Gemplus renews multi-year agreement with Cingular for (U)SIM cards

Gemplus selected to provide USIM for Cingular 3G migration

Luxembourg and Dallas, TEXAS – 12 July, 2005 – Gemplus International S.A. (Euronext: LU0121706294 – GEM and NASDAQ: GEMP), the world’s leading provider of smart card solutions, today announces that it renewed its multi-year supply agreement with Cingular Wireless, the largest wireless carrier in the United States, for Subscriber Identity Module (SIM) cards and was selected as one of Cingular’s primary suppliers of Universal SIM (USIM)¹ cards. Cingular is currently using Gemplus’s SIM cards for Enhanced Network Selection and advanced data services for its GSM subscribers.

"(U)SIM cards are an integral part of our strategy to improve the customer experience," said Scott McElroy, executive director of technology, Cingular Wireless. "(U)SIMs provide the high level of security that we need as the largest U.S. wireless provider and bring our customers a richer phonebook and service continuity at home and abroad, from handset-to-handset, and in their migration to 3G."

More than 75 million North Americans use SIM cards today. This number is expected to increase significantly over the next few years as more and more operators continue to migrate their subscribers to SIM cards. The (U)SIM card authenticates and identifies individual subscribers onto the wireless network and lets wireless carriers have a one-to-one relationship with subscribers. (U)SIM cards enable subscribers to freely carry their subscription and personal information from phone to phone, which has contributed to the global success of GSM.

“Gemplus is pleased to support Cingular as it develops 3G services in the U.S.A. and will continue to build on a strong relationship based on service quality,” said Ernie Berger, President of Gemplus North America. “We will continue to work closely with Cingular to optimize the value of (U)SIM cards for their migration to 3G.”

¹ The Universal SIM (USIM) is a SIM built for 3G. It carries out the same functions as the 2G SIM, but also acts as a means to ensure continuity of service when migrating to 3G and enable a new range of data services.

About Gemplus

Gemplus International S.A. (Euronext: LU0121706294 - GEM and NASDAQ: GEMP) is the world's leading player in the smart card industry in both revenue and total shipments (source: Gartner-Dataquest (2005), Frost & Sullivan, Datamonitor). It has sold over 5 billion smart cards.

With security at its core, and 2400 patents and patent applications produced by its innovative R&D team, Gemplus delivers a wide range of portable, personalized solutions in areas including Identity, Mobile Telecommunications, Public Telephony, Banking, Retail, Transport, Healthcare, WLAN, Pay-TV, e-government, and access control.
Gemplus' revenue in 2004 was 865 million Euros.

www.gemplus.com

For more information

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

Rebecca Naysan
Edelman
Tel: +1 (212) 704 8245
E-mail: rebecca.naysan@edelman.com


©2005 Gemplus. All rights reserved. Gemplus, the Gemplus logo, are trademarks and service marks of Gemplus S.A. and are registered in certain countries. All other trademarks and service marks, whether registered or not in specific countries, are the property of their respective owners.

Some of the statements contained in this release constitute forward-looking statements. These statements relate to future events or our future financial performance and involve known and unknown risks, uncertainties, and other factors that may cause our or our industry's actual results, levels of activity, performance or achievements to be materially different from any future results, levels of activities, performance, or achievements expressed or implied by such forward-looking statements. Actual events or results may differ materially. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future results, levels of activity, performance or achievements. Factors that could cause actual results to differ materially from those estimated by the forward-looking statements contained in this release include, but are not limited to: trends in wireless communication and mobile commerce markets; our ability to develop new technology, and the effects of competing technologies developed and expected intense competition generally in our main markets; profitability of our expansion strategy; challenges to or loss of our intellectual property rights; our ability to establish and maintain strategic relationships in our major businesses; our ability to develop and take advantage of new software and services; and the effect of future acquisitions and investments on our share price. Moreover, neither we nor any other person assumes responsibility for the accuracy and completeness of such forward-looking statements. The forward-looking statements contained in this release speak only as of this release. We are under no duty to update any of the forward-looking statements after this date to conform such statements to actual results or to reflect the occurrence of anticipated results.