- Email: [email protected]
Iridian and LG electronics fail to see eye to eye
NEWS
Iridian and LG electronics fail to see eye to eye The iris recognition market has been plunged into uncertainty following a shock public announcement that iris recognition software vendor Iridian Technologies has terminated its longstanding agreement with hardware manufacturer LG Electronics. Iridian president and CEO Frank Fitzsimmons refused to comment to Btt on the issue, but did release a statement announcing it has terminated its agreement with LG Electronics effective 23 August 2004. “As a result,” the statement read, “LG is no longer a licensee of Iridian’s technology and intellectual property (including Iridian’s patents) or a distributor of Iridian’s products. In addition, LG is no longer licensed to use, sell, or distribute Iridian’s technology and intellectual property in any way, including in LG’s iris cameras and software.” In complete contrast, LG Electronics maintains that it is still a licensee of the technology regardless of Iridian’s statement. David Johnston, vice president of marketing at LG Electronics told Btt: “Iridian’s announcement was basically unilateral, which was surprising as it didn’t
observe a mutually agreed dispute resolution mechanism. Our position is that we are licensees, continue to be licensees and have always operated within the scope of our licence. Our partners and their end users are protected under the terms of licence that we have secured from Iridian.” The history between LG and Iridian goes back many years. The licensing agreement in question was actually formed between LG and Iridian’s predecessor, IriScan in 1997. This relationship led to the development of some of the industry’s first commercially-viable iris recognition systems. IriScan then acquired Sensar in the third quarter of 2000 and the combined entity became Iridian Technologies. Soon afterwards, Iridian changed its business model becoming exclusively focused on software sales. The spate between the two companies is all the more important considering that LG is recognised as one of the world’s main suppliers of integrated iris recognition technology systems.
Continued on page 2...
Continued from front page...
...Microsoft introduces biometric products Second, they selected us to be their partner is this venture.” The products are now to be distributed worldwide and will have the full marketing muscle of Microsoft behind them. Many industry commentators believe that could prove to be the impetus that the biometric peripherals market needs, following years of lackluster performance. Others are not as convinced, however, claiming that the launch will end up as a failure, as they have proved for other major companies launching similar devices. The reason for the failure, some commentators have argued, is because there are no “cool” applications that warrant the use of the technology, and that password replacement alone will not be enough of an attraction to create a mass market for the products. Bondar begs to differ with this negative opinion and claims that Microsoft has done its homework on this launch: “Let’s talk again in four months and see who was right,” he said. Contact: Harvey Bondar at DigitalPersona, Tel: +1 650 261 6070, email: [email protected]
Comment The undoubted talking point of the last few weeks is that Microsoft has launched a range of PC peripherals that incorporate fingerprint technology. The devices – including a keyboard, mouse and standalone reader – will be supported by software from DigitalPersona. This is not the first Microsoft biometrics announcement. A number of years ago there was a big news splash announcing that biometrics would become an integral part of its next operating system – codenamed Longhorn. Several years on and the industry is still waiting on that launch and, although not confirmed, we could possibly be disappointed when it is in fact released following news last month that the new operating system will be shipped without some of the key features that had been promised – a kind of short Longhorn.
12
Some critics dismissed the announcement, saying it will be a false dawn. This is because there aren’t any really “cool” applications demanding the use of the technology. Doing away with passwords just isn’t a good enough reason for people to spend money. There is little doubt that Microsoft have a good chance of cracking the consumer market with biometrics. Its marketing muscle is immense, its technology looks sleek and the price is reasonable – and crucially the technology is expected to work well; unlike some earlier products. The user may not think they need biometrics, but with some slick advertising and a few “cool” demos, they may think again. Think of fingerprint technology as cruise control or air conditioning in your car. It’s not an absolutely necessary part of the overall machine, but hard to give up once you’ve driven a car with these features. Mark Lockie
Editorial Office: Elsevier Advanced Technology, PO Box 150, Kidlington, Oxford, UK, OX5 1AS Tel: +44 1491 411224 Fax: +44 1865 843971 E-mail: [email protected] Website: www.compseconline.com
Editor: Mark Lockie In-House Editor: Nova Dudley Production/Design Controller: Olly Walter
In next month’s issue In next month’s issue of Btt we will turn our attention to the burgeoning livescan device sector. With suppliers offering increasingly competitive products, and new markets emerging for the technology, we will assess the differences between the major players and look for trends that will define the market in the future. Plus all the regular sections, including news, comment, features and business analysis.
Biometric Technology Today • October 2004
NEWS
Copyright Notice This newsletter and the individual contributions contained in it are protected under copyright by Elsevier Ltd, and the following terms and conditions apply to their use: Permissions may be sought directly from Elsevier Rights & Permissions Department, PO Box 800, Oxford OX5 1DX, UK; tel: +44 (0)1865 843830, fax: +44 (0)1865 853333, e-mail: [email protected]. You may also contact Rights & Permissions directly through Elsevier’s home page (http://www.elsevier.com), selecting first ‘Support and contact’, then ‘Copyright and permission’. In the USA, users may clear permissions and make payments through the Copyright Clearance Center, Inc, 222 Rosewood Drive, Danvers, MA 01923, USA; tel: 978 7508400, fax: +1 978 7504744, and in the UK through the Copyright Licensing Agency Rapid Clearance Service (CLARCS), 90 Tottenham Court Road, London W1P 0LP, UK; tel: +44 (0) 207 436 5931; fax: +44 (0) 207 436 3986. Other countries may have a local reprographic rights agency for payments. Derivative Works Subscribers may reproduce tables of contents or prepare lists of articles including abstracts for internal circulation within their institutions. Permission of the publisher is required for resale or distribution outside the institution. Permission of the publisher is required for all other derivative works, including compilations and translations. Electronic Storage or Usage Permission of the publisher is required to store or use electronically any material contained in this journal, including any article or part of an article. Contact the publisher at the address indicated. Except as outlined above, no part of this publication may be reproduced, stored in a retrieval system or transmitted in any form or by any means, electronic, mechanical, photocopying, recording or otherwise, without prior written permission of the publisher. Address permissions requests to: Elsevier Rights & Permissions Department, at the mail, fax and e-mail addresses noted above. Notice No responsibility is assumed by the publisher for any injury and/or damage to persons or property as a matter of products liability, negligence or otherwise, or from any use or operation of any methods, products, instructions or ideas contained in the material herein. Because of rapid advances in the medical sciences, in particular, independent verification of diagnoses and drug dosages should be made. Although all advertising material is expected to conform to ethical (medical) standards, inclusion in this publication does not constitute a guarantee or endorsement of the quality or value of such product or of the claims made of it by its manufacturer.
02265 Printed by Mayfield Press (Oxford) Ltd.
2
Continued from back page...
...Iridian and LG electronics no longer share vision The exact nature of the dispute has not been revealed, however, LG claims its license agreement specifically provides a mechanism for resolving such issues. On August 20, 2004, LG initiated this dispute resolution process, which is designed to resolve issues in a way designed to minimise disruption and inconvenience to existing and prospective customers. LG claims that Iridian contacted some of LG’s current and prospective customers, making statements about the dispute that LG believes are inaccurate. Consequently LG has also filed a lawsuit in US District Court. Despite the continuing uncertainty, LG is still marketing and distributing its IrisAccess product line, using the core technology licensed from Iridian. The supplier also said that it will continue to support, maintain and develop its products. Contact: Talvis McLaughlin at Iridian Technologies, Tel: +1 856 222 3160, email: [email protected] David Johnston at LG Electronics, Tel: +1-609-8194707, email: [email protected]
passports
Sweden awards biometric passport deal to Setec Sweden has awarded a multi-million dollar deal that will see it becoming one of the first countries in the world to start issuing biometric passports in accordance with International Civil Aviation Organisation (ICAO) guidelines. The international tender, issued by the Swedish police authorities (Rikspolisstyrelsen), was won by Finnish smart card and security printing company Setec in co-operation with its joint venture Svenska Pass. The value of the contract is believed to be in the region of Euro 100 million and covers five years with an additional two-year option. Deliveries will start at the beginning of 2005. In the first instance the authorities will continue issuing their existing polycarbonate-based passports, but at the beginning of October 2005 they will roll out the chip-based biometric passport with the polycarbonate data page developed and manufactured by Setec. This means that Sweden, which is one the US visa waiver countries, will be able to meet the new October 2005 biometric passport deadline set by the USA.
The annual volume of passports sent out each year in Sweden is approximately one million. These are personalised by Svenska Pass. This new agreement is a continuation to an existing contract with Setec, which has been delivering passports to Sweden since 1998. In addition to the new passports, Setec will also start delivering new electronic ID cards to Sweden by October 2005. This is also a five-year contract with the option of an additional two years. According to the president and CEO of Setec, Pekka Eloholma: “I would estimate that in the next five years most of the European countries will make a purchasing decision concerning biometric passport.” As well as Sweden, Setec has also been successful in signing up Denmark as a customer. Deliveries of the new chip-based Danish passport will start at the beginning of October 2005, following a rollout of the new passport without a chip. Contact: Pekka Eloholma at Setec, Tel: +358 09 8941 4303 Lars Karlsand at The Swedish National Police Board, Tel: +46 8 401 91 21
transportation
TWIC project reaches next phase The US Transportation Security Administration (TSA) has awarded BearingPoint the multi-million dollar contract to begin the Prototype Phase of the Transportation Worker Identification Credential (TWIC). BearingPoint fought off competition from EDS, Maximus and Northrop Grumman Corp to win the US$12 million deal. The overall aim of the TWIC project is to improve security at seaports, airports, rail, pipeline, trucking and mass transit facilities by creating a nationwide credential that will prevent unauthorized persons from gaining access to secure areas. The seven-month prototype phase is the penultimate step before a full rollout occurs, most likely in 2005 (see a Milestones in the TWIC project). According to David Stone, assistant secretary of Homeland Security for TSA: “The TWIC will be issued to transportation workers after thorough screening for ties to terrorism and will utilize a biometric to eliminate the use of fraudulent credentials. The nationwide card will also eliminate the need for workers to obtain multiple credentials thereby making the identification process faster and more efficient.”
Biometric Technology Today • October 2004
Iridian and LG electronics fail to see eye to eye The iris recognition market has been plunged into uncertainty following a shock public announcement that iris recognition software vendor Iridian Technologies has terminated its longstanding agreement with hardware manufacturer LG Electronics. Iridian president and CEO Frank Fitzsimmons refused to comment to Btt on the issue, but did release a statement announcing it has terminated its agreement with LG Electronics effective 23 August 2004. “As a result,” the statement read, “LG is no longer a licensee of Iridian’s technology and intellectual property (including Iridian’s patents) or a distributor of Iridian’s products. In addition, LG is no longer licensed to use, sell, or distribute Iridian’s technology and intellectual property in any way, including in LG’s iris cameras and software.” In complete contrast, LG Electronics maintains that it is still a licensee of the technology regardless of Iridian’s statement. David Johnston, vice president of marketing at LG Electronics told Btt: “Iridian’s announcement was basically unilateral, which was surprising as it didn’t
observe a mutually agreed dispute resolution mechanism. Our position is that we are licensees, continue to be licensees and have always operated within the scope of our licence. Our partners and their end users are protected under the terms of licence that we have secured from Iridian.” The history between LG and Iridian goes back many years. The licensing agreement in question was actually formed between LG and Iridian’s predecessor, IriScan in 1997. This relationship led to the development of some of the industry’s first commercially-viable iris recognition systems. IriScan then acquired Sensar in the third quarter of 2000 and the combined entity became Iridian Technologies. Soon afterwards, Iridian changed its business model becoming exclusively focused on software sales. The spate between the two companies is all the more important considering that LG is recognised as one of the world’s main suppliers of integrated iris recognition technology systems.
Continued on page 2...
Continued from front page...
...Microsoft introduces biometric products Second, they selected us to be their partner is this venture.” The products are now to be distributed worldwide and will have the full marketing muscle of Microsoft behind them. Many industry commentators believe that could prove to be the impetus that the biometric peripherals market needs, following years of lackluster performance. Others are not as convinced, however, claiming that the launch will end up as a failure, as they have proved for other major companies launching similar devices. The reason for the failure, some commentators have argued, is because there are no “cool” applications that warrant the use of the technology, and that password replacement alone will not be enough of an attraction to create a mass market for the products. Bondar begs to differ with this negative opinion and claims that Microsoft has done its homework on this launch: “Let’s talk again in four months and see who was right,” he said. Contact: Harvey Bondar at DigitalPersona, Tel: +1 650 261 6070, email: [email protected]
Comment The undoubted talking point of the last few weeks is that Microsoft has launched a range of PC peripherals that incorporate fingerprint technology. The devices – including a keyboard, mouse and standalone reader – will be supported by software from DigitalPersona. This is not the first Microsoft biometrics announcement. A number of years ago there was a big news splash announcing that biometrics would become an integral part of its next operating system – codenamed Longhorn. Several years on and the industry is still waiting on that launch and, although not confirmed, we could possibly be disappointed when it is in fact released following news last month that the new operating system will be shipped without some of the key features that had been promised – a kind of short Longhorn.
12
Some critics dismissed the announcement, saying it will be a false dawn. This is because there aren’t any really “cool” applications demanding the use of the technology. Doing away with passwords just isn’t a good enough reason for people to spend money. There is little doubt that Microsoft have a good chance of cracking the consumer market with biometrics. Its marketing muscle is immense, its technology looks sleek and the price is reasonable – and crucially the technology is expected to work well; unlike some earlier products. The user may not think they need biometrics, but with some slick advertising and a few “cool” demos, they may think again. Think of fingerprint technology as cruise control or air conditioning in your car. It’s not an absolutely necessary part of the overall machine, but hard to give up once you’ve driven a car with these features. Mark Lockie
Editorial Office: Elsevier Advanced Technology, PO Box 150, Kidlington, Oxford, UK, OX5 1AS Tel: +44 1491 411224 Fax: +44 1865 843971 E-mail: [email protected] Website: www.compseconline.com
Editor: Mark Lockie In-House Editor: Nova Dudley Production/Design Controller: Olly Walter
In next month’s issue In next month’s issue of Btt we will turn our attention to the burgeoning livescan device sector. With suppliers offering increasingly competitive products, and new markets emerging for the technology, we will assess the differences between the major players and look for trends that will define the market in the future. Plus all the regular sections, including news, comment, features and business analysis.
Biometric Technology Today • October 2004
NEWS
Copyright Notice This newsletter and the individual contributions contained in it are protected under copyright by Elsevier Ltd, and the following terms and conditions apply to their use: Permissions may be sought directly from Elsevier Rights & Permissions Department, PO Box 800, Oxford OX5 1DX, UK; tel: +44 (0)1865 843830, fax: +44 (0)1865 853333, e-mail: [email protected]. You may also contact Rights & Permissions directly through Elsevier’s home page (http://www.elsevier.com), selecting first ‘Support and contact’, then ‘Copyright and permission’. In the USA, users may clear permissions and make payments through the Copyright Clearance Center, Inc, 222 Rosewood Drive, Danvers, MA 01923, USA; tel: 978 7508400, fax: +1 978 7504744, and in the UK through the Copyright Licensing Agency Rapid Clearance Service (CLARCS), 90 Tottenham Court Road, London W1P 0LP, UK; tel: +44 (0) 207 436 5931; fax: +44 (0) 207 436 3986. Other countries may have a local reprographic rights agency for payments. Derivative Works Subscribers may reproduce tables of contents or prepare lists of articles including abstracts for internal circulation within their institutions. Permission of the publisher is required for resale or distribution outside the institution. Permission of the publisher is required for all other derivative works, including compilations and translations. Electronic Storage or Usage Permission of the publisher is required to store or use electronically any material contained in this journal, including any article or part of an article. Contact the publisher at the address indicated. Except as outlined above, no part of this publication may be reproduced, stored in a retrieval system or transmitted in any form or by any means, electronic, mechanical, photocopying, recording or otherwise, without prior written permission of the publisher. Address permissions requests to: Elsevier Rights & Permissions Department, at the mail, fax and e-mail addresses noted above. Notice No responsibility is assumed by the publisher for any injury and/or damage to persons or property as a matter of products liability, negligence or otherwise, or from any use or operation of any methods, products, instructions or ideas contained in the material herein. Because of rapid advances in the medical sciences, in particular, independent verification of diagnoses and drug dosages should be made. Although all advertising material is expected to conform to ethical (medical) standards, inclusion in this publication does not constitute a guarantee or endorsement of the quality or value of such product or of the claims made of it by its manufacturer.
02265 Printed by Mayfield Press (Oxford) Ltd.
2
Continued from back page...
...Iridian and LG electronics no longer share vision The exact nature of the dispute has not been revealed, however, LG claims its license agreement specifically provides a mechanism for resolving such issues. On August 20, 2004, LG initiated this dispute resolution process, which is designed to resolve issues in a way designed to minimise disruption and inconvenience to existing and prospective customers. LG claims that Iridian contacted some of LG’s current and prospective customers, making statements about the dispute that LG believes are inaccurate. Consequently LG has also filed a lawsuit in US District Court. Despite the continuing uncertainty, LG is still marketing and distributing its IrisAccess product line, using the core technology licensed from Iridian. The supplier also said that it will continue to support, maintain and develop its products. Contact: Talvis McLaughlin at Iridian Technologies, Tel: +1 856 222 3160, email: [email protected] David Johnston at LG Electronics, Tel: +1-609-8194707, email: [email protected]
passports
Sweden awards biometric passport deal to Setec Sweden has awarded a multi-million dollar deal that will see it becoming one of the first countries in the world to start issuing biometric passports in accordance with International Civil Aviation Organisation (ICAO) guidelines. The international tender, issued by the Swedish police authorities (Rikspolisstyrelsen), was won by Finnish smart card and security printing company Setec in co-operation with its joint venture Svenska Pass. The value of the contract is believed to be in the region of Euro 100 million and covers five years with an additional two-year option. Deliveries will start at the beginning of 2005. In the first instance the authorities will continue issuing their existing polycarbonate-based passports, but at the beginning of October 2005 they will roll out the chip-based biometric passport with the polycarbonate data page developed and manufactured by Setec. This means that Sweden, which is one the US visa waiver countries, will be able to meet the new October 2005 biometric passport deadline set by the USA.
The annual volume of passports sent out each year in Sweden is approximately one million. These are personalised by Svenska Pass. This new agreement is a continuation to an existing contract with Setec, which has been delivering passports to Sweden since 1998. In addition to the new passports, Setec will also start delivering new electronic ID cards to Sweden by October 2005. This is also a five-year contract with the option of an additional two years. According to the president and CEO of Setec, Pekka Eloholma: “I would estimate that in the next five years most of the European countries will make a purchasing decision concerning biometric passport.” As well as Sweden, Setec has also been successful in signing up Denmark as a customer. Deliveries of the new chip-based Danish passport will start at the beginning of October 2005, following a rollout of the new passport without a chip. Contact: Pekka Eloholma at Setec, Tel: +358 09 8941 4303 Lars Karlsand at The Swedish National Police Board, Tel: +46 8 401 91 21
transportation
TWIC project reaches next phase The US Transportation Security Administration (TSA) has awarded BearingPoint the multi-million dollar contract to begin the Prototype Phase of the Transportation Worker Identification Credential (TWIC). BearingPoint fought off competition from EDS, Maximus and Northrop Grumman Corp to win the US$12 million deal. The overall aim of the TWIC project is to improve security at seaports, airports, rail, pipeline, trucking and mass transit facilities by creating a nationwide credential that will prevent unauthorized persons from gaining access to secure areas. The seven-month prototype phase is the penultimate step before a full rollout occurs, most likely in 2005 (see a Milestones in the TWIC project). According to David Stone, assistant secretary of Homeland Security for TSA: “The TWIC will be issued to transportation workers after thorough screening for ties to terrorism and will utilize a biometric to eliminate the use of fraudulent credentials. The nationwide card will also eliminate the need for workers to obtain multiple credentials thereby making the identification process faster and more efficient.”
Biometric Technology Today • October 2004