3G is set to be a major driver of the local and international telecommunications industry in 2006 and will remain part of trusted transactions company, Prism Holdings`, technology blueprint.
"There is no doubt that 3G is set to significantly transform the telecoms industry and there are certainly exciting times ahead," says Prism`s chip and wireless divisional director, Graham McKay.
"3G allows for data to be transmitted faster and in greater quantities over networks and enables a host of value-added-services such as video conferencing, music and game downloads, high-speed connectivity and more."
Prism introduced its 3G USIM product into the market in 2005, following an intensive R&D effort. For a company the size of Prism, this was a major investment and demonstrated the company`s significant commitment to the telecommunications SIM market.
"Although we believe that the 3G subscriber base will take a number of years to mature, 2G and 2/3G mobile operators are preparing for this by supplying 3G ready USIM technology into the market to facilitate migration of their current 2G subscriber base. As such, much of our effort will focus around USIM and related technologies such as JavaCard and SmartTrust WIB," he explains.
McKay is optimistic that for the medium-term, 3G USIM cards will play an increasingly significant role in 3G data and content services.
"Within the area of Digital Rights Management (DRM)*, Prism will be able to leverage its cryptographic expertise and products to provide a total solution," he says.
According to McKay, handset technology interfaces and enablers for this are emerging in the form of JavaCard and J2ME interface specifications, which facilitate the necessary interoperability for SIM/USIM security applications such as DRM. Prism actively participates in SIMAlliance (www.simalliance.com) and the SIM Sentry specification for providing SIM based DRM.
"By providing operators with the technology and capability to offer content providers with a secure and sustainable business model for content distribution and usage, 3G wireless bandwidth becomes `secure` bandwidth. Media portals companies and mobile operators do not want a repeat of Napster/Grokster in the mobile market," explains McKay.
He points out that mobile payment is still relatively immature and has not yet yielded a satisfactory business case for most early adopters of 2 and 2.5G.
"On its own 3G will not address this. However, as with the wired Internet, increased bandwidth on the wireless Internet, coupled with a critical mass of subscribers will allow a multitude of services to flourish. This will primarily be driven by independent service and content providers," says McKay.
He adds that these service providers require payment as an integral part of the mobile service package. Furthermore, with the trend in most markets leaning predominantly towards the prepaid subscriber billing model, secure electronic payment capability will have to be offered as part of a 3G mobile service package to third-party and content providers.
"When we commenced R&D on USIM, we anticipated that the demand for advanced 3G data services would become an everyday reality and directed our own development efforts, based on our predictions of how 3G technology would evolve.
"Our 3G technology blueprint now incorporates back-end server and USIM/J2ME client technologies which will continue to evolve to facilitate the securing of both mobile content and mobile payment," concludes McKay.
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* Digital rights management (DRM) definition: A system for protecting the copyrights of data circulated via the Internet or other digital media by enabling secure distribution and/or disabling illegal distribution of the data. Typically, a DRM system protects intellectual property by either encrypting the data so that it can only be accessed by authorised users or marking the content with a digital watermark or similar method so that the content can not be freely distributed.
3G is an ITU specification for the third generation (analogue cellular was the first generation - 1G; digital PCS the second generation - 2G) of mobile communications technology. 3G promises increased bandwidth, up to 384Kbps when a device is stationary or moving at pedestrian speed, 128Kbps in a car, and 2Mbps in fixed applications. 3G will work over wireless air interfaces such as GSM, TDMA and CDMA.
SIM (subscriber identity module) - a smart card used inside of a GSM cellular phone and encrypts voice and data transmissions and stores data about the user so that the user can be identified and authenticated to the network supplying the phone service.
The USIM (UMTS* Subscriber Identity Module) is the user subscription to the UMTS mobile network. The USIM contains relevant information that enables access onto the subscribed operator`s network. UMTS is the Universal Mobile Telecommunications System - a 3G mobile communications system which provides an enhanced range of multimedia services. UMTS speeds convergence between telecommunications, IT, media and content industries to deliver new services and create fresh revenue generating opportunities.
Prism Holdings (www.prism.co.za)
JSE-listed Prism Holdings Limited is a trusted transactions company with expertise in the area of secure electronic transaction technologies and services. The group has a strong presence in South Africa and an established and expanding footprint across Africa and South-East Asia. Prism`s head office is located in Johannesburg, South Africa and has a regional office in Kuala Lumpur, Malaysia.
Prism has a proven track record in the delivery of own IP transaction technologies and end-to-end solutions tailored for the retail, utilities, banking, cellular and petroleum industries. The group has developed and implemented innovative payment-centric products that bridge the following technologies:
* Chip and wireless products: including telecoms and financial software, GSM SIM cards, SAMs, and prepaid telephone cards.
* Encryption products: Incognito Transaction Security Modules (TSMs), security products ensuring transaction integrity, and third party products.
* OEM transaction modules including secure payment modules, PIN entry devices, card readers and outdoor payment terminals (OPTs).
* Pay point technologies incorporating secure integrated POS payment systems, VeriFone products, EMV upgrades, payment software and FlexiLane/FlexiPOS multi-lane chip payment solution.
* Services division which manages the largest
bank-independent financial switch in southern Africa - EasyPay
services.
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