Microsoft Delivers on Smart Card Vision

PARIS, Oct. 24, 2000 — At the Cartes 2000 trade show, Microsoft Corp. today announced substantial rollouts of multiapplication smart cards based on the Microsoft® Windows® for Smart Cards operating system. New Windows Powered Smart Card-based applications and services include a network security and logon service developed for British Telecommunications PLC (BT) by Authentic8 International Inc. and a 500,000 smart card deployment for home cholesterol monitors developed by Lifestream Technologies Inc. in the United States.

Microsoft also highlighted growing support for Windows Powered Smart Cards from mobile network operators, with Swedish railway operator Banverket becoming Microsoft’s first customer and Telef
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a committing to a joint trial of Windows for Smart Cards’ SIM Toolkit. Lifestream Technologies, Banverket and BT will all utilize smart cards manufactured by SAGEM of France.

“BT has a substantial and highly mobile work force,”
said David Furniss, vice president of Products and Marketing for BT Ignite Application Services.
“The smart cards that we need must meet several criteria: be highly durable, long-lasting, easy to use and secure, all at a reasonable cost. The combination of the Microsoft Windows for Smart Cards operating system, the application from Authentic8 and secure certificates from our own BT TrustWise portfolio has proven to be an extremely successful solution.”

“In our case, Windows for Smart Cards’ ability to tap existing Visual Basic® knowledge was key to quickly creating a robust application that customers will be able to use early next year,”
said Christopher Maus, chairman and CEO at Lifestream Technologies.
“We were excited to see that Microsoft’s Smart Card Group is committed to not only enabling stored-value and authentication applications, but to bringing smart cards into new areas. In our case, this makes it possible for patients to first easily record their test results and health information at home and then securely share that information with medical professionals over the Internet.”

Telef
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a, which is working with Microsoft to deploy a new generation of mobile Internet services for corporate customers and consumers, has committed to a trial of Windows for Smart Cards’ SIM Toolkit phase 2 plus capabilities.
“Windows for Smart Cards offers unrivalled SIM interoperability, minimizing logistical and purchasing problems and reducing time to market,”
said Carlos Melendo, handsets and smart cards manager, Telef
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“With Windows for Smart Cards, we don’t need to rewrite and test applications and services for each smart card platform we support.”

The broad adoption of Windows for Smart Cards by smart card OEMs was demonstrated by Microsoft’s announcement of licensing agreements with Schlumberger Ltd. of Europe, Porcan A.S. of the Middle East and Dai Nippon Printing Co. Ltd. of Asia. In total, Microsoft has licensed the manufacture of more than 40 million Windows Powered Smart Card solutions to OEMs worldwide over the next two years.

“The combination of Schlumberger’s 20 years’ experience in smart card manufacturing and solutions coupled with Microsoft’s platform leadership will ensure that we can meet the increasing demands of customers head on, bringing an impressive depth and breadth of resources to the smart card industry,”
said Jean-Claude Perrin, IT and Network Smart Cards product line manager, Schlumberger.

Microsoft has had broad commitment from developers, with more than 120 ISVs worldwide now developing applications and services based on Microsoft Windows for Smart Cards to offer customers the support they require.

ActivCard, which recently announced an agreement with the U.S. Department of Defense, is one of Microsoft’s key ISV partners.
“ActivCard products embrace standards and interoperability,”
said Marc Hudavert, vice president of European operations.

We deliver the flexibility of choice, providing customers with the confidence that our underlining digital identity management solutions will support their unique system requirements.

“Support for Microsoft Windows Powered Smart Cards is key to our strategy. Demand for Windows Powered Smart Cards is being driven by customers attracted by the wide variety of smart card-based network applications and services enabling their next-generation business applications.”

“It’s gratifying to see our initial vision come to fruition in only 12 months,”
said Mike Dusche, product manager for the Smart Card Group at Microsoft.
“With a strong network of partners and developers behind us, we expect to see Windows for Smart Cards play a crucial role in growing the smart cards industry.”

Microsoft has trained more than 15,000 developers globally on Windows for Smart Cards, and more than 35,000 Microsoft Windows for Smart Card Toolkits have been distributed through retail chains and the Microsoft MSDN® developer program.

A selection of Microsoft’s key development partners will be at Microsoft’s booth at Cartes 2000, including Gemplus SA, Schlumberger, ActivCard, Unicom Consulting Ltd., MCO Group, Keyware Technologies N.V., Utimaco Safeware AG, SAGEM, Atmel Corp., Authentic8, SmartTrust Ltd. and Porcan, to showcase smart card applications and services developed on the Windows for Smart Cards platform.

About Windows for Smart Cards and Microsoft

Windows for Smart Cards provides a standard-based platform that enables secure storage for smart cards used for a variety of purposes, such as secure network authentication, secure corporate transactions, electronic cash and customer loyalty programs. Windows for Smart Cards looks and can act like a credit card, but it has built-in intelligence and security so that even a single card can be programmed for a wide variety of uses.

In June 2000, Microsoft announced the release to manufacturing of the Windows for Smart Card Toolkit 1.1 with support for Global Systems for Mobile Communications (GSM) capabilities. The Windows for Smart Card Toolkit 1.1 is available free from the Microsoft smart card Web site at http://www.microsoft.com/smartcard/deploy/ (connect-time charges may apply).

Founded in 1975, Microsoft (Nasdaq
“MSFT”
) is the worldwide leader in software, services and Internet technologies for personal and business computing. The company offers a wide range of products and services designed to empower people through great software — any time, any place and on any device.

Microsoft, Windows, Visual Basic and MSDN are either registered trademarks or trademarks of Microsoft Corp. in the United States and/or other countries.

The names of actual companies and products mentioned herein may be the trademarks of their respective owners.

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