Presentation based on report Smart Card Technologies & Markets Worldwide
BY
AMIT GUDgud (at) eth (dot) net
Business Communications Co.,Norwalk, CT, USA
Smart Card Technologies & Markets WorldwideAmit Gud
Introduction● Imagine the power of a computer, the speed
and security of electronic data, and the freedom to carry that information anywhere on earth. Imagine a computer so small it fits inside a plastic card like the credit card you carry in your wallet. Imagine the smart card.
Smart Card Technologies & Markets WorldwideAmit Gud
What is Smart Card?
● A credit card sized plastic card having an integrated circuit chip embedded in it and conforming to ISO – 7816 is called as Smart Card.
Smart Card Technologies & Markets WorldwideAmit Gud
Why Smart Cards?
● Enhanced security● Offline transactions● Multifunctional● Customization● Economical● Portable
Smart Card Technologies & Markets WorldwideAmit Gud
Applications of Smart Card● Payment System● Smart Networking● National ID / Authentication● University Identification● Financial Applications● Retail & Loyalty● Communication Applications● Transportation● Health● Multimedia / Pay TV
Smart Card Technologies & Markets WorldwideAmit Gud
Payment System● A payment function is
an integral part of most smart card applications because most services accessible by smart cards must be paid one way or the other.
Smart Card Technologies & Markets WorldwideAmit Gud
Benefits of cashless payment● Reduced handling costs ● Improved ease of use ● Lowered costs in infrastructural supports such as
banking system and phone networks ● Versatility of combining credit, debit and stored
value cards in one convenient platform ● Lower transaction costs ● Ability to carry out offline, online and peer-to-peer
transactions
Smart Card Technologies & Markets WorldwideAmit Gud
Smart Networking● Smart card
technologies provide strong security through encryption as well as access control, based on identification technologies such as biometrics.
Smart Card Technologies & Markets WorldwideAmit Gud
National ID / Authentication● In the wake of 9/11 attack a need has been felt
in many countries for tamperproof ID cards and a secure authenticating device. Many countries all over the world are trying out, and implementing, the smart card option as a national identity card.
Smart Card Technologies & Markets WorldwideAmit Gud
Smart National ID cards: Smart National ID cards: WorldwideWorldwide
34 million1994Spain
30 million2003South Africa
NA2003Netherlands
22 million2001Malaysia
50 million 2001Italy
7 million2003Hong Kong
30 million 2002Germany
1.34 million2002Estonia
850 million2002China
12 million2003Canada
10 million2002Belgium
300,0002000Brunei
Total CardsLaunchCountry
Source: BCC., Inc. Smart Card Technologies & Markets WorldwideAmit Gud
University Identification Cards
● The traditional student ID
card can be replaced by an
all-purpose chip-based
student ID card, containing
a variety of applications
such as electronic purse
(for vending and laundry
machines), and for use as a
library card, and meal card.
Smart Card Technologies & Markets WorldwideAmit Gud
Financial Applications● Smart cards are being used as
an electronic purse, or e-purse, to replace coins for small purchases in vending machines and over-the-counter transactions. This area is growing rapidly in Europe and the U.S.
Smart Card Technologies & Markets WorldwideAmit Gud
Retail & Loyalty● Smart cards are used to record the transactions
of the customer, which are helpful in implementation of loyalty programs. Consumer reward/redemption is tracked on a smart loyalty card that is marketed to specific consumer profiles and linked to one or more specific retailers serving that profile set.
Smart Card Technologies & Markets WorldwideAmit Gud
Communication Applications● The chip-based cards
help secure the initiation of calls and the identification of callers (for billing purposes) on any Global System for Mobile Communications (GSM) phone
Smart Card Technologies & Markets WorldwideAmit Gud
Transportation
● Mass transit fare collection
systems are using smart
tickets, which are easy to
load and redeem for a fare.
These smart tickets can be
disposable -that means use
and throw away-or can be
given only to regular
travelers.
Smart Card Technologies & Markets WorldwideAmit Gud
Health Card● Crucial personal health
data is another type of information that can be stored on a smart card. It eliminates the overhead costs of maintaining records, be they paper or electronic.
Smart Card Technologies & Markets WorldwideAmit Gud
Multimedia / Pay TV● Pay-TV is another area for
which smart cards are becoming a natural solution. Subscribers can instantly select a show or a movie, online music or live web casts and immediately pay with the smart card.
Smart Card Technologies & Markets WorldwideAmit Gud
GLOBAL SMART CARD MARKET BY APPLICATION AREA($ Millions)
23.9441.47151.0086.0068.2049.54Total
4.411.3414.2215.3019.1916.69Other
12.169.4439.2623.1913.438.41Access
39.744.858.424.603.752.34Pay TV
18.622.609.635.175.154.34Health
24.3114.5138.5214.4310.036.33Transportation
6.34.983.672.081.711.18GSM
50.184.4011.096.313.822.09Retail
27.889.3526.1914.9211.128.16Finance
AAGR %(0207)
20072002200120001999Sector
Source: BCC., Inc. Smart Card Technologies & Markets WorldwideAmit Gud
Parts of Smart Card● Generally, it is made up
of three elements. The plastic card, a printed circuit or contact disc and an integrated circuit chip are embedded on the card.
Smart Card Technologies & Markets WorldwideAmit Gud
Types of Smart Cards
● Contact Cards
● Contactless Cards
● Dual Interface / Combi cards
Smart Card Technologies & Markets WorldwideAmit Gud
Smart Card
Contact Contactless Dual Interface
Memory
Multifunctional
Crypto Card
Proximity
Vicinity
Types of Smart Cards
Smart Card Technologies & Markets WorldwideAmit Gud
Contact Cards● The contact cards need to be in physical contact with
the card reader in order for information to be exchanged. The integrated circuit on the chip is connected to a contact plate (typically a gold plate) on the surface of the card.
● Contact cards make up 91.92% of the total smart card market as of 2002
Smart Card Technologies & Markets WorldwideAmit Gud
Contactless Cards● Contact-less smart cards contain an embedded
antenna, instead of contact pads attached to the chip, for reading and writing information contained in the chip's memory. Contact-less cards do not have to be inserted into a card acceptor device.
● Student identification, electronic passport, vending, parking and tolls are common applications for contact-less cards.
Smart Card Technologies & Markets WorldwideAmit Gud
Dual Interface Cards● In more recent developments, there are now cards
with both a contact and a contact less interface (dual-interface or combi-cards). These may incorporate two non-communicating chips - one for each interface - but preferably have a single, dual-interface chip providing the many advantages of a single e-purse, single operating architecture, etc.
Smart Card Technologies & Markets WorldwideAmit Gud
Smart Card Market
23.78050.002784.002278.001869.001506.00Total44.5372.4859.2032.4517.109.39Dual31.3645.65165.64120.0568.4023.19Contactless22.47031.872559.162125.501783.501473.42Contact
AAGR % 2002200720072002200120001999Type
23.9441.47151.0086.0068.2049.54Total42.418.863.221.240.640.32Dual30.534.038.984.532.490.76Contactless22.9388.58138.8080.2365.0748.46Contact
AAGR % 20022007
20072002200120001999Type
GLOBAL Smart Card market by Type$ Millions
GLOBAL Smart Card shipments by Type Millions
Source: BCC., Inc.
Source: BCC., Inc.
Smart Card Technologies & Markets WorldwideAmit Gud
Smart Card Market GLOBAL SMART CARD MARKET BY REGION,
THROUGH 2007($ Millions)
GLOBAL SMART CARD SHIPMENTS BY REGION, THROUGH 2007
(Millions)
23.78050.002784.002278.001869.00Total
25.54330.05105.8161.5213.09Middle East / Africa
32.043453.45860.25658.34506.50Asia / Pacific
24.521650.25551.23448.76366.32South America
35.04700.35155.90102.5167.28North America
11.511915.901110.811006.87915.81Europe
AAGR % 02072007200220012000Region
Source: BCC., Inc.
Source: BCC., Inc.
23.9441.47151.0086.0068.20Total35.818.115.742.330.50Middle East / Africa32.3189.3946.6624.8518.48Asia / Pacific24.890.5029.9016.9413.36South America35.438.408.453.872.45North America11.8105.0760.2538.0133.41Europe
AAGR % 02072007200220012000Region
Smart Card Technologies & Markets WorldwideAmit Gud
Copyright © 2003 - 2004, Amit GudAny data / statistics in this file cannot be published without prior consent, either of BCC Inc or of the author.
Smart Card Technologies & Markets WorldwideAmit Gud
Thank You!