US benefits programme uses smart cards

US benefits programme uses smart cards

news 16.4% ownership. The transaction closed on 10 September, 2004. Emosyn’s 40 employees will form a subsidiary of SST and will continue to operate a...

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news 16.4% ownership. The transaction closed on 10 September, 2004. Emosyn’s 40 employees will form a subsidiary of SST and will continue to operate as a separate entity, designing and developing smart card chips based on SST’s SuperFlash technology. The subsidiary, incorporated in the Cayman Islands, will continue to have an R&D centre in Silicon Valley, and marketing and application offices in the UK and Singapore. According to Bing Yeh, SST’s president and chief executive officer: “We believe this acquisition will help Emosyn leverage SST’s many foundry relationships and manufacturing operation infrastructure in order to meet the rising demand for its products, as well as allow SST to establish SuperFlash technology as a technology-of-choice in the strategically important smart card market.” Contact: Sohrab Kianian at Silicon Storage Technology, Tel: +1 408 735 9110

welfare

US benefits programme uses smart cards A pilot that allows low-income women and children access to free nutritious foods is taking advantage of smart card technology in a bid to stamp out fraud. UK-based firm Smart Technology Solutions (STS) has announced its technology is being used in the Women Infants Children (WIC) Electronic Benefit Transfer (EBT) pilot in Texas and New Mexico. The system provides benefits via a smart card, which is charged at a health clinic and allows the cardholder to obtain nutritious foods and other essential supplies at any participating retailer. With a roll-out to 55,000 pilot participants in El Paso and Hudspeth Counties, the integrated solution has already attracted interest from other states and retailers, the supplier claims. The solution uses smart card technology to ensure state aid goes directly to the beneficiary, so helping to combat fraud, which was prevalent in earlier systems. The success of the WIC programme relies on the participation of large retailers with a network of stores which are able to accept the benefit smart card. Because the collection of item data is electronic they are reimbursed for sale of WIC goods quickly and without argument over eligibility. Nationally there are 7.47 million participants in the WIC program for which Congress allocated US$4.462 billion in 2002. These funds cover all of the management, administration, purchasing, education and delivery costs of the programme across the USA. To implement the system STS added a WIC EBT software kernel alongside its existing EMV

Card Technology Today October 2004

What is WIC? Women Infants Children (WIC) is a Federal Grant programme that provides nutritious foods, nutrition counseling, and referrals to health and other social services to participants at no charge. WIC serves low-income pregnant, postpartum and breastfeeding women, infants and children up to the age of five who are at nutrition risk. The Electronic Benefit system is being developed through co-operation between suppliers, State Government and participating retailers with a view to a national implementation target around 2008. The EBT program replaces the existing paper based system with a view to a lower-cost electronic delivery of WIC benefits.

Chip & PIN kernel – Emvelink. In addressing this non-payment application, the company says that Emvelink is now proven to be effective as a smart card middleware component that can address many applications, such as e-purse, ebenefit, e-ticketing, e-loyalty and e-couponing. Contact: Robert Sweetman at Smart Technology Solutions, Tel: +44 208 680 0252, email: [email protected]

contactless

Great Wall of China to use contactless chip The Beijing Municipal Administration and Communications Card Company is to use contactless chip technology in a new eticketing system for the Great Wall of China at Badaling, Beijing. The Mifare UltraLight technology is being supplied by Royal Philips Electronics and is replacing an existing magnetic card access system. The new card is compatible with Beijing’s existing One-Card ticketing system, which will be used at the 2008 Olympics and will also support Beijing Public Transportation mass transit cards. Each year more than four million people from around the world visit the Great Wall of China. It is hoped that the contactless system will streamline access by reducing ticket jams, fraud and system maintenance costs. The system is also expected to enhance the information system management of tourism spots in China, enabling a real-time management of tourist flows. A trial run at the wall from March to July 2004 proved the system to be effective. Following on from this trial, contactless systems are planned to be installed at other tourist attractions, including renowned tourist spots in Beijing and elsewhere in China. According to Derrick Robinson, senior research analyst, IMS Research: “Contactless access at the Great Wall of China will serve as an important case study for implementation in

in brief • Esso’s smart card based loyalty scheme in Ireland – TigerMiles – has been renewed with prime contractor Fujitsu Services, formerly ICL, and solutions provider, Applied Card Technologies (ACT). The scheme, used by over 250,000 Esso customers, has deployed around 300 smart card terminals at its sites in Ireland. ACT was subcontracted by Fujitsu Services to develop the software applications behind the smart card driven solution based on three core technology requirements: terminals, back office and smart card based applications. • The Merseyside Passenger Transport Executive has put out a tender for the design, supply and issuance of smart-enabled tickets for the UK city of Liverpool. The contract involves the design, production and supply of a security printed travel pass for elderly and disabled concessionaires with a ‘chip-label’ or ‘inlay’ addition. The estimated volume of smart enabled tickets initially required is expected to be in the region of 200,000-250,000. The contract length is expected to be four years with possible renewal thereafter. • Aladdin Knowledge Systems has been granted patent 6,763,399. The patent covers portable devices or tokens featuring an onboard smart card chip that communicates with a host through a USB port. The patent allows Aladdin to solidify its position in the fast-growing worldwide USB authentication token market, which is forecast to grow to US$200 million in 2008, with a 55% compound annual growth rate from 20042008, according to IDC Bulletin. • UK-based football club, Reading FC, and rugby club, London Irish RFC, are the latest recruits to the Smart FC Scheme from Fortress. The announcement comes hot on the heels of agreements made with Manchester City FC, Liverpool FC and West Ham United. Reading and London Irish share the Madejski stadium, which has been fitted out with contactless smart card readers at all of its turnstiles. To enter the Stadium, all fans, home or away, hold their smart card or smart-ticket over the reader. Access is automatic and fast (1,000 fans per hour per turnstile, according to Fortress) as there is no human interference in this process. • The Canadian Air Transport Security Authority’s (CATSA) Restricted Area ID Card (RAIC) programme is to use contactless smart card technology from HID. Up to 200,000 of the supplier’s combination Prox and iCLASS 13.56 MHz multi-technology contactless smart cards will be deployed at major airports in Canada as part of the security programme.

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