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ANKARA: French Gemalto Eliminated From Passport Chip Tender

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  • ANKARA: French Gemalto Eliminated From Passport Chip Tender

    FRENCH GEMALTO ELIMINATED FROM PASSPORT CHIP TENDER

    Today's Zaman
    May 18 2012
    Turkey

    The Public Procurement Authority (KİK) has cancelled an earlier
    contract that granted Amsterdam-based digital security firm Gemalto
    N.V. a 7.5 million euro tender to provide the electronic chips used in
    Turkish passports, following allegations that the company's product
    has serious security problems. An Amsterdam-based digital security
    firm, Gemalto's main shareholder is the French sovereign wealth fund
    Fonds Strategique d'Investissement (FSI). FSI owns the largest share,
    8.4 percent valued at 160 million euros, in Gemalto.

    Gemalto and its Turkish partner Mozaik Yazılım İş Ortaklığı were
    announced to have won the tender -- among four others -- on Jan. 12.

    Malaysian IRIS Technologies, Teknoser Bilgisayar A.Ş., Smartrac
    Technology and French Arjo Wiggins were the other four firms in
    the tender.

    The agreement -- to produce 5 million chips over the next 10 years --
    was expected to be signed with Gemalto soon after it won the tender.

    It was, however, speculated that the codes on the electronic chip
    with which Gemalto entered the tender had been compromised (or broken).

    These criticisms sparked concerns in Ankara, which places heavy
    importance on the strategic tender. The Scientific and Technological
    Research Council of Turkey (TUBİTAK) commenced an investigation
    following these allegations and found that Gemalto's chip system
    was flawed.

    The chips on Turkish passports were produced by Malaysia's IRIS and
    their Turkish partner Kunt between 2005 and late 2011. On Dec. 22,
    2011, a new tender was opened. The tender required that chips for
    Turkish passports be secure against possible hacks. The chip model
    that Gemalto offered in the tender, "Infineon SLE 66," however,
    failed to meet the security criteria. KİK is now expected to give
    the tender to IRIS, while Gemalto has the right to appeal to Turkish
    courts within the next two months.

    Back in January, some circles even speculated that the Turkish
    government might move to overturn the chip tender due to recent tension
    with France, which approved a bill that criminalizes denying that the
    mass killings of Armenians at the hands of Ottomans in the World War
    I-era almost a century ago was genocide.




    From: A. Papazian
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