MegaFon, VimpelCom and Gemalto launch mobile NFC ticketing in Moscow

AMSTERDAM, The Netherlands, Jan. 21, 2016 -- Gemalto (Euronext NL0000400653 GTO), the world leader in digital security, is supplying MegaFon and VimpelCom, the leading Russian mobile network operators with a combined base of 180 millions¹ of subscribers, with UpTeq Multi-Tenant NFC SIMs. These cards enable subscribers to enjoy the benefits of Moscow's new mobile ticketing program andcan be used with NFC smartphones. With the 'Troika' transport card app downloaded it allows travelers to board metro trains, trams and buses across the Russian capital with simply a tap of the handset on a contactless reader.

MegaFon and VimpelCom are supplying UpTeq Multi-Tenant NFC SIM to their subscribers free of charge. Tickets can be purchased directly via the Troika app, with payment debited automatically from the user's regular phone bill. Travelers no longer need to queue up to buy a printed ticket. Moscow's mobile ticketing scheme was launched in September 2015 and this swift and seamless cash-free ticketing method is expected to have high uptake among the 7 million daily passengers² over the next few years. Gemalto's UpTeq Multi-Tenant SIM is the proven solution chosen by 12 out of 13 countries that offer mobile NFC ticketing services to their commuters. The cards can also support functions such as mobile NFC payments and provide a ready-made platform for the introduction of additional contactless services.

"The Mobile Ticket project is another step in implementing MegaFon's mobile commerce development strategy. We endeavor for subscribers to see their mobile phone account as a fully-fledged financial tool they can use for day-to-day expenses," said Hayk Karapetyan, Director of Financial Service at MegaLabs³. "We see potential in this new service, firstly, because the popularity of mobile payments is rising rapidly; during the first 6 months of 2015 the number of payments increased 60% compared to the same period in 2014 and revenue from mobile financial services rose 30%. Secondly, we are seeing a rise in the number of NFC-enabled devices in our network. Over the last year this number has almost doubled both in Moscow and across the country."

"Gemalto is one of the few suppliers able to meet the technical requirements and have unrivaled experience working with a wide range of NFC players worldwide," said Alexander Sakharov, MFS director for VimpelCom. "With a strong local presence and personalization center in Russia we know they can serve us with a very high level of responsiveness."

"Consumers are keen to use their smartphones to take the stress and strain out of modern day-to-day, and contactless clearly represents the future for a wide range of services," said Philippe Cambriel, President of Europe and CIS at Gemalto. "MegaFon and VimpelCom are now positioned at the forefront of these life trends and, by seeding the market with UpTeq Multi-Tenant NFC SIMs, are ideally placed to extend their contactless offers to payment and access control to mention but a few possibilities."

¹ Source: Reuters
http://www.reuters.com/article/2015/06/17/russia-mobilephone-idUSL5N0Z33R820150617

² Source: Moscow Metro Official Site
http://engl.mosmetro.ru/pages/page_0.php?id_page=2

³ MegaLabs is a wholly owned subsidiary of OJSC "MegaFon" and their center of innovative design and prompt launch of value-added services.

About Gemalto

Gemalto (Euronext NL0000400653 GTO) is the world leader in digital security, with 2014 annual revenues of €2.5 billion and blue-chip customers in over 180 countries.

Gemalto helps people trust one another in an increasingly connected digital world. Billions of people want better lifestyles, smarter living environments, and the freedom to communicate, shop, travel, bank, entertain and work – anytime, everywhere – in ways that are enjoyable and safe. In this fast moving mobile and digital environment, we enable companies and administrations to offer a wide range of trusted and convenient services by securing financial transactions, mobile services, public and private clouds, eHealthcare systems, access to eGovernment services, the Internet and internet-of-things and transport ticketing systems.

Gemalto's unique technology portfolio - from advanced cryptographic software embedded in a variety of familiar objects, to highly robust and scalable back-office platforms for authentication, encryption and digital credential management - is delivered by our world-class service teams. Our 14,000 employees operate out of 99 offices, 34 personalization and data centers, and 24 research and software development centers located in 46 countries.

For more information visit www.gemalto.com, www.justaskgemalto.com, blog.gemalto.com, or follow @gemalto on Twitter.

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