Santa Ana, California and Ismaning, Germany, October 7, 2009 – SCM Microsystems Japan, Inc., a subsidiary of SCM Microsystems, Inc. (NASDAQ: SCMM, Prime Standard: SMY), and Dai Nippon Printing Co., Ltd. (DNP), today announced that they are expanding their cooperative relationship to address important challenges in the Japanese IT security market.

Together with Digital Media Research Institute, Inc., SCM Microsystems Japan and DNP are launching a new solution that keeps important digital data safe using cloud computing technologies. The solution is a high-security data storage system developed by DNP, which consists of DNP’s TranC’ert DNA software, a SIM card and SCM Microsystems’ @MAXX lite secure smart card reader. Digital Media Research Institute, Inc. is providing sales and consulting services for the implementation of the new system. DNP’s TranC’ert DNA software splits up and encrypts sensitive or confidential data, and stores it on three servers, which secures and protects the information from loss, damage or theft.

The new system provided by SCM Microsystems, DNP and Digital Media Research Institute offers a secure cloud computing infrastructure scheme, as the Smart card in ID000 (SIM) form factor securely stores and processes the data, DNP’s TranC’ert DNA software protects the data by distributing it across multiple servers, and SCM Microsystems’ @MAXX lite reader allows users with the proper authorization to quickly and securely access and reconstruct the data. @MAXX lite includes a built-in smart card reader and on-board flash memory that enables this mobile device to provide secure and cost-efficient handling of sensitive data. Currently, the new system is being piloted in trials and is expected to be available throughout Japan beginning in December 2009.

SCM Microsystems Japan and DNP are also working together to launch a new security solution utilizing near field communication (NFC) contactless technologies. The companies will begin selling the new solution, which allows compatibility of IC cards across the three primary contactless communication standards–FeliCa™, MIFARE™ and ISO 14443 Type A and B–in November 2009. Using its ‘Endpoint Saver’, a user authentication and access control software, DNP will begin distributing the new security solution in combination with SCM’s SCL010 and SCL3711 contactless smart card readers.

With its NFC security system as the starting point, DNP and SCM Microsystems will continue to develop new solutions utilizing NFC to meet upcoming market needs. Both DNP and SCM Microsystems will promote their NFC-related products and systems globally to business enterprises, municipalities, medical institutions and the entertainment industry.

About Dai Nippon Printing Co., Ltd. (DNP)

DNP is one of the world’s largest comprehensive printing companies, with annual sales of 1.585 trillion yen and approximately 40,000 employees as of March 2009. DNP’s wide range of businesses include publication printing, commercial printing, smart cards, business forms, network business and electronic components.

About Digital Media Research Institute, Inc.

DMR, Digital Media Research Institute, was established in 2005 as a consulting service company in Japan. DMR provides the consulting service for the information security and the information management center, and also a support service for the network security system and the digital archive business.

About SCM Microsystems, Inc.

SCM Microsystems (NASDAQ: SCMM; Prime Standard: SMY) is a global leader in security and identity solutions for secure access, secure identity and secure exchange. Together with its Hirsch Electronics subsidiary, SCM provides complete, integrated solutions that secure digital assets, electronic transactions and facilities. The company offers the world’s broadest range of contact, contactless and mobile smart card reader technology; physical and logical access control systems; digital identity transaction platforms; biometrics; and digital video. SCM’s solutions enable a wide variety of applications including enterprise security, identity management, contactless payment, e-health and electronic government services. For additional information, visit http://www.scmmicro.com and http://www.HirschElectronics.com.

Note: FeliCa is a trademark of Sony Corporation and MIFARE is a trademark of NXP Semiconductors. All other trademarks are the property of their respective owners.

Contacts

Annika Oelsner
+49 89 9595-5220
aoelsner@scmmicro.de

Darby Dye
+1 949-553-4251
ddye@scmmicro.com

Masahiro Yamashita
+81 3 6414-6616
myamashita@scmmicro.co.jp