ARM, Gemalto and G&D form mobile security JV
03 April 2012 | 8720 views | 0
Microchip manufacturer ARM is teaming up with Gemalto and Giesecke & Devrient (G&D) on a joint venture that will develop a common security standard for connected devices in a bid to make services such as mobile banking and payments safer.
The JV - still subject to regulatory approval - will see the three firms contribute patents, software, people, cash and capital equipment. ARM will own 40%, with Gemalto and G&D each holding 30%.
The aim of the JV is to create a 'trusted execution environment' (TEE) based on the ARM TrustZone security technology, for connected devices like mobiles, tablets and games consoles. This "secure environment for software execution" will also tap hardware security and industry standard interfaces, such as those from GlobalPlatform.
Devices with a TEE will provide consumers with more "secure, user-friendly experiences that simplify and speed up how they interact with their digital world," claim the partners. This will make it safer to carry out things like mobile payments, banking and commerce.
Warren East, CEO, ARM, says: "The integration of the hardware, software and services necessary for system-wide security has been slow. I am confident that this new joint venture will accelerate the adoption of a common security standard, enabling a vibrant ecosystem of secure service providers to emerge. This will be of significant step in terms of improved consumer trust in secure transactions on connected devices."
Security fears continue to pose one of the biggest barriers to mobile banking and payments uptake. Last week Sandra Braunstein, director of the Federal Reserve's consumer and community affairs division told a Senate committee in Washington that its research found that little more than one-third of all mobile phone users say they do not know how secure mobile banking technology is for protecting their personal information, while an additional third rate the technology as unsafe.