Gemplus Offers Location-Based Services To Operators Through SIM'Xplore

• SIM'Xplore partners program offers wide range of end-user applications including LBS
• SIM'Xplore signs up Ismap, Landmat International and TrackWell to develop and deliver a range of LBS services
• SIM'Xplore combines location information with other services (entertainment, dating, travelling, etc.)

Luxembourg, 28 August 2002: Gemplus (NASDAQ: GEMP), the world's leading provider of smart card solutions, announces the entry of three new key partners to its partnership program, SIM'Xplore. This collaboration will provide a range of location-based services embedded in the SIM for operators looking to differentiate their service offering and offer mobile data services in a GSM environment.

Location-based services are a range of end-user applications that leverage the position of the subscriber in order to provide relevant information and offers based on their personal profile. They are among the first data applications to generate mobile traffic and are a key differentiator in the battle to attract and retain customers.

SIM'Xplore offers operators a range of SIM-based solutions that slot easily into their mobile data marketing strategy and enables them to offer relevant and useful content to their installed base. Using the SIM as an enabler for mobile location services means that subscribers benefit from a user-friendly service. The use of STK optimises the number of clicks and SMS sent by the user allowing for a more streamlined and efficient service. This in turn increases service penetration and mobile traffic on the network. It also sets the scene for future location services involving transactions. Once the user starts buying tickets, etc based on location based pushes, the SIM will have an increasingly important role to play in protecting sensitive data and providing digital signatures.

Jerome Nadel, Vice President, Telecom Business Unit, Gemplus, said "Our partners are chosen because they are leaders in their respective fields and our joint cooperation enables us to deliver desired mobile data services today. Combining location-based services with SIM and OTA technology is an exciting development as it improves the user experience, boosts usage and the corresponding business case for the Mobile Network Operator. This positions Gemplus firmly in the applications space."

Through these applications, Gemplus and the SIMXplore partners aim to help operators accelerate their revenue streams by deploying SMS boosting applications and increasing mobile traffic. It is predicted that, in 2006, LBS will represent 20% of operators' revenues with $3.6 billion coming from the end-user market segment (Source BWCS May 2002).

About the LBS partners
Ismap follows the vision of providing every end-user with location information relevant to their actual position and personal profile. They recognise that mobile data services have to be user friendly and beneficial in order to be profitable which is why they are keen to exploit the advantages of SIM browsing for enhancing the end-user experience. Pascal LORNE, CEO, Ismap, said, "Gemplus technology allows us to speed up the time it takes to capture the necessary data for a personalized service. In one click, the user offers up their location to the network and the Gemplus card automatically stores this data".

Landmat offers a range of location-based services tailored to different market segments and needs, from location-based mobile dating service - DateTrak, personalized astrology games - StarTrak, family and friend locator - PalTrak and mobile city guides with content partner Time Out Guides - TravelTrak. Sveinn Baldursson, President, Landmat International, said "Our vision is to keep mobile location services simple, relevant and personal. These applications have proven business models and are already popular in the field, generating a significant portion of the operator VAS revenues. The SIM channel provides us with the best and most efficient way of accessing mobile subscribers".

TrackWell's key product, My Buddy Tracker, is already enjoying commercial success by creating a strong sense of community and identity within the subscriber base. It works by creating a list of buddies and groups that everyone can access via the mobile channel allowing users to create communities and locate a particular buddy or buddies. Agust Einarsson, CEO of TrackWell, said, "The reasons for entering into this partnership are simple. We stand to benefit from faster time to market for our products, global promotion and single platform integration."

Privacy Management
A key role of the SIM is in privacy management. It enables the end-user to retain control over the use of their personal data. By using an opt in opt out scheme, the user is able to put in place filters to guard against unwanted mobile traffic. When logging on to a particular service, the end-user is asked if they wish to share their location data with the network. Without confirming their participation, they will not be able to access the service.

About Gemplus:
GEMPLUS: the world's leading provider of smart card solutions.
Gemplus helps its clients offer an exceptional range of portable, personalized solutions that bring security and convenience to people's lives. These include mobile internet access, inter-operable banking facilities, e-commerce and a wealth of other applications. Gemplus is the only completely dedicated, truly global player in the Smart Card industry, with the largest R&D team, unrivalled experience, and an outstanding track record of technological innovation. In 2001, Gemplus was the worldwide smart card leader in both revenues and total smart card shipments (source: Gartner-Dataquest, Frost and Sullivan, BNP Paribas) . Gemplus was also awarded 2002 Frost and Sullivan Market Value Award for its exceptional performance.
Gemplus trades its shares on Euronext Paris S.A. First Market and on the Nasdaq Stock Market™ as GEMP in the form of ADSs. Its revenue in 2001 was 1 billion Euros.
Gemplus: Beyond Smart www.gemplus.com

About Ismap:
Founded in 1997, Ismap has developed a technological platform that can be used with several media, is accessible via the web, mobile phones and PDAs, and is intended for mobile telecoms operators and mobility portals. Ismap's innovative applications are an effective response to telephone operators' main concern, namely increasing the average revenue per user, through added-value applications. Ismap's technology has already been chosen by leading companies such as Vivendi, AOL, Accor, Casio, Compaq and FNAC…. The company's head office is located in Marseille, France and also has offices in Singapore and Paris.

About Landmat International:
Landmat is a Nordic company, founded in 1999, that develops and markets mobile applications including location-based services. Landmat has offices in Reykjavik, Stockholm and Singapore. Landmat has always envisioned that, in the near future, location-based technology will profoundly affect the everyday life of individual users. The company's vision is to meet this demand by offering state-of-the-art location-based applications and content. The company has worked towards this by building extensive expertise, research and development of cutting-edge applications and by building strong strategic partnerships. While data and content are always local, the Landmat products and applications are global - combining Landmat products with local data makes the products applicable anywhere such local data is available.

About TrackWell:
TrackWell Software focuses its R&D efforts on location-based applications for the professional and consumer markets. Despite the general setback in the mobile and technology sectors in recent years the company has enjoyed steady growth since it was founded in 1996. TrackWell prides itself of its close-knit team. Currently numbering 40 innovative professionals, their vast experience of designing and creating mobile services is reflected in the Company's understanding of customer, business, and end-user needs. A demanding domestic market, together with privileged access to an operator's infrastructure, has afforded TrackWell additional opportunities to develop marketable ideas.

For more information, please contact:

Edelman PR
Vanessa Wong
Tel: +44 (0)20 7344 1349
Vanessa.wong@edelman.com

Gemplus PR
Jane Strachey
Tel : +33 (0)4 42 36 46 61
Jane.strachey@gemplus.com

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