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Gemplus and Telemac to offer a SIM-based billing solution

Combined solution provides secure, real-time prepaid and post-paid billing for wireless services

DALLAS, TEXAS - April 2, 2002 - Gemplus (NASDAQ: GEMP), the world's leading provider of smart card-enabled solutions, and Telemac Corporation, the leader in network-edge real-time accounting and billing technologies for the wireless industry, today announced that they will integrate Telemac's IMA-Module™ network-edge real-time billing software into a Gemplus SIM (subscriber identity module) card for wireless devices.

Initially made available to Telemac-licensed network operators and MVNOs in the Americas, the Gemplus Telemac-enabled™ SIM card used in a wireless device will fully support Telemac CostControl™ technology. Gemplus and Telemac will collaborate in marketing Gemplus Telemac-enabled™ SIMs and later, other Gemplus Telemac-enabled™ smart cards.

Telemac CostControl™ technology, part of the Telemac Advantage™ suite, is a patented real-time billing and accounting solution for both prepaid wireless service and traditional post-paid service with adjustable spending limits. The technology brings operators rapid deployment, scalability, seamless national and international roaming, reduced non-revenue generating network traffic, personal account verification via function keys on the wireless device, and a web-based administrative tool for modifying program parameters.

By integrating Telemac CostControl™ technology into a Gemplus SIM card, sensitive billing and accounting processes will be protected by a secure smart card platform. Gemplus SIM cards bring security and value-added services to network operators around the world and more recently, Gemplus' Java Card™ technology-based GemXplore 'Xpresso was the first Java Card platform to be certified Evaluation Assurance Level (EAL) 5+ by the Common Criteria security standards body, exceeding current legal requirements.

"Increasing average revenue per user (ARPU) is the main focus of mobile operators today, and prepaid wireless services are becoming more sophisticated to help carriers reach this goal," said Knox Bricken of the Yankee Group. With SIM cards becoming more prevalent in the Americas, the Gemplus Telemac-enabled™ SIM cards will provide a new alternative for prepaid and post-paid spending limits services in all second and third generation wireless networks. By providing stored value-management, real-time billing and accounting, the Gemplus Telemac-enabled™ SIM opens new opportunities in the areas of prepaid roaming where calling-party-pays is not supported, and for micro-payments.

"The powerful combination of the Telemac solution and our SIM implementation enables wireless carriers to reduce their capital expenditures as they launch efficient and global prepaid services," said Mac McKinnon, Vice President, Telecom North America, Gemplus. "The Telemac solution complements our SIM client-server solutions with our retention offering (predictive-CRM) and our mobile prepaid reload solution, and helps expand our applications to post-paid spending limits programs."

Kenin M. Spivak, Chairman and CEO of Telemac Corporation, said, "We are grateful for the support of Gemplus, the world's foremost provider of smart cards. Consumers want choice. Gemplus Telemac-enabled™ smart cards will significantly expand the selection of Telemac-enabled™ wireless devices and make even more compelling the benefits of Telemac's patented network-edge real-time billing and accounting solutions. Our strong technical collaboration and commercial partnership with Gemplus will help enable us to remain at the forefront of innovative billing solutions."

About Telemac Corporation

Telemac Corporation is the global leader in advanced network-edge real-time accounting, billing, and payment processing technologies for the wireless industry, including cost control, data, and prepaid solutions protected by worldwide patents. The Telemac Advantage™ solution is a complete real-time billing system supporting all voice and data services operating on 2G, 2.5G, and 3G networks. Telemac technology is licensed to wireless service providers on six continents, and supports all tariffing methods, roaming, and selective over-the-air communications between the network and phone to modify configurations and replenish credit balances. The Telemac Advantage™ solution is available in a range of service bureau and on-site deployment options. More than 12,000,000 Telemac-enabled™ mobile phones have been sold worldwide. For more information, visit www.telemac.com

About Gemplus

Gemplus is the world's number one provider of solutions empowered by smart cards. 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, interoperable 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. 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 2000 was 1.205 Billion Euros. It employs 6721 people in 37 countries throughout the world.
Gemplus: Beyond smart

Contacts

Gemplus
Alicia Jones
Edelman PR Worldwide
Tel : +1 323 202 1047
Alicia.jones@edelman.com

Telemac Corporation
Traci L. Collins
Director - Corporate Communications
Tel: +1 310 568 6585
Fax: +1 310 216 3426
Media@telemac.com

For Telemac Sales Worldwide
sales@telemac.com

 

IT SHOULD BE NOTED THAT CERTAIN OF THE STATEMENTS CONTAINED IN THIS RELEASE MAY CONSTITUTE FORWARD-LOOKING STATEMENTS WITHIN THE MEANING OF SECTION 27A OF THE SECURITIES ACT OF 1933 AND SECTION 21E OF THE SECURITIES EXCHANGE ACT OF 1934. THESE STATEMENTS RELATE TO FUTURE EVENTS OR OUR FUTURE FINANCIAL PERFORMANCE AND INVOLVE KNOWN AND UNKNOWN RISKS, UNCERTAINTIES AND OTHER FACTORS INCLUDING WITHOUT LIMITATION CUSTOMER DEMAND FOR OUR PRODUCTS, SUPPLY OF KEY COMPONENTS, DEVELOPMENTS IN THE MARKET AND ADVANCES IN TECHNOLOGY THAT MAY CAUSE OUR OR OUR INDUSTRY'S ACTUAL RESULTS, LEVELS OF ACTIVITY, OR PERFORMANCE TO MATERIALLY DIFFER FROM THOSE EXPRESSED OR IMPLIED BY SUCH FORWARD-LOOKING STATEMENTS. FOR A MORE DETAILED DESCRIPTION OF THESE FACTORS, PLEASE SEE GEMPLUS' MOST RECENT FILINGS WITH THE SECURITIES AND EXCHANGE COMMISSION. THESE STATEMENTS REFLECT MANAGEMENT'S CURRENT EXPECTATIONS REGARDING FUTURE EVENTS AND OPERATING PERFORMANCE AND SPEAK ONLY AS OF THE DATE OF THIS RELEASE. WE ARE UNDER NO DUTY TO UPDATE OR REVISE ANY OF THE FORWARD-LOOKING STATEMENTS AFTER THIS DATE OR TO CONFIRM SUCH STATEMENTS TO ACTUAL RESULTS OR TO REFLECT THE OCCURRENCE OF ANTICIPATED RESULTS.

©2002 Gemplus and Telemac Corporation. All rights reserved. Gemplus, the Gemplus logo, GemXplore and GemXpresso are the trademarks and service marks of Gemplus and may be registered in certain countries. Telemac, the Telemac logo, Telemac CostControl, Telemac Advantage, Telemac-enabled, IMA-Module and Telemac Prepaid Technology are trademarks and service marks of Telemac Corporation and may be registered in certain countries. Sun, Java and Java Card are trademarks and service marks of Sun Microsystems, Inc., and may be registered in certain countries. All other trademarks and service marks, whether registered or not in specific countries, are the property of their respective owners.