Corporate Profile
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SCM Microsystems, Inc.
Opening the Digital World™

(NASDAQ: SCMM, Prime Standard: SMY)

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SCM Microsystems is a leading supplier of solutions that open the Digital World by enabling people to conveniently access digital content and services. The company develops, markets and sells the industry’s broadest range of smart card readers and terminal technology for secure PC, network and physical access and digital media readers for transfer of digital content to OEM customers in the government, financial, enterprise, consumer electronics, health care and photographic equipment markets worldwide.

Global headquarters are in Ismaning, Germany. SCM Microsystems is publicly traded on the Nasdaq under the symbol “SCMM” and on the Prime Standard of the Frankfurt exchange under the symbol “SMY”.


 

SCM Microsystems is one of the world's leading suppliers of smart card readers, software and silicon for the PC platform.


  • We are a major supplier of readers used to identify and authenticate military personnel as part of the U.S. Department of Defense Common Access Card program.

  • We have supplied corporations and financial institutions around the world with smart card readers to enable secure network logon, home banking and on-line financial transactions.
  • We address the emerging markets for smart card terminals that ensure highly secure physical access and contactless readers for e-passport, Citizen ID and healthcard programs.
  • We have also developed a series of biometric smart card readers with our partners AuthenTec, Identix and Precise to address the growing need for two-factor authentication for security applications.
  • In addition, our Smart Card Solutions Group addresses the fast-growing retail market for PC and network security solutions for the small office/home office environment.

SCM's Unique Position
SCM has significant IP in smartcard reader technology and develops our portfolio of reader products in compliance with all relevant standards for the industry, including:

  • Common Criteria - ensures compliance with stringent industry standards for secure data exchange based on defined assurance levels.
  • Europay MasterCard Visa (EMV) - ensures compliance with protocols that support secure data exchange in financial applications.
  • Finread - European standard that ensures compliance between the PC and readers used for financial applications.
  • PC/SC (Microsoft Windows Hardware Quality Labs Certified) - ensures that SCM's readers can interface with any computer platform.

Unlike other reader suppliers that also develop cards or applications that work only with their own readers, SCM is focused on providing standards-based reader technology that is compatible with all cards, applications and platforms. SCM is therefore uniquely positioned to partner with other leading industry players. Together, SCM and our partners are able to provide best-of-breed solutions to address smart card security programs across the government, enterprise and financial markets.

Recent Developments
SCM has provided the hardware infrastructure for several key smart card deployments:

  • Contact / contactless smart card readers for NTT Communications internal networking security
  • Deployment of reader technology for Belgium´s national e-ID program
  • Deployment of more than 1.5 million readers for the U.S. Department of Defense Common Access Card (CAC) program, which has been rolled out to over four million military personnel

The U.S. government’s CAC initiative is the world’s largest smart card security program to date, using public-key based digital signatures to enable the confidential exchange of certified identities in a digital environment. It is expected to be the model for several other planned and potential Public Key Infrastructure (PKI) programs based on smart cards, including those by these government agencies:

  • NASA
  • Transportation Security Authority
  • Border Control
  • Department of the Interior


To address the growing demand for tools to quickly download or transfer digital pictures for printing, SCM offers both preconfigured media bays and customized digital media reader solutions for photo kiosks that provide an interface to digital flash media cards.
SCM's digital media readers and chipsets allow printer manufacturers, photo kiosk makers and others to build flash media interface capabilities into their products. SCM's flash media interface products support all major memory card formats, including CompactFlash I and II, IBM MicroDrive, MultiMediaCard, Secure Digital, SmartMedia, Sony Memory Stick and xD-Picture Card.

SCM's Unique Position

  • Significant IP in flash media reader technology, with patents covering a range of protocols related to various media formats, form factors and interface types.
  • SCM supplies over 75% of the photo kiosk market
  • We have relationships with top-tier kiosk OEMS including Kodak, Fuji, Agfa, Noritsu and IBM.



Year founded: 1990

Number of Employees: 155 at December 31, 2006

Financial highlights:

  • Revenues for year ended December 31, 2006: $33 million
  • Cash position at December 31, 2006: $36,9 million

Key Management:

  • Felix Marx, CEO
  • Stephan Rohaly, CFO
  • Dr. Manfred Mueller, EVP Strategic Sales & Business Development
  • Sour Chhor, EVP Strategy, Marketing & Engineering

Investor Relations Contact:
Stephan Rohaly
+49 89 9595-5220
ir@scmmicro.com

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