M2M technology brings our machines to life, enabling communications and data exchange between them.  But this is no sci-fi movie where the machines are out to get us.  M2M applications can enhance our lives greatly in industries ranging from healthcare, retail services, smart energy, and transportation to logistics and automotive.

You would think that the technology that powers such big innovation would also be big, but the wireless technology that powers M2M is actually found in a very small package. Whoever said bigger is better? With M2M applications becoming increasingly more innovative, it’s necessary to go even smaller.  Think about some possible applications that are constrained by space – a wearable medical device or a smart meter, for example.

Inspired by these ideas that “smaller is better,” Gemalto has introduced the world’s smallest (only 18.8 x 26.6 mm) 3G Java-enabled M2M module.  It provides a platform for flexible, fast, economical, and future-proof applications. With the module’s processor, it also makes for a smarter machine, in essence, a machine that can make better decisions. Machines that make smarter decisions could lead to the driverless car as discussed by my colleague Axel Hansmann in a recent blog post. Many of the M2M ideas are still in developing stages, but the possibilities are endless as James Albaugh, the president and CEO of Boeing Commercial Airlines confirms in an IEEE Spectrum Magazine article, “a pilotless airliner is going to come; it’s just a question of when.”

Are smart machines something that interests you? Let us know, since our own M2M technology advancement is being recognized as a contender for the “Online Pick” in the CTIA Emerging Technology Awards, voted for online by mobile technology fans around the world.  Voting ends on Monday, May 20 at 5:00 PM PT, so if you agree that “smaller is better” for M2M, head over to the CTIA E-Tech site and vote online. Don’t forget to follow us for all updates M2M at CTIA on @Gemalto_NA.

The Internet of Things is already helping to thwart illegal deforestation in the Amazon rainforest of Brazil.  M2M technology, paired with local cellular networks, notifies authorities of illegal logging activity through M2M sensors placed in the trees within protected areas. If a tree is cut and moved, the sensor sends a text message notifying law enforcement of its GPS location, allowing officials to remotely track the loggers to a sawmill. Brazilian environmental protection agency IBAMA agents can respond in real time, preventing the sale and profit from illegally harvested lumber.

Another interesting example of how the Internet of Things is making a difference for those in need today is our secure program that uses M2M technology to locate patients with Autism Spectrum Disorder (ASD), dementia and Alzheimer’s disease.  In this case, M2M powers a GPS Personal Locator Device (PLD) found inside a very easy-to-wear wristwatch. The device helps caregivers locate and safeguard people with special needs while minimizing the need for constant physical supervision.

What about staying connected anywhere, all the time – from your car?  Today Audi is doing just that with its enhanced M2M “Audi connect” services. The embedded LTE infotainment system allows both drivers and passengers to connect as many as eight phones, laptop and/or tablets at extremely high speeds while on the go, simultaneously use voice and data services, use improved navigation features, and even stream video content.

With various industry experts predicting as many as 50 billion connected devices by 2020, these examples provide only a glimpse at the opportunities that M2M and the Internet of Things can provide.  One thing is for sure – the Internet of Things is here to stay, as are the positive impacts it is having on our lives, our planet, and our relationships with others.

Did you know, however, that there are many other brands involved in developing the concept of a driverless car? From Audi and Toyota to Mercedes, it is claimed that they actually have more chance of commercializing the first driverless car, yet Google has the advantage of technology development. This infographic from Car Loan 4u sums it up.

We have previously discussed the concept of driverless cars and how the idea of them actually transporting people on the highway is perfectly acceptable, but what’s more interesting is the technology that underlies all this innovation in the automotive space.

While car2car technology is slowly making its way from concept to reality and onto the street, recent announcements at Mobile World Congress show that cellular solutions are already finding widespread adoption, with Spotify being made available in Ford vehicles with a Sync AppLink infotainment system or Audi making 4G connectivity available for A3 vehicles. The LA Auto Show highlighted some other innovations, including the remote access app Viper Smart 3.0 allowing iPhone Siri users to command the car to start remotely. (Anyone want to play at being Batman?)

Despite all the exciting and new developments, a lot is going on underneath the hood of the car when it comes to machine-to-machine communications evolving automotive technologies. From fleet management to vehicle telematics to better manage driver safety, machine- to-machine (M2M) technology is already at work for a more convenient and secure experience.

Driverless cars and Google are making headlines when it comes to automotive innovation, however, I believe there is far more interesting work being done in connecting the vehicle with big data and M2M. So, let’s watch this space closely too.

Interac Association recently gave updates on the reduction in debit card fraud losses due to EMV in Canada. Debit card fraud losses from skimming are at their lowest level since 2003. The losses have fallen to $38.5 million in 2012 from a high of $142 million in 2009. This large decline in skimming in Canada is owed to the country’s adoption of EMV chip cards. The secure chip inside of the card, which holds cardholder details, is impervious to access by skimmers or any other unauthorized parties. And, even if the information on the card could be accessed, it cannot be duplicated and used on another card: EMV transactions can only be conducted with the genuine card. This is because the card holds encryption keys that generate unique dynamic data that changes for every transaction, and that the bank verifies every time the card is used.

While we’ve seen similar reductions in card fraud losses in other countries that have adopted EMV, like the UK, these new stats from Interac show that the business benefits apply to North America as well.

Not surprisingly, as the rest of the world has migrated to EMV chip technology, some fraud has shifted over to the United States because of the ease with which fraudsters can duplicate magnetic stripe cards. As a result, the U.S. has carried a disproportionate percentage of global fraud losses – until now. Through our adoption of EMV chips, we’re anticipating a reduction in fraud loss like in Canada, the UK and the 80 other countries in various phases of migration.

Reduced fraud isn’t the only thing we have to look forward to in the U.S. with our EMV chip implementation. With point-of-sale terminals that are able to accept contactless EMV cards, consumers will begin to see an increase in mobile payments with NFC. Canada is, again, a great example. With Canadian telecommunications carrier TELUS, moving ahead with implementing EMV chip technology in secure NFC-enabled mobile devices, consumers will soon be able to make secure payments, participate in loyalty programs, validate their transit pass, and redeem coupons using the secure credentials stored on their SIM cards.

Heightened security and more convenient payments are just a few of the reasons why the U.S. has so much to gain from its migration to EMV. Do you have any questions about EMV migration in the U.S., or any thoughts on EMV in your country? Let us know in the comments section below.

If this is indeed the case, then the most straightforward way of reducing casualties on the road is obvious: take humans out of the equation altogether. Research published in Sepetmber by the Institute of Electrical and Electronics Engineers suggests that this is not as far-fetched as it might seem. The report claims that by 2040, driverless cars will account for around 75% of the traffic on the world’s roads.

If this is true, then the ‘driverless revolution’ will be powered by M2M technology. Sensors in every car and at thousands of points on every road and intersection will need to communicate with one another in fractions of a second in order to prevent collisions and keep traffic running smoothly.  Both vehicle-to-vehicle and vehicle-to-infrastructure communications will need to work seamlessly in order to keep road users and pedestrians safe. Our recent link-up with Audi, which sees Gemalto enabling 4G-powered in-car infotainment systems, is exactly the kind of technology which could soon be used to let drivers take their hands off the wheel.

There would also be additional benefits beyond the obvious convenience of the service: traffic flows could be improved and congestion reduced, while driving styles could also be adapted to make traveling more fuel-efficient. But will these factors be enough to convince drivers to sit back and put their feet up?

Google clearly thinks so, as it has already obtained licenses to trial driverless cars in the US states of Nevada and California. The general public may need more convincing though. It takes a leap of faith to put the lives of you and your family in the hands of an algorithm, and for the technology to be a success, Joe Public will need to be completely convinced of the efficacy of both M2M and driverless technology working with seamless integration.

Bill Snyder is typical of this school-of-thought. Bill argues that most computers will crash on a weekly, or even daily, basis, and that he would be far from comfortable entrusting his life to a machine. In his post, Bill touches upon the issue of Spam and malware, and this raises some pertinent questions about how the security of driverless cars will be controlled. M2M security is already highly advanced, but until these solutions are widely adopted it won’t be possible for them to prove their reliability.

Would you be happy to take your hands off the wheel?

My work focuses on helping issuers make two types of decisions that are key to a successful migration: technology decisions, which can significantly simplify operations and reduce costs; and card policy decisions, which can improve the cardholder experience.

Less well-known are the dates the payment brands have set around mandates and “liability shifts” regarding the adoption of EMV for the U.S. There is only one real mandate al­­­l of the payment brands have put in place, and it’s coming up soon:

April 1, 2013 – Payment acquirer processors are required to be ready to support chip transactions in their systems.

This is an important step to ensure the U.S. payment infrastructure is ready to handle new dynamic transaction data generated for every EMV chip transaction.

The other key dates around EMV in the U.S. are not mandates, but rather provide incentives to card issuers, retail merchants, ATM providers, and gas/fuel providers to upgrade to the new technology. The dates vary by brand, so we’ll list Visa, MasterCard, American Express, and Discover separately:

Visa:

October 1, 2015 — Counterfeit card liability shift. By this date, anyone that invested in EMV technology and is fully deployed will be protected from financial liability for card-present counterfeit fraud.

October 1, 2017 – The counterfeit card liability shift extends to automated fuel dispensers.

October 1, 2017 – The counterfeit card liability shift extends to ATMs.

MasterCard:

October 1, 2015 – Fraud liability shift.  MasterCard is putting a liability hierarchy in place.  This means that the party that implemented the most secure technology will be protected from financial liability for card-present fraud. Note: this includes both counterfeit and lost, stolen and non-receipt fraud.

October 1, 2016 – The fraud liability shift extends to ATMs.

October 1, 2017 – The fraud liability shift extends to automated fuel dispensers.

American Express:

October 1, 2015 – Fraud liability shift. Amex’s policy will transfer liability for certain types of fraudulent transactions away from the party that has the most secure form of EMV technology.

The dates for fraud liability shift on automated fuel dispensers and ATMs have not yet been announced.

Discover:

Discover hasn’t announced any key dates beyond the April 2013 processor/acquirer mandate, but has said they “will support all card authentication channels (online and offline), all cardholder verification methods (including both chip and PIN or chip and signature transactions), and all commerce channels (contact and contactless, including mobile).”

Now that we’ve covered the key dates by brand, you can mark your calendars for April 1^st as the U.S. kicks off the migration to EMV with its first milestone. As always, we’ll keep you up-to-date on the latest news surrounding U.S. EMV and if you have any questions, let us know below!

What’s a unique mobile health program that you’ve seen? If there isn’t one that sticks out can you give me an example of something that can be done with mobile health that couldn’t otherwise be done?
Many European countries have e-health programs, have any been thinking about moving to the mobile? Pros/Cons?

Well, first things first, let’s look at the game-changing improvements that mHealth can bring before we look at specific examples of where this has been put into practice. The greatest benefit of mobile technology is, of course, that it offers absolutely unparalleled ease-of-use for the patient. Devices can be shipped preconfigured to the patient and work ‘out of the box’, without the need to enter WIFI keys or Bluetooth-pairing the devices with a phone. mHealth also makes it far easier to remotely access those devices, for instance to adapt patients’ treatment parameters or to perform maintenance tasks.

Meanwhile, the use of M2M technology has the potential to truly transform healthcare provision. Not only will M2M bring about improvements in treatment standards but will also streamline the way that care is delivered, resulting in efficiency savings for providers. Medical devices using M2M could include ‘smart pill boxes’ (which ensure only the recommended dosage is dispensed), wearable health monitors or personal emergency response systems. Devices such as these can help to create a new communications channel between clinicians and patients, breaking down geographical barriers and meaning quality care can be delivered at distances of hundreds of miles.

One example of this theory being put into practice to great effect is Philips’ Respironics technology. Their System One is a sleep therapy system for sleep-disordered breathing (i.e. sleep apnea). System One practically puts a sleeping lab in the patient’s home, providing CPAP (Continuous Positive Airway Pressure) therapy, recognizing when treatments need changing and feeding this information back to the clinician.

So are any countries seriously looking at taking advantage of these many benefits? The short answer is yes, but as with any technology adoption there are some hurdles which will need to be overcome first. Any mHealth program will need to be easily-scalable in order to be economically viable, and the key to achieving this is interoperability. To help speed this process along, Gemalto is a member of the Continua Health Alliance, which is working towards establishing a standardized ecosystem of interoperable health solutions. Countries such as Japan and Singapore have already mandated the Continua guidelines for new projects, while Denmark is taking the lead in Europe.

If delivered correctly, the possibilities of mHealth are almost limitless. So, if you’re visiting MWC this week, why not swing by our stand (Hall 5 #5G120) to see a demonstration of how to mobilize medical devices using Gemalto’s M2M technology.

Many European countries have e-ID programs in place, are there any pilots in place to move away from smart cards and put these credentials on mobile devices? 
What are some of the obstacles around placing credentials on the mobile and being able to use them for secure online identity?

This is an interesting query as it raises the issue of trust for mobile as a platform. As we move towards a future of increasing reliance on our mobile devices (with NFC payments replacing our credit cards, to give just one example), are we prepared to entrust our entire identities to a phone?

In fact, there are not just pilots, but already a number of commercial deployments and government programs using mobile ID (m-ID). Countries such as Finland, Moldova and Oman are have already deployed, or are in the process of deploying, an m-ID infrastructure.

Securing m-ID is all about ensuring that the mobile device is connected wirelessly to the same Public-Key Infrastructure (PKI) as an e-ID card. To maintain the same security level as a smart card you must ensure that the information is placed on a PKI SIM card. Thankfully, all NFC-enabled SIMs are also PKI SIMs, meaning anyone with an NFC-enabled handset can safely carry their ID on their phone with the same level of security as if it were on a smart card.

So, Zack, in answer to your question, there are some obstacles involved in m-ID adoption, but the advancement and adoption of NFC technology is breaking down these barriers. For this reason, we expect to see many more deployments of m-ID over the coming years as our mobile devices continue to play an ever greater role in our everyday lives.

The gift card has come a long way since the first version was launched in Britain during the 1930’s as a “book token.” Today, the UK market for ‘gift vouchers, gift cards and stored value solutions’ is worth around £4 billion a year. One of the reasons for this success is the prepaid electronic card, which over the course of the last few years has grown dramatically.

With all the advantages that the electronic gift card offers to retailers and consumers, it’s no surprise that it’s such a hit. Retailers love it for the financial, marketing, and operational benefits, while consumers enjoy the convenience and practicality.

For retailers, the prepaid gift card has opened doors to new business opportunities, such as personalizing and packaging the card to promote their company’s brand. It is even attracting new clientele, for example young people who may not have had access to conventional banking accounts.

The prepaid card also has the potential to significantly lower the operating costs for retailers, “since interchange fees associated with credit cards are avoided with merchant issued gift cards.” What is interesting from the consumer side is the increasing number of prepaid card holders who are reloading funds onto their card – in the UK it is up to 18%.

Currently, the majority of gift cards in the UK are known as “closed loop,” which means that the card can be used only at the specified retailer. As the prepaid gift card market develops, so will the user options. “Open loop” gift cards are on the rise and can be redeemed across a whole range of retailers at point-of-sale terminals, driving us closer still towards a cashless society.

The benefits of prepaid gift cards are becoming abundantly clear, and as always with larger volumes and more funds at stake, security is the key to its continued success. Gemalto is securing these cards, complying with EMV standards, from production, through to tamper-proof packaging and delivery. So when you purchase one for yourself or give the gift of a prepaid card, you are getting a sense of security too.

For further information on the topic, I would suggest a recent article in The Retailer Magazine that elaborates on the expanding and developing electronic gift card industry.

As you may have read in publications like M2M Magazine and TIME, news articles like this one in The Independent (UK) by Donna Bowater, and on blogs like TMCnet, curated by Rich Tehrani, Gemalto’s Cinterion M2M technology is now being used in devices that monitor and prevent deforestation in the Amazon rainforest.

By monitoring precise areas of forest in Brazil using the wireless connectivity in Invisible Tracck devices, developed by Cargo Tracck, we’re able to achieve both detailed focus of uninhabited areas and aid the progress of law enforcement and the Brazilian environmental protection agency IBAMA to achieve their goal of protecting the rainforest from illegal activity.

The Gemalto-powered Invisible Tracck devices are deployed to detect unauthorized logging activities missed by traditional satellite surveillance and radio monitoring. Smaller than a deck of cards, the discreet device combines a tiny BGS2 module with localization algorithms and Radiation Exchange Data (RED) technology that extends the range of wireless communications in low signal areas.

The solution is covertly installed in trees located in active harvesting and sends alarm notifications and exact location information to officials as soon as trees pass within 20 miles of a cellular network. This way, authorities protecting these areas can respond in real-time, trace loggers to sawmills and prevent the sale and profit from illegally-harvested wood.

It’s testament to the development of M2M technology in recent years, alongside our modern power management systems, that these devices can operate reliably in position for over a year without recharging batteries.

Will Kelly of Tech Republic recently stated that the combination of Big Data and M2M has the potential to elevate both technologies into wider and more innovative uses than ever, citing wireless carriers, energy management and auto insurance as three enthralling applications.

So over to you, what else can benefit from M2M innovation? You don’t have to protect a rainforest to benefit from a world of connected devices.

Update: We’ve been named a 2013 Laureate of IDG’s Computerworld Honors Program. Gemalto is recognized in the World-Good category for our leading-edge Cinterion M2M technology used to help thwart illegal deforestation in the Amazon rainforest of Brazil. The annual award program honors visionary applications of information technology (IT) promoting positive social, economic and educational change.