Monday, March 1, 2010

Tyfone to Launch SideTapTM MicroSD Card Versions for Contactless Payments Market

Image representing Tyfone as depicted in Crunc...
World’s First Patented MicroSD Card with Fully Integrated Payments Capabilities Market Ready



PORTLAND, Ore.--(BUSINESS WIRE)--Tyfone (www.tyfone.com), a provider of secure mobility solutions, today announced that its SideTap micro secure digital (MicroSD) memory card versions are completed and will be available via partners to consumers in the second half of 2010. MicroSD memory cards enabled by Tyfone’s patented SideTap contactless payment technology with integrated 13.56MHz coil can be used by hundreds of millions of mobile phones at thousands of existing contactless payment terminals worldwide. These cards will work in phones with MicroSD slot on any side of the phone – top, left, right, bottom or back.



Tyfone’s enabling patent portfolio includes US patent 7,581,678 filed February 22, 2005 for “Electronic Transaction Cards”, issued September 1, 2009, and other patents pending.







The SideTap memory card technology is the world’s first to fully integrate near-field communications (NFC) contactless card payment capabilities with a popular and commonly used mobile phone accessory, a MicroSD memory card. SideTap memory cards enable MIFARE as well as any Global Platform compliant payment applet. The SideTap MicroSD card contains an onboard controller that manages over-the-air (OTA) capabilities allowing consumers to add multiple payment and identification options, creating a true mobile wallet. Because the SideTap MicroSD card also retains all its memory card functions, consumers can also use them to store documents, photos, videos, music or other files.



“Unlike solutions tied to specific retailers or financial institutions, the SideTap memory card works like an actual wallet that contains financial information from multiple sources, either specific retailers or financial institutions in both open loop and closed loop scenarios,” said Tom Spitzer, Tyfone’s chief executive officer. “We are very excited to be launching the SideTap MicroSD card. It’s a significant milestone for the company and for the industry.” The SideTap MicroSD card is a fully integrated solution with a built-in contactless coil, without loss of traditional memory card functions.



In addition to the SideTap memory card, a SideTap lite MicroSD card with OTA wallet functions but no storage memory is available for partners. A SideTap ultralite MicroSD card is also available without storage memory or OTA wallet capabilities, for a single-payment provider scenario, much like a contactless plastic card or sticker from a single issuer. SideTap and SideTap lite cards are supported by Tyfone’s u4ia® (pronounced euphoria) mobility platform. The platform transforms the MicroSD memory card into a mobile wallet capable of performing OTA life cycle management and contactless transactions at NFC equipped point-of-sale readers. Tyfone’s u4ia mobility platform, that will be used by Trusted Service Manager (TSM) partners, is necessary for OTA services only and not for payment transaction processing.



Using SideTap memory cards, consumers purchase goods simply by tapping their mobile device at a point of sale reader. The read distance ranges from 1 to 3 cm depending on the reader and transaction speeds are identical to contactless plastic cards.



“If you are like most people, inside your wallet you have a few credit/debit/ID cards, perhaps gift/prepaid cards, money and miscellaneous items like coupons,” said Dr. Siva Narendra, chief technology officer at Tyfone. “With Tyfone’s u4ia platform and our SideTap MicroSD card a consumer can have multiple payment identities with OTA access and won’t be limited to where they can use their mobile phone to make payments and other secure transactions. Not to mention the ability to store contents including coupons, catalogs, and music, some of which can be preloaded by our partners. More important, the Tyfone SideTap MicroSD cards are equipped to work in virtually any mobile phone with a memory card slot. We can now kick start NFC.”



One of the most often cited obstacles for NFC payment models is the lack of availability of NFC-enabled handsets. By contrast, Tyfone’s patented technology enables a more rapid deployment of NFC capabilities by simply inserting the SideTap MicroSD card into commonly available memory card slots, requiring no other changes to consumers’ phones. According to a September 2009 forecast by Strategy Analytics approximately 900+ million phones will be enabled with memory card slots by 2013. Many handset manufacturers already report that memory cards are the most purchased accessory for mobile phones today.



“To address a marketplace that today has hundreds of millions of mobile phones that can use Tyfone’s SideTap MicroSD cards, it was important to ensure the ability to scale,” said Prabhakar Tadepalli, Tyfone’s managing director. “SideTap memory cards can work across all mobile operating systems and all wireless operators. We have also built it to scale quickly and have a team ready to assist our partners in that effort.”



Tyfone’s SideTap SD memory cards have undergone extensive and successful trials with multiple partners over the last 18 months. In the coming months, consumers will be able to purchase SideTap MicroSD memory cards and use them at major retailers. Tyfone will soon announce partnerships that will make the first wave of this important payment technology available for consumers, financial institutions and retailers.



About Tyfone




Tyfone is a neutral infrastructure enabler for cloud computing based mobile services. Tyfone enables the next wave of secure-element-neutral mobile apps that are secure enough to store your Driver's License, Health Records, Passport, Debit, Pre-paid and Credit Cards.



Tyfone’s u4ia® platform and its companion SideTap™ card is the world's first patented memory card-based mobile payments solution with integrated secure element, OTA controller and miniature contactless coil for mobile NFC payments. The technology operates in any standard memory card slot and is rapidly gaining market acceptance as a single-strategy approach to mobile contactless payments for any mobile phone. Tyfone and its partners enable a suite of services including Mobile Banking, Mobile Identity Management, Mobile Remote Payments, Mobile Retail Services and Mobile Contactless Payments. To discover why Tyfone is becoming the partner of choice for secure mobile apps to many of the world’s leading organizations, please visit www.tyfone.com.



Some names and brands mentioned may be claimed as the property of others. u4ia, Tyfone, and SideTap are trademarks of Tyfone, Inc. Photos/Multimedia Gallery Available: http://www.businesswire.com/cgi-bin/mmg.cgi?eid=6196733&lang=en





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First Data Extends Payment Card Security Trial to Hundreds of Merchants




http://www.firstdata.com

 

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TransArmorSM Solution Piloted by Spectrum of Brick-and-Mortar and Card-Not-Present Retailers; First Commercial Transaction Tokenized on STAR® Network




SAN FRANCISCO--(BUSINESS WIRE)--RSA CONFERENCE 2010:



First Data Corporation, a global leader in electronic commerce and payment processing, today announced the expansion of a merchant pilot of the First Data® TransArmorSM solution. More than 400 U.S. merchants of all sizes will assess the comprehensive data security solution over the next four months. The TransArmor solution (previously called First Data® Secure Transaction ManagementSM) was developed in close partnership with EMC Corporation (NYSE:EMC).



The TransArmor secure payments service is designed with the needs of merchants in mind, and it has the opportunity to fundamentally change the way merchants secure and manage cardholder data. The TransArmor solution addresses the root cause of merchant data security issues by removing payment card data from the merchant environment as part of processing the transaction, significantly reducing risk and the scope of PCI compliance efforts.



Deploys RSA SafeProxy™ Architecture




The solution leverages the RSA SafeProxy™ architecture, a powerful combination of asymmetric encryption, tokenization and key management engineered to provide the benefit of end-to-end protection and eliminate on-site cardholder data storage for merchants. Unique features of the token make it possible for merchants to continue to handle key business functions such as returns, recurring billing, loyalty programs and other analysis, without enabling card data to be used for fraudulent transactions.



On Feb. 26, 2010, the TransArmor solution tokenized the very first commercial transaction over the STAR® Network at the Center of Science & Industry (COSI) in Columbus, Ohio. A First Data company, STAR is one of the nation’s leading electronic funds transfer (EFT) networks with more than two million retail and ATM locations.



As an early participant in the TransArmor pilot, COSI is already experiencing the benefits of the solution. “Like most consumers today, several of our customers had concerns about the safety of their credit and debit card data while visiting our center. TransArmor gives us peace of mind that their payment card data is locked in a virtual vault at First Data and nowhere on site at COSI,” said Brad Morgan, senior IT operations manager at COSI.



Works with Existing Merchant Hardware




Unlike some solutions in the marketplace, the TransArmor solution can be implemented without the need for new hardware or back-end IT operations. The solution works with First Data as well as other terminals or point-of-sale systems and can be consistently applied across brick-and-click environments.



“The response from merchants interested in participating in this trial has been enormous and a testament to the sought-after service TransArmor delivers,” said Craig Tieken, vice president of Merchant Product Management at First Data. “Up until now, there have been few easy and cost-effective solutions to the growing problem of managing the risks of handling sensitive payment card data. TransArmor represents a fundamental change in how merchants can confidently protect and manage cardholder data.”



The consequences of a merchant data compromise in legal, financial, consumer confidence and brand loyalty terms can be overwhelming. According to the 2009 U.S. Cost of a Data Breach Study by the Ponemon Institute, the average cost for merchants coping with a data breach in 2009 rose to $6.7 million with the cost per customer record breached estimated at $204. With the TransArmor solution, customer card information is retained only at the processor and protects merchants from the dangers of malicious attacks designed to steal payment card data in transit or in storage from merchant databases.



“Implementing effective data security can’t mean more complexity for businesses,” said Brian Fitzgerald, vice president, Marketing, RSA, The Security Division of EMC. “TransArmor successfully embeds industry-leading security technology into the payment processing infrastructure to make it available to, and more importantly, usable, by merchants of all sizes. TransArmor is an example of the type of partnerships required from industry leaders that will reduce the reliance on point solutions and enable an industry ecosystem with pervasive built-in security.”



Teams from RSA and EMC Consulting worked collaboratively with First Data through product strategy development and technology proof of concept for a successful pilot and product launch.  

About First Data

First Data powers the global economy by making it easy, fast and secure for people and businesses to buy goods and services using virtually any form of electronic payment. Whether the choice of payment is a gift card, a credit or debit card or a check, First Data securely processes the transaction and harnesses the power of the data to deliver intelligence and insight for millions of merchant locations and thousands of card issuers in 36 countries. For more information, visit www.firstdata.com.

RSA, Safeproxy and EMC are either registered trademarks or trademarks of EMC Corporation in the United States and/or other countries. The First Data, TransArmor, and Secure Transaction Management trademarks and service marks are owned by First Data Corporation and are either registered or used in the United States and/or other countries. All other products and/or services mentioned are trademarks of their respective companies.



Photos/Multimedia Gallery Available: http://www.businesswire.com/cgi-bin/mmg.cgi?eid=6196755&lang=en





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TSYS Forms Merchant Acquiring Joint Venture With First National Bank of Omaha




 TSYS




Partnering with TSYS allows us

to gain technology and tools

that will permit us to accelerate

growth and enhance our capabilities

to serve our growing customer base.
COLUMBUS, Ga. & OMAHA, Neb.--(BUSINESS WIRE)--TSYS (NYSE: TSS) announced today the signing of a joint venture agreement with First National Bank of Omaha (FNBO) to form a new company, First National Merchant Solutions, LLC (FNMS). This gives TSYS a top-10 presence in the merchant acquiring market in the United States*.



FNMS offers transaction processing, merchant support and underwriting, and business and value-added services, as well as Visa®- and MasterCard®-branded prepaid cards for businesses of any size. Ranked as the 10th-largest merchant acquirer in North America by dollar volume, FNMS has a 57-year history in the acquiring industry with more than 300,000 merchant outlets in its diverse portfolio.



“After years of providing acquiring solutions to our clients, this joint venture positions TSYS as a full-service merchant acquirer for the first time in our company’s history,” said Philip W. Tomlinson, chairman of the board and chief executive officer of TSYS. “We felt that FNMS presented the right opportunity for TSYS to broaden its participation in the payments industry.”



“This joint venture gives FNMS increased opportunities to compete in a rapidly-changing industry,” said Daniel O’Neill, president of FNBO. “Partnering with TSYS allows us to gain technology and tools that will permit us to accelerate growth and enhance our capabilities to serve our growing customer base.”



O’Neill said that the agreement affirms FNMS’ commitment to Omaha. Diana Mehochko will remain as president of the new company and her executive management team will continue in their existing capacity.



“Strategically, we knew that FNMS offered a unique opportunity to attract the right partner who brought the significant investment required to take this important, national business to the next level,” he said. “The partnership is committed to best-in-class technology, product offerings and service to customers.”



Under terms of the agreement, TSYS will acquire 51 percent ownership of FNMS for approximately $150.5 million, while FNBO will control the remaining 49 percent. FNMS had net revenue of $93 million in 2009. The transaction is expected to close April 1, 2010.



TSYS expects the transaction to be accretive to diluted earnings per share in the first full calendar year of operation. TSYS management will discuss the acquisition in their 1Q Earnings Conference Call on April 20, 2010. Please refer to the attached Fact Sheet for further details about both companies and the joint venture terms. TSYS has posted a slide presentation relating to this transaction in the Investor Relations section of its Web site at www.tsys.com, under “Investor Relations” then “Webcasts and Presentations.”  

About TSYS

TSYS (NYSE: TSS) is one of the world’s largest companies for outsourced payment services, offering a broad range of issuer- and acquirer-processing technologies that support consumer-finance, credit, debit, healthcare, loyalty and prepaid services for financial institutions and retail companies in the Americas, EMEA and Asia-Pacific regions. For more information contact news@tsys.com or log on to www.tsys.com. TSYS routinely posts all important information on its website.

About First National Bank of Omaha

First National Bank of Omaha is a subsidiary of First National of Nebraska. First National of Nebraska has grown into the largest private banking company in the United States. First National and its affiliates have more than $17 billion in managed assets and nearly 5,700 employees located in 35 states. Primary banking offices are located in Nebraska, Colorado, Illinois, Iowa, Kansas, South Dakota and Texas.

First National Merchant Solutions has been a subsidiary of FNBO and provides complete payment processing and first-rate services and customized solutions to businesses of all sizes across the nation. For more information, visit www.fnms.com.



* The Nilson Report March 2009





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Saturday, February 27, 2010

Internet (Lack of) Security News through February 27th



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