Smart Card Platform Goes to Manufacturers

The Windows for Smart Cards Developer’s Toolkit is now available for OEMs and Systems Integrators who want to use Microsoft’s most compact operating system to build smart card applications. Microsoft anticipates that Windows-powered smart cards will allow the company to capture a significant part of an embryonic market that is expected to swell to more than 1.2 billion units by 2001. Although Microsoft may charge smart card OEM’s only US$.20 to US$.50 per card for the Windows for Smart Cards operating system, this could generate hundreds of millions of dollars in annual revenues.

Background and Strategy

A smart card is essentially a credit card with an embedded computer chip that is capable of being programmed. These credit card–size computers are typically used for applications such as secure network authentication, storing personal medical records, and as electronic purses. Microsoft is expected to pursue network authentication as one of its first applications for the new operating system.