London, UK, January 4th, 2006- To reduce fraud and increase consumer confidence in online transactions, mobileATM™, the UK's first mobile banking platform, today announced that it has integrated Thales UK’s end-to-end authentication platform, SafeSign, as the core server-side security engine for its handset-based security application. mobileATM™ is the only mobile handset-based system that provides consumers with bank grade, secure access to, and control over, their financial accounts. From early 2006, consumers using the mobileATM™ ‘secure code’ application will be able to request a one-time identification code to access their online bank or building society account, thereby providing a second level of security beyond their standard password.

According to recent figures, losses due to online banking fraud in the UK were an estimated £14 million in the first half of 2005, while fraud from telephone and online payment transactions jumped 29% when compared to the same period in 2004 (APACS). The use of the mobile phone as a secure delivery channel for second level authentication (also known as two-factor authentication) is an important step forward as these solutions provide an additional level of security to online financial transactions. They involve the distribution of one-off security credentials to the consumer through a secondary channel (in this case a mobile telephone) that, when re-entered into the primary channel (the internet), authenticate a particular banking or payment transaction.

The authentication process will be managed by Thales UK’s SafeSign solution which has the capability to authenticate any transaction, regardless of channel. As a middle office application, SafeSign has the proven capability of managing the authentication process while seamlessly integrating into the existing transaction authentication infrastructure.

“ Consumers are being made increasingly aware of the need for tighter security and diligence when transacting online and are broadly comfortable with the principle,” said Alastair Lukies, CEO at mobileATM™. “The challenge for the financial and security industries is to ensure that we are not creating more barriers to entry in the online environment, especially as it’s just beginning to thrive!”

Paul Meadowcroft, head of transaction security activities at Thales UK, said: “SafeSign has repeatedly proven that it is the most robust and flexible end-to-end authentication platform available. From the award-winning deployment at VOCA for BACSTEL-IP to its recent use by the Cairo and Alexandria Stock Exchange, SafeSign has demonstrated its ability to authenticate any transaction regardless of channel. Our work with mobileATM™ also demonstrates another core capability of SafeSign to authenticate any end-user authentication technology, in this case mobile phones but it could just as easily be anything from the simple password to the most advanced smart cards and handheld tokens.”

The mobileATM™ ‘secure code’ solution will be available in addition to other mobileATM™ services which enable real time access to basic financial information (such as balance enquiries and mini statements over the mobile phone). mobileATM™ also allows the user to 'top up' their own or someone else’s prepay phone account directly from the handset. The service can also be extended to securing online shopping as well as access to bank accounts. mobileATM™ has developed a service where online retailers will be able to deliver transaction confirmation to a 'shopper’s' mobile phone and ask that the consumer confirms receipt of the purchase details by simply pressing a button on the phone. This brings second factor security to online shopping. It is also seen as a benefit to the consumer by delivering them a digital receipt for their purchase, just as you would receive a paper receipt for a purchase in the physical world. It also protects the retailer as they are shipping the purchased goods safe in the knowledge that the customer is who they say they are.

mobileATM™ has been developed jointly by LINK Interchange Network Limited (operator of the UK’s ATM network) and Morse Plc and is due to launch to consumers in the early part of 2006. Replicating the user friendly interface of an ATM, mobileATM has been designed to ensure maximum consumer uptake of basic mobile banking services.

About Thales
Thales is an international electronics and systems group, serving defence, aerospace, services and security markets. The group employs 61,500 people worldwide and generated revenues of €10.3 billion in 2004.

Operating in three main markets covering e-security, card payment and network security, Thales e-security activities address the business, government and finance industries need for cryptographic security products and solutions. Over half of the world's banks, together with the majority of the busiest exchanges, currently use Thales technology. For more than 20 years the company has been at the forefront of security and payment technology, co-operating and contributing to set the industry standards used for financial transactions and e-commerce globally. Thales e-security business offers a wide range of security solutions to protect Government and Defence critical information infrastructures, thereby positioning the company as a leading worldwide supplier of certified network security products.

About SafeSign
SafeSign is the first middle office system to offer a strategic approach to identity management and transaction authentication that in turn removes complexity through the use of a single platform between the front and back office. Transactions from multiple trust schemes can be easily integrated and secured, regardless of format or whether from third parties, enabling current investments to be exploited. All transactions, whatever their source, can be authenticated on the single SafeSign platform that is seamlessly integrated with front and back office systems.

About mobileATM™
mobileATM™ is a mobile banking service provider. The company is a joint venture between LINK, the operator of the UK ATM network, and Morse plc., one of Europe’s leading technology development and consulting companies. mobileATM™ provides consumers with a greater level of control over their finances, allowing them to securely access their card-based accounts via the mobile handset.
Using the trusted technology and operational capability of LINK interchange network, connected with 37 of the UK leading retail banks and building societies, mobileATM™ is truly carrier grade. This allows its portfolio of services, from balance enquiries and mobile prepay ‘top ups’ to be delivered to the broadest group of banking consumers.
The mobileATM™ platform has been developed exclusively by Morse as part of it’s technology innovation program and is built on Sun Microsystems’ Java platform which ensures maximum handset compatibility while allowing the delivery of a secure application. Sun Microsystems are also working with morse to enable an international rollout of the mobileATM™ service.

Press Contact:
Sharon Brennan
Hotwire
+44 (0) 20 7608 4628
sharon.brennan@hotwirepr.com

Sarah Milligan
Thales e-Security
+44 (0)1844 204181
sarah.milligan@thales-esecurity.com