Smart card

In February 1967, Gröttrup filed the patents DE1574074[5] and DE1574075[6] in West Germany for a tamper-proof identification switch based on a semiconductor device and described contactless communication via inductive coupling.

In September 1968, Gröttrup, together with Jürgen Dethloff as an investor, filed further patents for this identification switch, first in Austria[8] and in 1969 as subsequent applications in the United States,[9][10] Great Britain, West Germany and other countries.

In 2001, Bull sold its CP8 division together with its patents to Schlumberger, who subsequently combined its own internal smart card department and CP8 to create Axalto.

Customers inserted the card into the merchant's point-of-sale (POS) terminal, then typed the personal identification number (PIN), before the transaction was accepted.

They have been common in Germany (Geldkarte), Austria (Quick Wertkarte), Belgium (Proton), France (Moneo[19]), the Netherlands (Chipknip Chipper (decommissioned in 2015)), Switzerland ("Cash"), Norway ("Mondex"), Spain ("Monedero 4B"), Sweden ("Cash", decommissioned in 2004), Finland ("Avant"), UK ("Mondex"), Denmark ("Danmønt") and Portugal ("Porta-moedas Multibanco").

Private electronic purse systems have also been deployed such as the Marines corps (USMC) at Parris Island allowing small amount payments at the cafeteria.

Target made the decision on 30 April 2014 that it would try to implement the smart chip technology to protect itself from future credit card identity theft.

Most contactless fare collection systems are incompatible, though the MIFARE Standard card from NXP Semiconductors has a considerable market share in the US and Europe.

Although designed to be a security feature, the static CSC is susceptible to fraud as it can easily be memorized by a shop attendant, who could then use it for fraudulent online transactions or sale on the dark web.

This vulnerability has led the industry to develop a Dynamic Card Security Code (DCSC) that can be changed at certain time intervals, or after each contact or contactless EMV transaction.

In the typical use case, fingerprint sensors are integrated into a payment card to bring a higher level of user authentication than a PIN.

Typically, these buttons are used to: While separate keys have been used on prototypes in the early days, capacitive keyboards are the most popular solution now, thanks to technology developments by AudioSmartCard International SA.

Displays can be made using two technologies: If a Complex smart Card is dedicated to making cryptographic computations (such as generating a one-time password) it may require a secure cryptoprocessor.

Additionally, keeping battery-operated Complex Cards in inventory for extended periods of time may reduce their performance due to battery ageing.

Second-generation battery-free technology ensures operation during the entire lifetime of the card and eliminates self-discharge, providing extended shelf life, and is more eco-friendly.

CardLab Innovation,[38] incorporated in 2006 in Herlev, Denmark, specializes in Complex Cards that include a switch, a biometric reader, an RFID jammer, and one or more magstripes.

Giesecke & Devrient, also known as G+D,[55] is a German company headquartered in Munich that provides banknotes, security printing, smart cards and cash handling systems.

Due to its Lithium ion thin film battery, the Stratos card was equipped with LEDs and communicated in contactless mode and in Bluetooth low Energy.

These pads provide electrical connectivity when inserted into a reader,[104] which is used as a communications medium between the smart card and a host (e.g., a computer, a point of sale terminal) or a mobile telephone.

Via the contactless interface they work somewhat differently, in that the card commands enabled improved features such as lower power and shorter transaction times.

Turkey had a high level of road accidents and decided to develop and use digital tachograph devices on heavy vehicles, instead of the existing mechanical ones, to reduce speed violations.

Emergency medical information such as blood type, allergies, and biometrics (fingerprints) can be stored on the chip if the card holder wishes.

[106] In 2002, the Estonian government started to issue smart cards named ID Kaart as primary identification for citizens to replace the usual passport in domestic and EU use.

SIMalliance states that SCWS offers end-users a familiar, OS-independent, browser-based interface to secure, personal SIM data.

[citation needed] The UK's Department for Transport mandated smart cards to administer travel entitlements for elderly and disabled residents.

Differential power analysis involves measuring the precise time and electric current required for certain encryption or decryption operations.

Although such techniques may involve a risk of permanent damage to the chip, they permit much more detailed information (e.g., photomicrographs of encryption hardware) to be extracted.

Smart cards can be electronic key rings, giving the bearer ability to access information and physical places without need for online connections.

[131] While manufacturers may develop new card models with additional information security, it may be costly or inconvenient for users to upgrade vulnerable systems.

To address this problem, the Berlin Group launched the ERIDANE Project to propose "a new functional and security framework for smart-card based Point of Interaction (POI) equipment".