Product category:
Recruitment, Reports and Resources
News Release from: Frost and Sullivan
Edited by the Electronicstalk Editorial
Team on 05 June 2006
Government programmes drive smart card
market
The South African smart card market is poised to experience a significant growth spurt over the next six years with the introduction of smart cards by the banking and government sectors.
The South African smart card market is poised to experience a significant growth spurt over the next six years with the introduction of smart cards by the banking and government sectors Although both processes have been somewhat delayed, they are currently proceeding according to schedule and 2006 is likely to see some noteworthy movement in this regard
This article was originally published on Electronicstalk on 28 Jul 2006 at 8.00am (UK)
Related stories
MEMS Microphone Markets Overcom initial inertia
Developers of micro electro-mechanical system (MEMS) microphones are aggressively focusing on establishing themselves in the cell phone markets
Engineers and technicians must be trained
Leading UK engineering and technology firms, with a combined multi-million pound spend on training and development, will assemble at the IEE 'Investing in Technical Teams' forum on 4 November 2004.
Workshop gives complete picture on CE.NET 5.0
A UK-based workshop will give embedded software development engineers hands-on experience in running the new 5.0 release of Windows CE.NET on next generation processors.
The Europay-MasterCard-Visa (EMV) migration is entering its final phase and should be completed this year, with banks having announced their intention to roll out smart cards to clients in the third quarter of 2006.
"It is expected that a wide distribution of smart cards amongst banking clients will result in higher smart card adoption", says Frost and Sullivan Research Analyst Lindsey McDonald.
"It will also result in the introduction of new value-added services utilising smart cards".
Such positive trends in the banking sector will be reinforced by government initiatives.
The South African Government has undertaken a new national identification programme of which smart cards form one facet.
A tender for the manufacture of these cards is expected in 2006 with their roll out set for 2007.
However, the most pressing challenge facing market participants in the government sector is the issue of timing.
Although the South African Government is currently undertaking the national identification process, the programme has been fraught with many delays.
Companies wanting to tender bids to manufacture cards for this project have had to contend with constant delays that, in some instances, have extracted a heavy financial toll on them.
"Market participants wanting to take part in government-driven projects have to ensure that their strategy is suited for this particular type of industry", explains McDonald.
"Companies will have to account for delays, requirements that are specific to the sector and they will be expected to address issues such as black economic empowerment".
In adopting a strategy specifically suited for the government sector, most companies have formed divisions focused solely on government contracts.
"This level of attention to detail is ideal and should stand companies in good stead when trying to win government contracts", adds McDonald.
"It is important for these businesses to plan for delays that generally tend to occur with government projects".
• Frost and Sullivan: contact details and other news
• Email this article to a colleague
• Register for the free Electronicstalk email newsletter
• Electronicstalk Home Page
Search the Pro-Talk network of sites
