SCM Microsystems Receives Market Leadership Award in North America

Frost & Sullivan Honors SCM for Significant Contributions to U.S. Government Programs and Broader Smart Card Reader Market


SANTA ANA, Calif. and ISMANING, Germany, July 29  /PRNewswire-FirstCall/ -- SCM Microsystems, Inc. (Nasdaq: SCMM; Prime Standard, SMY), a leading provider of solutions for secure access, secure identity and secure exchange, announced today that it has received the 2009 Frost & Sullivan North American Smart Card Readers Market Leadership Award from global growth consulting firm Frost & Sullivan. In making the selection, Frost & Sullivan's analysts emphasized SCM's market success over many years, with more than two million card readers distributed to U.S. federal government smart card programs, enabling both secure PC log-in for military personnel under the Common Access Card (CAC) program of the Department of Defense and both logical and physical access for the inter-agency Personal Identity Verification (PIV) program that covers all federal workers. Other factors of note were SCM's broad range of advanced smart card reader solutions and its recently completed strategic merger with Hirsch Electronics.

"SCM's significant contributions to the U.S. government's large-scale security programs were a key element in our decision," said Rufus Connell, Research Director at Frost & Sullivan. "Our outlook is that as the company begins to realize the synergies from its merger with Hirsch Electronics, it will be in an excellent position to achieve an even greater market impact with a product range that spans both contact and contactless solutions for both logical and physical access security."

"The U.S. led the world in using smart card technology to provide strong authentication solutions in large government programs, and SCM has been a leading supplier to the U.S. market for an essential part of the solution - the reader that connects the smart card to a PC or laptop and the network behind it," said Felix Marx, chief executive officer of SCM Microsystems. "Now, the U.S. is beginning to implement contactless technology, in applications ranging from government services to electronic payment. At SCM, our strategy includes a focus on being a leading provider of new contactless reader technology to the American market. We are very proud of this recognition of our unique product line and market leadership from the distinguished research and consulting firm, Frost & Sullivan."

SCM and Hirsch have a long history of demonstrating smart card technology leadership in the government, institutional and commercial markets. Their smart card reader line includes unique products based on industry standards that support multiple card formats and protocols in a single device, such as the Physical Access Control Terminal (PACT) family which reads contact and contactless smart cards including all versions of cards used in the CAC, PIV and Transportation Worker Identification Credential (TWIC) program; the patented ScramblePadProx(TM), which includes a high security scrambling keypad and supports 125 kHz proximity cards as well as 13.56 MHz PIV, CAC, TWIC, MIFARE and DESFire contactless cards; and the RUU-201Verification Station which performs certificate validation and includes a scrambling keypad, contact and contactless card readers, a minutiae-based biometric fingerprint reader and an LCD display.

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About SCM Microsystems, Inc.

SCM Microsystems (NASDAQ:SCMM; Prime Standard: SMY) is a global leader in security and identity solutions for secure access, secure identity and secure exchange. Together with its Hirsch Electronics subsidiary, SCM provides complete, integrated solutions that secure digital assets, electronic transactions and facilities. The company offers the world's broadest range of contact, contactless and mobile smart card reader technology; physical and logical access control systems; digital identity transaction platforms; biometrics; and digital video. SCM's solutions enable a wide variety of applications including enterprise security, identity management, contactless payment, e-health and electronic government services. For additional information, visit http://www.scmmicro.com/ and http://www.hirschelectronics.com/.

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DATASOURCE: SCM Microsystems, Inc.



CONTACT:  Annika Oelsner, [phone], , or

Darby Dye, [phone], , both of SCM Microsystems



Web Site:  http://www.scmmicro.com/

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http://www.hirschelectronics.com/ 

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