France Recognizes Gemalto´s Innovationwith R&D Funding

Gemalto (Euronext NL0000400653 GTO), the world leader in digital

security, today announces that the European Commission has authorized

the financial grant by the French government to the MaXSSIMM(*)

development program through OSEO. OSEO is a French public Agency which

supports innovation and development. The program, carried out by a

Gemalto-led consortium, is intended to facilitate and accelerate the

implementation of convenient personalized and secure Internet services

for mobile devices. OSEO will contribute to the program through a ?35-million

subsidy over 3 years. MaXSSIMM involves the design of a complete solution including a

next-generation SIM card - the « max-SIM » card - feature phones and operator servers with new capabilities that

allow application developers to rapidly roll out new mobile personal and

multimedia services. The proposed technological innovations will lead to

easier handset personalization, making services more convenient to use

and multimedia content easier to access via a unified user interface.

They will also enable subscribers to conveniently synchronize their

personal data with their PC, PDA or their operator´s server, as well as

safely download third party applications on their mobile phones using

the security provided by the SIM. The solution will ensure secure

transmission and data confidentiality in an environment offering

enhanced services, contents and devices. "MaXSSIMM provides Gemalto with an

opportunity to implement a complete system for advanced use cases in the

field of mobile services for operators and end-users," commented Philippe Vallée, Executive Vice

President of Gemalto´s Telecommunications

Business Unit. "We started working on this

program one year ago and the green light from the European Commission

strongly encourages Gemalto and its partners to further deploy MaXSSIMM." The consortium includes microelectronics manufacturers like

STMicroelectronics, NXP Semiconductors and Toppan Photomasks, Inc.

handset vendor Sagem Mobiles, as well as telecoms operator Orange and

travel service provider Amadeus. SMEs such as Trusted Logic, Voxinzebox

and Cityvox also take part in the consortium. In addition, Eurecom, a

communication systems Research Institute, is helping with research

expertise to evaluate the overall solution. *MaXSSIMM stands for "My Secure Solution for

Mobile Multimedia Internet" About Gemalto Gemalto (Euronext NL 0000400653 GTO) is the leader in digital security

with pro forma 2007 annual revenues of over ?1.6

billion, more than 85 offices in 40 countries and about 10,000 employees

including 1,300 R&D engineers. In a world where the digital revolution is increasingly transforming our

lives, Gemalto´s solutions are designed to

make personal digital interactions more convenient, secure and enjoyable. Gemalto provides end-to-end solutions for digital security, from the

development of software applications, through the design and production

of secure personal devices such as smart cards, SIMs, e-passports, and

tokens to the deployment of managed services for its customers. More than a billion people worldwide use the company´s products and

services for telecommunications, financial services, e-government

identity and access management, multimedia content, digital rights

management, IT security, mass transit and many other applications. As the use of Gemalto´s software and secure

devices increases with the number of people interacting in the digital

and wireless world, the company is poised to thrive over the coming

years. Gemalto was formed in June 2006 by the combination of Axalto and Gemplus. For more information please visit www.gemalto.com