Dual Interface Technology Update EuroForum 2014 Munich Agenda 1/ - - PowerPoint PPT Presentation

Dual Interface Technology Update

EuroForum 2014

Munich

Agenda

1/ Dual Interface Technologies 2/ Cards Market: Dual Interface Banking 3/ Conclusions

Agenda

1/ Dual Interface Technologies

SOME HISTORICAL FACTS

• First developments of Dual Interface Cards took place in

the mid 90th

• First patents were filed in the late 90th
• But, the market was not ready for DI cards at that time
• Some companies expected a pure sublimation from

contact cards to contactless cards and stopped their dual interface activities

BUT NOW THE MARKET IS HERE But let’s talk about the technologies first . . .

POLYMER BUMP

Throughput: approx.: 2.000 cards /h

(source: Mühlbauer)

AFC

Throughput: approx.: 1.200 cards /h

Conductive Glue

Throughput: approx.: 1.500 cards /h

(source: Ruhlamat)

Direct Soldering

Throughput: approx.: 1.200 cards /h

(source: Smartrac)

Card Body Lamination Hot Melt lamination & Module Embedding & Module connection & test Cavity Milling Antenna + tin Inlay Module Pre Solder

Inductive Coupling

Card Body Lamination Cavity Milling & Module Embedding &test Antenna Inlay Double Side Module

Throughput: approx.: 4.000 cards /h

INDUCTIVE COUPLING ADVANTAGES

Investment Level for

Dual Interface Technologies

If you are already equipped with an embedding machine the level

• f investment for

Inductive Coupling is 0€!

• Ind. Coupling
• Ind. Coupling

Cost Calculation per Card

Inductive Coupling Detailed calculation is available under NDA for discussion

Reliability

Inductive Coupling: No connection of modules and antenna => No Achilles Heel

Processability

Inductive Coupling: Common lamination and implanting process

Cost effectiveness

Inductive Coupling: No investment necessary Highest throughput per hour

SPS TECHNOLOGY ADVANTAGES

• Lowest Card Cost
• No Investment
• High Reliability
• Mature and Worldwide used

technology

• 5 lines embossing
• Lowest Card cost
• PC & PET compliant with same

Inlay

• One industrial line for

Contact/Dual/Hybrid/Contactless

• Large choice of PC cards

structure

Banking & Transport Identity Solution independent from Chip & OS

Agenda

2/ Cards Market: Dual Interface Banking

SPS Source

100 200 300 400 500 600 700 800 900 1,000 2010 2011 2012 2013 2014 2015 2016 2017

Banking Smart Card Annual Shipment

ContactLess Contact Dual 500 1,000 1,500 2,000

Banking Cards installed

Plastic Card installed Smart Card

50 100 150 200 250 2010 2011 2012 2013 2014 2015 2016 2017

Banking Cards in circulation

Plastic Card installed Smart Card installed 10 20 30 40 50 60 2010 2011 2012 2013 2014 2015 2016 2017

Banking smart card - Annual Volumes

ContactLess Contact Dual

SPS Source

500 1,000 2010 2011 2012 2013 2014 2015 2016 2017

Bank cards in circulation

Plastic Card installed Smart Card installed 20 40 60 80 100 120 140 160 180 200 2010 2011 2012 2013 2014 2015 2016 2017

Brasil Banking Smart Card Annual Shipment

ContactLess Contact Dual

SPS Source

1,000 2,000 3,000 4,000 5,000 2010 2011 2012 2013 2014 2015 2016 2017 Plastic Card installed Smart Card installed 200 400 600 800 1,000 1,200 1,400 2010 2011 2012 2013 2014 2015 2016 2017

China Banking Smart Card Annual Shipment

ContactLess Contact Dual

SPS Source

130 140 150 160 170 180

Bank cards in circulation

Plastic Card installed Smart Card installed 10 20 30 40 50 60 2010 2011 2012 2013 2014 2015 2016 2017

Banking smart card - Annual Volumes

ContactLess Contact Dual

SPS Source

Worldwide Figures

Cards in Circulation : 10.200 Mu

2,000 4,000 6,000 8,000 10,000 12,000 14,000 2010 2011 2012 2013 2014 2015 2016 2017

Banking cards in circulation

Plastic Card installed Smart Card installed

A high penetration of EMV Smart Card is expected in the World (49% to date - 73% in 2017)

SPS Source

Worldwide Figures

Strong growth in Dual Interface Cards (2 ½ billion and 66% in 2017)

SPS Source

500 1000 1500 2000 2500 3000 3500 4000 2010 2011 2012 2013 2014 2015 2016 2017

Banking Smart Card Annual Shipment

ContactLess Contact Dual

FURTHER MARKETS

Governmental Cards:

• ID Cards
• Driver License
• Military Cards
• Resident Permit

Health Cards:

• Health Card and Health Professional Card

Public Transport Access:

• PKI
• Time & Attendance

Agenda

3/ Conclusions

CONCLUSIONS

• The Dual Interface Market is one of the fastest growing

markets at this time

• The requirements on reliability of DI cards will continue to

increase

• We will face continuous selling price erosion of 5% to 15%

per card

The Inductive Coupling Technology from S-P-S helps you to master this challenges

Thanks for your time and attention

For further questions, please contact: Bernhard F. Wernberger

Managing Director

ARE CON GmbH & Co. KG

Stau 144, 26122 Oldenburg, Germany Mobile: +49 160 907 13 587 wernberger@are-con.com