Dai Nippon Printing Co., Ltd. (DNP) will collaborate with Gemalto N.V. (Gemalto),a world leader in digital security, in the area of security for the Internetof Things (IoT).

[Background]

According to a 2011 survey conducted by Cisco Internet Business SolutionsGroup, the number of IoT-linked devices will rise to 50 billion units on a globalbasis in 2020, and it is expected that these devices will be installed and usedin a variety of sites. If device -based or device-to-server/server-to-devicecommunications security levels are not maintained at high levels, then thereare fears of damage from data theft or tampering from malicious third-parties.Cases have already been reported from outside Japan of IoT-linked devices beingattacked and damaged by data tampering as a result of the hacking of smart metersthat digitally measure power usage. At the same time, the automobile industry,which is looking forward to the penetration of connected cars and unmanned groundvehicles, has also been highlighted as a likely target of hacking-based hijackingof controls. Against this background, DNP is fielding increased calls for enhancedIoT security measures.

DNP has been engaged in the development of smart card software, manufactureand personalization of smart cards, along with authentication services sincethe 1980s, and has built up a significant domestic market share in cash cards,credit cards, and smart phone Subscriber Identity Module (SIM) cards. And bycapitalizing on the technology and know-how developed through these endeavorsDNP is now promoting the development of gateway terminals and related applicationsdesigned to achieve an IoT environment. Gemalto operates digital security solutionscombining trustworthiness and convenience in a broad array of areas, includingfinance, government, mobile, transport and M2M, and offers these solutions tocompanies and governments around the globe, as well as their users.

In this latest development, DNP and Gemalto will collaborate in the areaof IoT security, and by taking advantage of the partners' technologies andknow-hows, aim to achieve a more universal, high security IoT environment.   

[Collaboration]

DNP and Gemalto will collaborate in the area of IoT security, and will developan IC card technology-driven secure IoT platform.

In concrete terms, the new platform will utilize Transport Layer Security(TLS), a transport layer protocol capable of encrypting, receiving and sendingdata on the internet that has become a standard internet protocol, in communicationsbetween IoT devices and servers. And by storing the encryption key and digitalcertificate used in mutual TLS authentication in a Secure Application Module(SAM) equipped with advanced anti-tampering properties, it is possible to preventillicit access or tampering, and conduct safer mutual authentication betweendevices and servers. SAM is a module integrated with security-related applicationsthat encrypts, and authenticates data on a secure IC chip, and protects confidentialinformation.

The partners will also offer a service for the secure delivery of encryptionkeys and digital certificates, along with applications. As a result of usingthe new platform, IoT-linked devices and communications security will be improved,making it possible to realize a safer and more secure IoT ecosystem. The partnerswill jointly promote field tests using the new platform, both in Japan and overseas,along with standardization activities and sales.

[Looking Ahead]

DNP has positioned Knowledge and Communication, Food and Healthcare, Lifestyleand Mobility, and the Environment and Energy as business growth areas, and isengaged in the creation of new values.

The Company will strengthen information security responses against the backdropof increased demand from society, and will provide a variety of informationservices, including consulting and marketing.

Through this latest collaborative enterprise with Gemalto, goods and servicesdeveloped by the partners will be proposed to participants in the finance, communications,critical infrastructure, manufacturing and medical areas where demands for advancedsecurity are high. DNP aims approximately 3.5 billion yen in sales in FY 2020.

* Product prices, specification and service contents mentioned in this newsrelease are current as of the date of publication. They may be changed at anytime without notice.