SCM Supplies Leading PC Manufacturer with Smart Card Readers

FREMONT, Calif., Oct. 21 /PRNewswire-FirstCall/–SCM Microsystems, Inc. (Nasdaq: SCMM; Neuer Markt: SMY), a leading provider of solutions that open the Digital World, today announced it will provide smart card readers to MicronPC, an industry-leading PC manufacturer. The joint initiative will provide secure network access to General Services Administration and military personnel under the Department of Defense (DoD)’s Common Access Card (CAC) program.

SCM’s USB, serial and PCMCIA smart card readers will be offered as an external option on MicronPC’s ClientPro 325, 525, and CH desktop computers, as well as the TransPort T1000, V1000, and GX3 notebooks. MicronPC is a major technology supplier to the US Government.

The CAC program will provide over four million DoD personnel with a standard identification badge based on smart card technology over the next one to two years. Aside from this agreement, SCM has previously supplied its reader technology to the CAC program in partnerships with Maximus, Northrop Grumman, RMW Enterprises and others.

“SCM’s standard platform enables MicronPC to easily implement its reader technology into our desktop and notebook systems,” said Paul Petersen, MicronPC vice president of product marketing and development. “As a leading supplier of computer technology in the government sector, it’s crucial we provide security solutions that meet the requirements set forth in the DoD’s CAC program.”

“MicronPC’s selection of SCM demonstrates its growing recognition as the leading provider of secure access solutions for the PC platform,” said Jason Schouw, vice president, Americas at SCM Microsystems. “SCM is the most capable and experienced reader supplier to handle the large scale demand required by one of the DoD’s major suppliers. This is a significant win for SCM as we continue to drive our security platform into the government sector.”

The readers being supplied to MicronPC are all based on SCM’s STC II controller chip, an embedded, single chip solution for smart card and biometric readers that supports multiple interfaces, multiple reader devices and all relevant security standards. The STC II chip was the industry’s first to offer On-board Flash, allowing future firmware and application enhancements.

About MicronPC

MicronPC, LLC provides award-winning computer products and services for government, education, small and medium business and consumer markets. In addition to its direct business-to-business sales channel, MicronPC products are sold through leading resellers nationwide. MicronPC is held by Gores Technology Group, an international acquisition and management company. MicronPC is headquartered in Nampa, Idaho. More information about the company can be found at http://www.micronpc.com.

About Gores Technology Group

With headquarters in Los Angeles, Gores Technology Group (GTG) is a privately held international acquisition and management firm that pursues an aggressive strategy of acquiring promising high-technology organizations and managing them for growth and profitability. GTG has a proven track record of acquiring and successfully managing companies–including many divisions acquired from large publicly traded companies–through its commitment to customers, employees and continued development of intellectual property. GTG has acquired and managed approximately 40 interrelated but autonomous technology-oriented companies with locations throughout the world. Those companies provide a broad range of technology-based products and services to a substantial customer base representing millions of active users worldwide. Visit the company’s Web site at http://www.gores.com.

About SCM Microsystems

SCM Microsystems is a leading supplier of solutions that open the Digital World by enabling people to conveniently access digital content and services. SCM’s Security business provides smart card reader technology for the PC platform and conditional access modules for the digital TV platform to OEM customers in the government, financial, enterprise and broadcasting markets worldwide. The Company’s Digital Media and Video business provides hardware, software and silicon solutions for creating and sharing digital media content to the worldwide retail market under the Dazzle™ brand. Global headquarters are in Fremont, California, with European headquarters in Ismaning, Germany. For additional information, visit the SCM Microsystems website at http://www.scmmicro.com.

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