OpenLimit Company Presentation CeBIT, Hannover, March 4 th, 2010

Transcription

1 OpenLimit Company Presentation CeBIT, Hannover, March 4 th, 2010

2 Executive Summary OpenLimit is an internationally recognized leading solution provider of electronic identity and signature software OpenLimit has the only Common Criteria EAL 4+ (international IT security standard) certified signature solution of its kind OpenLimit it client and server components can be easily integrated into existing applications, enable mediaconsistent workflows, legally binding processes and the efficient management of electronic documents in all business areas, including the secure long-term archiving of same Close partnerships with renowned companies, such as Adobe, Bundesdruckerei, CSC, Deutscher Sparkassenverlag, Fujitsu Technology Solutions, IBM, Microsoft, Siemens, Sun Microsystems, T-Systems, etc. OpenLimit Group Page 2

3 Executive Summary The OpenLimit Base Technologies are used today as solutions in project business in the private and public sector In the future, the electronic signature / authentication will become a mass market tool OpenLimit s product development is currently focused on mass market applications because the launch of eids, health cards, bank cards etc. is imminent OpenLimit received the order for the development of the Citizen- Client (Bürger-Client) for the new German eid from Siemens on November 4 th, This is the biggest contract in the company s history. OpenLimit and its partners are optimistic to thus have achieved a competitive advantage also for the acquisition of other ecard projects On February 8 th, 2010, OpenLimit received a large contract from Fujitsu Technology Solutions GmbH for the project DiBAS, one of the world s largest digitalization projects, of the German Federal Employment ta Agency (Bundesagentur für Ab Arbeit) OpenLimit Group Page 3

4 Market Electronic signatures are used to: Uniquely identify the signer of electronic data / documents (authenticity) Make data manipulation evident (integrity) They ultimately t l enable legally-binding ll electronic processes / workflows There are three types of electronic signatures: Simple (e.g., addressor of an not legally binding) Advanced (can be used for legally binding processes in a closed user group) Qualified (can be used for legally binding processes in all instances) OpenLimit it technologies are used for both advanced d and qualified electronic signatures OpenLimit Group Page 4

5 OpenLimit s Potential Market Can be estimated based on the savings potential to customers: EU: einvoicing: EURO 100 billion per annum eforms: EURO 140 billion per annum egovernment: EURO 30 billion per annum 3 examples save economy EURO 270 billion per year Germany: OpenLimit Group Page 5 einvoicing: EURO 1.2 billion per annum ELENA: 85 million per annum egovernment: 400 million per annum 3 examples save economy EURO 1.69 billion per year The eidentity and signature software market bears tremendous potential and is currently virtually untouched.

6 How is OpenLimit Competitively Positioned? Number of Competitors OpenLimit Group Type of use: Type of use: Type of use: Amongst members of a group that know and trust each other For company internal communication and with customers, usually regulated by Terms & Conditions Also includes such tools as biometric signatures devices, hard drives, signature pads, etc. Same as for Advanced Signatures, BUT is also used in some countries for e-invoicing, e-government applications etc. Includes such tools as e-mobile, HSM, USB Tokens, etc. For all uses that requires the written form by law For applications in connection with e- Invoicing, e-government, e-justice, e- Waste Management, e-archiving, in connection with e-health card, e-id, ELENA, etc. Generally only smartcards Many Competitors: Fewer Competitors Very few competitors Adobe (public), Arcot, Arx, Authentidate (public), Bremen Online Services, Intarsys, Mentana, Microsoft (public), Procilon, Seccommerce, Secrypt, Secude, Secunet t( (public), Utimaco (public), VeriSign (public), Xyzmo, etc. No competition for CC-Certified Technology Many competitors are OpenLimit partners OpenLimit it and dits partners believe to have market advantages due to Citizen- Client project Advanced Signatures Advanced Signatures with Secure Qualified Signatures Hardware Type of Technology The analysis is strongly simplified for demonstrative purposes. Country specific requirements vary, and therefore an individual country analysis is required for completeness. We do not consider Adobe and Microsoft as part of our peer group. OpenLimit Group Page 6

7 OpenLimit: Integrated esignature Enabler Certificate issues saved on Trust Center Card Reader Smartcard, USB Token, HSM, Mobile Phone, Hard Drive PC or server with OpenLimit technologies as stand-alone solution or integrated with third party technologies, such as: Other OpenLimit Partners DMS ECM OpenLimit Group Page 7 ERP ebanking eforms egov. ehealth earchive Webportal

8 OpenLimit Sells Products Indirectly OEM Revenue Security Technologies Document Technologies Archive Technologies OpenLimit Partners Products & Services Coop Original Equipment Manufacturers (OEM) Value-Added Distributors (VAD) Cooperation partners sell via mutual distributors OpenLimit Customers Revenue Allianz Handwerker Procurement Branch of the Ministry of the Interior Federal Employment Agency Federal Office of Plant Varieties German Air Traffic Control Authority ISmed Gemeinschaft Europcar Baden-Württemberg state portal Lufthansa Technik Group Swiss Official Commercial Gazette Siemens Health Insurance Fund Taunus Company Health Insurance Fund Swiss Federal Government (BIT) Products & Services VAD This only represents an excerpt from our list of partnerships. Please refer to for a complete listing. OpenLimit Group Page 8

9 OpenLimit s Business Today and tomorrow Tomorrow Standard Software Client and server solutions Project Business Server and client installations Integration and consulting work for SMB, enterprise and public sector, directly or indirectly via OpenLimit partners OpenLimit Group Page 9 Network Effect will use their eid to authenticate themselves in an online shop or government portal (2010 onwards) will use their electronic health card when visiting their doctor (2010 onwards) will use their signature card to apply for social services (2012 onwards)

10 OpenLimit s Project Business Overview (Today) March 4 th, 2010 Vertical / Application Financial Services Life Sciences Public / Health Retail Manufacturing Communication Example Authentication epa, egk, employee card, etc. Mail In-box Scan & sign Form based Processes / Internal Purchase authorization, application approval, etc. Form based Processes / External Insurance application, tax declaration, purchase order, etc. Outbound einvoices, statements, correspondence, etc. correspondence Long-term Audit proof archiving Storage of tax documents, civil registry, etc. many projects several projects Pilot projects or possible application scenario OpenLimit Group Page 10

11 OpenLimit s Business Tomorrow OpenLimit Middleware connects millions of users with different Trust Centers Trust Center Deutsche Post Com Trust Center S-TRUST Trust Center D-TRUST Trust Center T-Telesec Operating Systems Cards & Readers Windows Linux Solaris Mac OS OpenLimit client and server technologies: Common Criteria i EAL 4+ certified ecard-api conform eid Health cards Employee eid OpenLimit Group Page 11

12 OpenLimit Middleware OpenLimit Software ecard API conform npa Card Project eid, QES 2010 egk Card Project AES, QES 2009 ELENA Integration Project AES, QES 2012 ELSTER Integration Project eid, AES, QES 2010 International Card and Integration Projects eid, AES, QES 2011 epa: elektronischer Personalausweis (German eid) egk: elektronische Gesundheitskarte (German health card) ELENA: Electronic Remuneration Statement Application System ELSTER: Electronic Tax Declaration Transmission i System eid: electronic identity QES: qualified electronic signature AES: advanced electronic signature OpenLimit partners are advancing the ecard-api on a European level in projects, such as PEPPOL and EU-Services Directive. OpenLimit is also involved via partners in the STORK-Project, a project aimed at the interoperability of eid-projects within the EU. OpenLimit Group Page 12

13 Centrally Co-ordinated Application Test OpenLimit Group Page 13

14 Time Frames for the Electronic Identity Card registration begins for application test nd / 3 rd reading of the Bundestag At the beginning of June 2009 selection of 30 participants for centrally coord. Application test nd round in Bundesrat Begin central coord. Application test Announcement of the PAuswG January 2010 start open application test >122 participants October 2009 draft Identity Card Act 1st quarter 2010 Begin field test February 2010 Approval process of the Bundesrat for the Identity Card Act In the middle of 2010 test reports and Roll-out Application process for authorization certificates begins introduction of the new electronic identity card (start application in the PA authorities) OpenLimit Group Page 14

15 The OpenLimit Citizen-Client Software is Unique The new electronic identity card project is currently the biggest eid project of the world OpenLimit Group Page 15

16 OpenLimit Technologies OpenLimit Security Technologies PC Products OpenLimit CC-Sign OpenLimit CC-Sign Batch 25 OpenLimit Reader Citizen-Client und Admin-Client Integration and Server-Produkte OpenLimit Integration Suite Standard OpenLimit Integration Suite Professional OpenLimit Integration Suite Enterprise OpenLimit Batch Produkte OpenLimit i Auto CRL Loader OpenLimit SignatureService OpenLimit Verifikationsservice OpenLimit eid-server OpenLimit Security Box OpenLimit Document Technologies OpenLimit Technologies for earchives OpenLimit MigSafe and OpenLimit OverSign For use in all market segments (Enterprise, SME, Government, Consumer) Europe-wide software support provided by Fujitsu Technology Solutions for all OpenLimit products OpenLimit Group Page 16

17 OpenLimit Certifications Signature software compliant with the highest security level Common Criteria EAL4 + The trustworthiness of the signatures is confirmed by the State Signatures are compliant with the German Signature Act (SigG, SigV) Signature software fulfils international standards for electronic signatures, encryption and Public Key Infrastructures Signature software satisfies the regulations of commercial and tax law (UStG, GdPDU, GoBS) Certifications as barrier free software, for usability and for ecard-api-compliance are in progress OpenLimit Group Page 17

18 How Does OpenLimit Generate Revenue? License revenue Price models: Enterprise, state and campus licenses, single and bulk licenses, Fair Use, Installed Customer Base, Pay per Signature, etc. Upgrades (product cycle approx. 1.5 years) Support revenue e (new and recurring) Avg. 20% (net) of the list price Usually for a period of 1-3 years Service revenue Implementation, consulting and training services Invoicing varies according to the distribution partner, either order-based or monthly / quarterly Security software by nature becomes outdated and must be periodically upgraded at a charge (cycle approx. 3 years) OpenLimit Group Page 18

19 Financials: Revenues weighted heavily in the 2 nd 6-Month Period of the Financial Year Financial Highlights OpenLimit Group (in EURO millions ) 2006 (AUDITED) 2007 (AUDITED) 2008 (AUDITED) y-o-y Growth 2007 / M 2009 (UNAUDITED) 9M 2008 (UNAUDITED) Growth 9M 2008 / 9M 2009 REVENUES % % TOTAL INCOME % % EBITDA % % EBIT % % NET INCOME % % EMPLOYEES % % *Figures represent CHF values translated into EUR at an exchange rate of CHF 1.49 / EUR for the years and CHF / EUR for 9M 2008 / We refer to the respective annual reports and interim announcements released. OpenLimit Group Page 19

20 Guidance 2009 Full year revenue 2009 will be inline with estimate and ca. -15% of 2008 revenues, as a result of the strong concentration on the Citizen- Client project, economic crisis and delayed decisions due to the onset of ecard projects An essential change is the composition of revenues: TOTAL EUR % 0% Licenses 10% Services 85% Software Maintenance / Support Diverse TOTAL EUR 2009e 1% 3% 68% 28% Products Services Various Software Maintenance / Support OpenLimit Group Page 20

21 Strategy and Guidance in Focus on server technologies (eid server, Security Box, long-term storage) Assumption: Businesses / public authorities are going to increase their investments in corresponding IT infrastructure as a result of the rollout of 5-9 million new eid cards per annum Focus on participants of the user test ( ) Assumption: Because we deliver cutting-edge technologies and good service to the participants in the user tests, upsell potentials emerge Focus on other ecard projects and related technologies Assumption: All ecard projects can be serviced via the citizen client. OpenLimit and its partners can take advantage of the improved market access and acquire additional ecard projects OpenLimit Group Page 21

22 Strategy and Guidance in Focus on strategic partnerships 1 st example: Siemens 2 nd example: Fujitsu Focus on international developments, using the German eid-card project as a reference Setup the division Technical Consulting Assumption: Service revenues will also play an important role in the future, but not like in 2009 OpenLimit Group Page 22

23 Summary OpenLimit has unique and IT-security certified technologies OpenLimit has many key reference customers in all pertinent vertical markets OpenLimit expects the electronic signature market to significantly advance due to the pending roll-out of eids, health cards etc. and is positioned to grow with the market because its technologies were contracted for the Citizen-Client project via its strategic partner Siemens OpenLimit s partner network is well established and has reached strategic positioning with key partners OpenLimit will continue to invest in order to secure its competitive advantage and to be prepared for solid growth OpenLimit Group Page 23

24 Cautionary statement regarding forward-looking statements Forward-looking statements are given in this presentation which also contain predictions about forward-looking events, trends, measures or goals. Such statements are indicated by formulations like "will" or "growing" and similar expressions. The forward-looking statements mentioned in this document are based on the expectations of the company (including subsidiaries) at this time. As these forward-looking statements are subject to risks and uncertainty, this could cause the results and the plans and goals of OpenLimit Holding AG to deviate substantially from those which are explicitly or implicitly described in these forward-looking statements. Factors which may cause these plans, measures and results to substantially deviate from the current expectations include: (i) the general political, economic and competitive situation on markets and in countries in which the company or its branch offices are active, as well as exchange rate leverage and other risks which are connected with foreign dealings; (ii) general technological developments, (iii) the capability of the company to develop and market new products and technologies, as well as acceptance of such products or technologies by customers of the company, including the resultant incapacity of the company to achieve forecast turnovers; (iv) the timed coordination or occurrence (as well as non-occurrence) of transactions and events which among other things do not fall within the sphere of influence of the company or its branches; (v) changes to the credit ratings of partners and customers; (vi) changes to the prices of products as well as their negative impact on the company s turnover and profit margins from these products or (vii) costs in connection with changes to legal regulations. OpenLimit Holding company AG is not obliged to update or to revise these forward-looking statements to take into account new information, future events or circumstances. OpenLimit and other brand or company names and their logos contained in this presentation are the property of their rightful owner. We herewith acknowledge all brand and company names and their respective logos. OpenLimit Group Page 24

25 Appendix OpenLimit Group Page 25

26 How is OpenLimit Organized? OpenLimit Group Page 26

27 Who belongs to the OpenLimit Team? Marc Gurov Reinhard Stüber Armin Lunkeit Dirk Arendt Peer Dietrich CEO Sr. Vice-President Product Development Business Development CSO Board of Directors Henry Dattler, President René C. Jäggi, Vice President Eduard Egloff, Member Urs Winzenried, Member Currently 54 employees ( ) OpenLimit Group Page 27

28 OpenLimit Shares? CUSIP / Symbol / ISIN: A0F5UQ / OH5 / CH Trading segment/stock market: Regulated market (General Standard) / Frankfurt since April 2007 Initial listing: August 2005 Number of shares: Type of shares: Bearer shares Nominal value: CHF 0,30 Designated sponsor: ICF Kursmakler AG, Germany Free float: 64% Analyst: First Berlin Equity Research GmbH, Silvia Quandt Research Major Shareholders: Shareholder Domicile %ofthe share capital No. of shares Heinrich Dattler Switzerland René C. Jäggi Switzerland Enuhill Portfolio Inc. British Virgin Islands Robert E. Züllig Switzerland '050'000 OpenLimit Group Page 28

29 The OpenLimit Share Xetra / O5H March 1 st, 2010 OpenLimit Group Page 29

30 Consolidated Income Statement 9M 2009 Consolidated Income Statement from CHANGE IN % IN CHF IN CHF Revenue 1% 2'391'406 2'368'327 Company produced additions to software development 31% 2'118'336 1'617'658 TOTAL INCOME 13% 4'509'742 3'985'985 Costs of goods sold -76'969 0 Personnel expenses 1% -3'173' '151' Depreciation 56% -1'451' '490 Operational expenses 49% -1'450' '108 22% -6'152'075-5'050'733 INCOME FROM OPERATIONS 54% -1'642'333-1'064'748 Financial income 109% 92'781 44'491 Financial expenses -88% -31' ' % 61' '292 INCOME BEFORE TAX 22% -1'580'764-1'291'040 Tax expense -3% -31'224-32'063 LOSS FOR THE PERIOD 22% -1'611'988-1'323'103 OpenLimit Group Page 30

31 Consolidated Balance Sheet 9M 2009 Consolidated Balance sheet as of CHANGE ASSETS IN % IN CHF IN CHF NON-CURRENT ASSETS 22% 4'354'878 3'576'787 Intangible assets 28% 4'192' '272'890 Plant and equipment -47% 162' '897 CURRENT ASSETS 107% 5'063'609 2'445'618 Trade and other receivables 176% 4'785'595 1'732'611 Cash and cash equivalents -61% 278' '007 TOTAL ASSETS 56% 9'418'487 6'022'405 EQUITY 44% 8'438'008 5'878'449 Share capital 7% 5'039'224 4'727'224 Share premium 15% 9'024'967 7'876'218 Accumulated loss -16% -5'626'182-6'724'993 CURRENT LIABILITIES 581% 980' '956 Trade accounts payable and other liabilities 572% 967' '956 Tax liabilities 12'603 0 TOTAL EQUITY AND LIABILITIES 56% 9'418'487 6'022'406 OpenLimit Group Page 31

32 Consolidated Income Statement 2008 Consolidated Income Statement from % Change CHF CHF Revenue 47% 7'137'945 4'847'070 Company produced additions to software development 25% 2'144'324 1'719'979 Total Income 41% 9'282'269 6'567'049 Costs of goods sold -100% 0-21'231 Personnel expenses 39% -4'554'969-3'276'527 Depreciation 11% -1'121'449-1'008'028 Operational expenses 11% -1'569'093-1'416'081 27% -7'245'510-5'721'867 Income from operations 141% 2'036' '182 Financial income -73% 47' '760 Financial expenses 11928% -447'332-3' % -399' '041 Income before tax 61% 1'636'901 1'016'223 Tax expense -8% -34'806-37' Net income for the year 64% 1'602' '502 OpenLimit Group Page 32

33 Consolidated Balance Sheet 2008 Consolidated Balance sheet as of 31st December 2008 % Change CHF CHF ASSETS Non-current assets 35% 3'739'842 2'777'924 Intangible assets 39% 3'598'183 2'583'923 Plant and equipment -27% 141' '001 Current assets 15% 5'537'685 4'822'910 Trade and other receivables 45% 5'436'250 3'742'999 Cash and cash equivalents -91% 101'435 1'079'911 TOTAL ASSETS 22% 9'277'527 7'600'834 EQUITY 20% 8'614'071 7'187'063 Share capital 0% 4'727'224 4'727'224 Share premium 0% 7'876'218 7'876'218 Accumulated loss -26% -3'989' '416'379 CURRENT LIABILITIES 60% 663' '770 Trade accounts payable and other liabilities 87% 658' '746 Tax liabilities -92% 4'825 61'024 OpenLimit Group Page 33 TOTAL EQUITY AND LIABILITIES 22% 9'277'527 7'600'834

34 Consolidated Balance Sheet 2008 Consolidated Cash Flow Statement from Consolidated Cash Flow Statement from % Change CHF CHF Profit for the year 64% 1'602' '502 % Change CHF CHF Tax -8% 34'806 37'721 Financial income / expense -76% -40' '041 Depreciation on intangible assets plant & 11% 1'121' '008' equipment Loss of receivables 81'000 0 Loss of sale of equipment 12'341 0 Exchange difference -110% -13' '528 Increase in receivables and other assets -42% -1'774'251-3'049'211 Increase / decrease in liabilities that are not attributable to investment 60% 305' '213 and financing activities Net cash from (used in) operating activities -353% 1'329' '177 Investments in intangible assets and equipment 18% -2'258'551-1'908'914 Equipment sale 0 0 Net cash from (used in) investment activities 18% -2'258'551-1'908'914 Net cash from (used in) financing activities 0% 0 0 Net increase / decrease in cash -63% -978'476-2'646'999 and cash equivalents Cash and cash equivalents -71% 1'079'911 3'726'910 beginning of year Cash and cash equivalent end of -91% 101'435 1'079'911 year Interests received -72% 47' '041 Interest paid -7'158 0 Taxes paid -318% -89'255 40'867 Net cash from -273% 1'280' '085 operating activities OpenLimit Group Page 34

35 Financial Calender Apr. 21, 2010 May 12, 2010 Publication of the 2009 Annual Report Interim Announcement First Quarter 2010 May 31, 2010 General Meeting 2010 Aug. 25, 2010 Publication of the Semi-Annual Report 2010 Nov. 05, 2010 Interim Announcement Third Quarter 2010 OpenLimit Group Page 35

36 At this year's CeBIT, OpenLimit will demonstrate the Citizen Client and the middleware technologies for long-term storage. Come visit us in Hall 9 Stand C60! OpenLimit Group Page 36

37 Glossary AES The Advanced Encryption Standard (AES) : the standard comprises three block ciphers, AES-128, AES-192 and AES-256, adopted from a larger collection originally published as Rijndael. Each AES cipher has a 128-bit block size, with key sizes of 128, 192 and 256 bits, respectively. The AES ciphers have been analyzed extensively and are now used worldwide, as was the case with its predecessor, the Data Encryption Standard (DES). (Source: Citizen Client The Citizen client is an application software. Through this software, a future eid card owner has the possibility to identify himself / herself electronically (for example visiting a government website). The Citizen Client is still in development at the moment and is going to be launched in November 2010 together th with the eid-project in Germany. The Federal Ministry of Interior has contracted Siemens IT Solutions, the German Bundesdruckerei and OpenLimit to provide the user software for the electronic identity card. (Source: Common Criteria (CC) The Common Criteria for Information Technology Security Evaluation (abbreviated as Common Criteria or CC) is an international standard (ISO/IEC 15408) for computer security certification. It is currently in version 3.1. Common Criteria is a framework in which computer system users can specify their security functional and assurance requirements, vendors can then implement and / or make claims about the security attributes of their products, and testing laboratories can evaluate the products to determine if they actually meet the claims. In other words, Common Criteria provides assurance that the process of specification, implementation ti and evaluation of a computer security product has been conducted in a rigorous and standard manner. (Source: DMS A Database Management System (DBMS) is a set of computer programs that controls the creation, maintenance, and the use of the database with computer as a platform or of an organization and its end users. It allows organizations to place control of organization-wide database development in the hands of database administrators (DBAs) and other specialists. A DBMS is a system software package that helps the use of integrated collection of data records and files known as databases. It allows different user application programs to easily access the same database. It provides facilities for controlling data access, enforcing data integrity, managing concurrency controlled, restoring database. (Source: EAL The Evaluation Assurance Level (EAL1 through EAL7) of an IT product or system is a numerical grade assigned following the completion of a Common Criteria security evaluation, an international standard in effect since The increasing assurance levels reflect added assurance requirements that must be met to achieve Common Criteria certification. The intent of the higher levels is to provide higher confidence that the system's s principal security features are reliably implemented. The EAL level does not measure the security of the system itself, it simply states at what level the system was tested to see if it meets all the requirements of its Protection Profile. The highest internationally recognized EAL is EAL 4. (Source:

38 ECM Enterprise Content Management (ECM) refers to the technologies, strategies, methods and tools used to capture, manage, store, preserve, and deliver content and documents related dto an organization and dits processes. ECM tools allow the management of an enterprise level organization's information. (Source: Electronic Health Card With the Law pertaining i to the modernization of health insurers, dated November 14th, 2003, the electronic health card became legally anchored in 291a SGB V. In contrast to the current health card, which only contains a storage chip, the new electronic health card has a processor chip, which enables additional functions due to the electronic ID contained within. (Source: Electronic Signature (ES) Data in electronic form, which is adjoined to other electronic data or logically associated with such data and serves the purpose of uniquely identifying the signer. (Source: ELENA ELENA (electronic proof of reward) is a procedure, with which proof of income statements are transmitted electronically to the requesting authority, based on the electronic authorization via smartcard (with signature) of the requesting individual. This can be any card, with a consistent standard (ecard-api), like for instance an EC/Master-Card, electronic health card, eid, etc. This procedure contains the planned central storage of employee data and the use of this data through the federal employment agency and others. (Source: Verfahren) ELSTER ELSTER (electronic tax return) is a project by all tax administrations of the German Federal States and the Federal Government itself to make an online tax return and an online tax registration possible. (Source: eid The electronic identity card (eid) is an official electronic proof of one's identity. It also enables the possibility to sign electronic documents with a legal signature. The identity card has the format of a regular bankcard, with basic identity information in visual format, such as personal details and a photograph. The new eid Card also has the possibility to save a person s fingerprints, but this is voluntary. The new German eid is going to replace the old ID beginning November 1 st, (Source: ERP-System / Enterprise Resource Planning Enterprise Resource Planning (ERP) is a term usually used in conjunction with ERP software or an ERP system which is intended to manage all the information and functions of a business or company from shared data stores. An ERP system typically y has modular hardware and software units and "services" that communicate on a local area network. The modular design allows a business to add or reconfigure modules (perhaps from different vendors) while preserving data integrity in one shared database that may be centralized or distributed. (Source: ecard API On the 9 th of March 2005, the federal cabinet decided the corner points for a common ecard strategy. Essential pillars of this strategy are the electronic authentication and the qualified electronic signature which are used on smartcards with different characteristics. Through the ecard API framework, which covers a lot of simple and platform independent interfaces, the communication between the specific applications and the used chip cards should be standardized. The main goal of the ecard API framework is to provide a simple and homogenous interface, which makes a consistent usage of the various applications of the different chip cards possible. (Source: onfile/30618/api10teil7_pdf.pdf)

39 GDPdU Tax auditors in Germany apply Principles to Data Access and Verification of Electronic Documents when auditing an entities electronic accounting. The final version came into effect on January 1 st, (Source: GoBS The Principles of Electronic Accounting Systems are standards applied by developers of electronic accounting systems in Germany. (Source: HSM A hardware security module (HSM) is a type of secure cryptoprocessor targeted at managing digital keys, accelerating cryptoprocesses in terms of digital signings and for providing strong authentication to access critical keys for server applications. They are physical devices that traditionally come in the form of a plug-in card or an external TCP/IP security device EU-Services Directive The objective of the Services Directive is to release the untapped growth potential of services markets in Europe by removing legal and administrative i ti barriers to trade in the services sector. The simplification measures foreseen by the Directive should significantly facilitate life and increase transparency for SMEs and consumers when they want to provide or use services in the single market. (Source: eu/internal market/services/services- dir/index_en.htm) that can be attached directly to the server or a general purpose computer. The goals of an HSM are onboard secure generation, onboard secure storage, use of cryptographic and sensitive data material, offloading application servers for complete asymmetric and symmetric cryptography. HSMs provide both logical and physical protection of these materials from non-authorized use and potential adversaries. In short, they protect high-value cryptographic keys. (Source: p _ security_ module) OEM An original equipment manufacturer, or OEM, manufactures products or components which are purchased by a purchasing company and retailed under the purchasing company's brand name. OEM refers to the company that originally manufactured the product. (Source: PEPPOL The vision of the PEPPOL project is that any company and in particular SMEs in the EU can communicate electronically with any European governmental institution for the entire procurement process. The project will set up integrated pilot solutions across borders. (Source:

40 PKI The Public Key Infrastructure (PKI) is a set of hardware, software, people, policies, and procedures needed to create, manage, distribute, use, store, and revoke digital certificates. In cryptography, a PKI is an arrangement that binds public keys with respective user identities by means of a certificate authority (CA). The user identity must be unique for each CA. The binding is established through the registration and issuance process, which, depending on the level of assurance the binding has, may be carried out by software at a CA, or under human supervision. The PKI role that assures this binding is called the Registration Authority (RA). For each user, the user identity, the public key, their binding, validity conditions and other attributes are made unforgettable in public key certificates issued by the CA. (Source: Qualified Signatur (QES) The EU guidelines and the German signature law distinguish between easy, advanced and qualified electronic signatures. A signature is called qualified, if: - it is assigned exclusively to the signature key owner (signatory), - an identification of the signature key owner is possible, - it is created with means only the signature key owner could have in his possession, - data to which they refer are attached logically, and manipulation of such data can be recognized, - it is based on a certificate, valid at the time of its production, generated with a secure signature creation device. (Quelle: Rollout Launch of a product. SigV German Signature By-Law. Smartcard A smart card, chip card, or integrated circuit card (ICC), is any pocket-sized card with embedded integrated circuits which can process data. This implies that it can receive input which is processed by way of the ICC applications and delivered as an output. There are two broad categories of ICCs. Memory cards contain only non-volatile memory storage components, and perhaps some specific security logic. Microprocessor cards contain volatile memory and microprocessor components. The card is made of plastic, generally PVC, but sometimes ABS. The card may embed a hologram to avoid counterfeiting. Using smart cards is also a form of strong security authentication for single sign-on within large companies and organizations. (Source: Software Development Kit (SDK) A software development kit (SDK or "devkit") is typically a set of development tools that allows a software engineer to create applications for a certain software package, software framework, hardware platform, computer system, video game console, operating system, or similar platform. It may be something as simple as an application programming interface (API) in the form of some files to interface to a particular programming language or include sophisticated hardware to communicate with a certain embedded system. Common tools include debugging aids and other utilities often presented in an integrated development environment (IDE). SDKs also frequently include sample code and supporting technical notes or other supporting documentation to help clarify points from the primary reference material. (Source: SigG German Signature Law.

41 STORK The aim of the STORK project is to establish an European eid Interoperability Platform that will allow citizens to establish new e- relations across borders, just by presenting their national eid. (Source: Trust Center In cryptography, a trusted third party (TTP) is an entity which facilitates interactions between two parties who both trust the third party; The Third Party reviews all critical transaction communications between the parties, based on the ease of creating fraudulent digital content. In TTP models, the relying parties use this trust to secure their own interactions. (Quelle: third party) USB USB (Universal Serial Bus) is a specification to establish communication between devices and a host controller (usually personal computers). USB is intended to replace many varieties of serial and parallel ports. USB can connect computer peripherals such as mice, keyboards, digital cameras, printers, personal media players, flash drives, and external hard drives. For many of those devices, USB has become the standard connection method. USB was designed for personal computers, but it has become commonplace on other devices such as smartphones, PDAs and video game consoles, and as a power cord between a device and an AC adapter plugged into a wall plug for charging. As of 2008, there are about 2 billion USB devices sold per year. (Source: VAD A value-added distributor (VAD) is a company that adds features to an existing product, then resells it (usually to end-users) as an integrated t product or complete "turn-key" " solution. This practice occurs commonly in the electronics industry, where, for example, a VAD might bundle a software application with supplied hardware. (Source: Workflow A workflow consists of a sequence of connected steps. It is a depiction of a sequence of operations, declared as work of a person, a group of persons, an organization of staff, or one or more simple or complex mechanisms. Workflow may be seen as any abstraction of real work, segregated in work share, work split or other types of ordering. For control purposes, workflow may be a view on real work under a chosen aspect, thus serving as a virtual representation of actual work. The flow being described often refers to a document that is being transferred from one step to another. (Source: UStG Value Added Tax Act (Umsatzsteuergesetz Germany)

42 OpenLimit Holding AG Zugerstrasse 76b CH-6341 Baar Phone Phone Fax

43