NXP to transfer mobile services biz to Gemalto

AMSTERDAM & EINDHOVEN, THE NETHERLANDS: Gemalto, a leader in digital security, and NXP have entered into an agreement whereby NXP would transfer its mobile services business to Gemalto.

The related unit based in Sophia Antipolis, France will continue to develop and market software and service solutions compliant with MIFARE4Mobile interface specifications, which manage MIFARE-based applications in Near Field Communication (NFC) mobile devices.

MIFARE is the leading contactless technology globally, predominantly used within transportation networks, ticketing and access management applications. This strategic move by the two industry leaders aims to accelerate the global adoption of NFC technology in existing contactless infrastructures and further promotes the deployment of MIFARE.

Olivier Piou, CEO of Gemalto noted: “We believe that transportation will be a favorite application for NFC phones and will help spur adoption of the technology. MIFARE is the reference in contactless transportation and we welcome this opportunity to add MIFARE capability to our Trusted Service Manager services platform.”

Adding this MIFARE4Mobile software further strengthens Gemalto’s Trusted Service Manager (TSM) platform offer linking transport operators, banks and mobile phone operators enabling the mobile phone to be used with existing payment and contactless ticketing infrastructure. The TSM notably makes the entire process of downloading tickets and subscriptions onto the cell phone more efficient and secure.

“The agreement demonstrates the importance of the MIFARE technology in contactless applications and is a major step to large scale deployments of NFC based services”, said Rick Clemmer, Chief Executive Officer of NXP Semiconductors. “As the co-inventor and leader in NFC technology, NXP continues to shape the NFC ecosystem with key industry partners by further evolving the MIFARE technology on NFC devices.”

NXP will continue to invest in the development of industry-leading NFC chips fully compliant with current standards and interoperable with existing contactless infrastructure.

The specifications of the MIFARE4Mobile interface and the associated intellectual property will remain in the ownership of NXP who will ensure interoperability and full availability to all market players on terms released in December 2008 on http://mifare.net/products/mifare4mobile. NXP will also have a central role in evolving the MIFARE4Mobile interface specifications.

The deal is subject to regulatory approvals and labor council consultations. The terms of the transaction, which is expected to close in Q2 2009, were not disclosed.

*MIFARE and MIFARE4Mobile are trademarks of NXP B.V. in the US and other countries.