Logical Classifications Of SmartCards

At the logical level, you''ll find SmartCards classified three different ways. Memory cards (the simplest form) are used to store values for future uses. The most common example of a memory card are the pre-paid phone cards that are redeemable through the bright-yellow reader slot found on modern pay phones. Other common uses include electronic purse (e-purse) applications that eliminates the need to carry cash, ID systems that are used in place of medical identification bracelets to store vital information in the event of a medical emergency (name, blood type, allergies, medical conditions, etc.), and any other applications that can benefit from stored, portable data.

Protected memory cards require the entry of a secret code or "PIN" before a stream of data can be sent to or received from the chip. The holder of the PIN may be the card user themselves or may be the card issuer who needs the PIN to replenish value on the card ( as with e-purse applications) or to modify information that they specifically maintain.

Microprocessor cards contain a semiconductor chip to hold microcode that defines command structures, data file structures, and security structures. They''re present when more ''intelligence'' or storage of dynamic information is needed and are often found used in multi-application products and services.

The cost of blank (uninitailized, unpersonalized) SmartCards vary widely, depending on card type and functionality. Memory cards run from $2.00 to $5.00 per card, protected memory cards run $1.00 to $4.50 per card, and microprocessor cards run anywhere from $3.50 to $16.00 per card. Personalization costs may be the deciding factor in offering SmartCards since they can quickly become exorbitant as the functionality desired for the card increases. With added functions and benefits, data sources become diverse, disparate, and distributed across several possible participating companies -- adding tremendous costs to card to preparation and chip updating. Certain uses of the Internet should aid in the updates to chip information and may help to reduce some of these costs and complexities. Even though either technology can stand alone, SmartCards and the Internet together broaden the possibilities without any bounds.

SmartCards differ from traditional magnetic strip credit cards in that they maintain status information that may change with each use or encounter. The uses of SmartCards range from the simple to the very complex. With a multi-application card, users can combine controlled access (ala badge readers), credit or charge card privileges, traveler profile information, frequent-stayer program information, loyalty programs, car rental programs, electronic purse applications, and logical access control to computing services - all on a single device.