE technology as well as other widely deployed contactless protocols. This agreement will enable the industry to rapidly address the growing demand for NFC-based applications among telecom operators, service providers and consumers.

This initiative from NXP and Gemalto aims to facilitate the definition of standardized SIM-based NFC products. It will also speed up the availability of SIM-based NFC phones compliant with telecom operators’ requirements.

“As co-inventor of NFC, NXP is committed to further broadening and strengthening the ecosystem along with other key industry players,” said Christophe Duverne, senior vice president and general manager, identification, NXP Semiconductors. “We expect a significant proportion of NFC mobile phones to use the SIM as the secure element. Through our collaboration with Gemalto, we will define and support a common standard that is fully compliant with the existing contactless infrastructure, leveraging the expertise of our two companies in NFC, MIFARE and SIM. We are confident this will provide the industry with a solid foundation on which to build innovative NFC-based services.”

Philippe Vallée, vice president, telecom business unit, Gemalto added, “The availability of SIM-based NFC phones is expected to positively impact operators and service providers, as well as end users. Each and every one of them will gain from this new scheme. It enables operators to provide better value to their installed customer base, while service providers will find new ways to reach more customers. Millions of end users will eventually benefit from value-added services that will simplify their day-to-day lives, such as the ability to reload travel passes or check their latest transaction from anywhere, anytime. Together, Gemalto and NXP are paving the way for a boom in NFC-based applications that will embrace the lifestyle of today’s citizens on-the-move.”

Following the successful joint evaluation and specification of MIFARE compatibility with SWP technology, NXP is designing a new SIM-enabled NFC chip and SIM chip that support the SWP protocol and provide MIFARE capability. Gemalto is developing a SIM card and trusted service management offering for banks, transport companies and telecom operators to manage the provisioning and the personalization of mobile contactless applications.

The Single Wire Protocol is a specification for a one-wire connection between the SIM card and the NFC chip in a mobile phone. It is under final review for standardization by the European Telecommunications Standards Institute (ETSI).

About Gemalto
Gemalto (Euronext NL 0000400653 GTO) is a leader in digital security with pro forma 2006 annual revenues of €1.7 billion, operations in about 100 countries and over 10,000 employees including 1,500 R&D engineers. In a world where the digital revolution is increasingly transforming our lives, Gemalto’s solutions are designed to make personal digital interactions more convenient, secure and enjoyable.

Gemalto provides end-to-end digital security solutions, from the development of software applications through design and production of secure personal devices such as smart cards, SIMs, e-passports, and tokens to the management of deployment services for its customers. More than a billion people worldwide use the company’s products and services for telecommunications, financial services, e-government, identity management, multimedia content, digital rights management, IT security, mass transit and many other applications. As the use of Gemalto’s software and secure devices increases with the number of people interacting in the digital and wireless world, the company is poised to thrive over the coming years. Gemalto was formed in June 2006 by the combination of Axalto and Gemplus.

About NXP Semiconductors
NXP is a top 10 semiconductor company founded by Philips more than 50 years ago. Headquartered in Europe, the company has 37,000 employees working in more than 20 countries and posted sales of EUR 5 billion in 2006. NXP creates semiconductors, system solutions and software that deliver better sensory experiences in mobile phones, personal media players, TVs, set-top boxes, identification applications, cars and a wide range of other electronic devices.

With over 2 billion chips sold to date, NXP Semiconductors is the world’s leader in the design and manufacturing of contactless chips used in smart cards, smart labels and tags as well as in car access and immobilizer systems and the corresponding reader components. NXP’s most comprehensive portfolio includes chip solutions for secure smart chip technology used across in a diverse set of applications – such as banking and payment, mobile communications, public transport, e-business, e-government or access to content and services – to provide consumers with greater convenience and safety.

NXP has been ranked at the top of a Contactless IC Vendor Matrix, the most recent evaluation of IC vendors serving the contactless payments market worldwide, released by ABI Research in March 2007.