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Thanks LMU. Good to see your contribution again after a long absence.
Re short position. I do not believe that there are forces at work to manipulate the share price. That is way to far fetched . Short position are regularly reported and SMME's short position is tiny
( http://www.otcmarkets.com/stock/SMME/short-sales )
I don t have a strong view on the legal issue. I just look at where the share price trades and what volumes are traded. It tells me that there is not much faith in a good outcome for SMME. If there was a strong case, the market would be, like a rash, all over this stock.
My worry with their product is that they have not been able to get the medical keyring right so I question how they can get a far more complex product right that has to fit inside a credit card.
Reading through all the news releases, I bet all intentions are good but I think that after 10 years and many millions of dollars, it is about time that the company starts to deliver.
If the company can't deliver before a ruling by the Appeals Court , it is my view that we might find ourselves in a very precarious position.
I continue to hold but with far less conviction than a year ago.
I have filed my Smartmetric position into my Dusty Springfield folder ( Wishin' and Hopin' ).
R.
Shiner, LMU, Potts and all other loyal holders.
Still in, still waiting like all other for some uplifting news.
In the meantime, the only contribution I hope to make is something that will hopefully make you smile.
Five Germans in an Audi Quattro arrive at the Italian border. The Italian Customs Officer stops them and tells them "It'sa illegala to putta 5 people in a Quattro."
"Vot do you mean iss illegal?" asks the German driver.
"Quattro meansa four," replies the Italian official.
"Quattro is just ze name of ze f****** automobile" the German says unbelievingly. "Look at ze gott dam papers: ze car is designed to karry 5 persons."
"You canta pulla thata one on me-aa!" replies the Italian customs officer. "Quattro meansa four. You have five-a people ina your car and thereforea youarra breaka da law."
The German driver replies angrily, "Idiot! I vant your supervisor over. I vant to speak to someone viz more intelligence!"
"I’ma sorry" responds the Italian officer, "He can'ta come. He's a busy with a 2 guys in a Fiat Uno."
R.
All you good people.
Happy to see you have not given up :)
Still excited and looking forward to weeks and months ahead.
Going into the weekend it s time for a bit of a laughter .
I ended up with an older woman at a pub last night.
She looked OK for a 61 year-old. In fact, she wasn’t too bad at all, and I found myself thinking that she probably had a really hot daughter.
We drank a bit, had a bit of a snuggle, and then she asked if I’d ever had a ‘Sportsman’s Double’.
“What’s that?” I asked, thinking maybe a beer and whisky mix.
“A mother and daughter threesome,” she said.
I said “No”, excitedly,...”Never had one of those.”
We drank some more, then she said that tonight was my ‘lucky night’.
So we went back to her place.
She put on the hall light and shouted upstairs,
“Mum, you still awake?”
Dear all,
Not very exciting lately. From memory we should get a snippet of news on the legal front.
Anyway hope that everyone is still in high spirits !!
R.
A Russian is traveling to Poland
and he is stopped to be checked by an officer.
"Name?" the officer asked.
"Vlad Dobrynin," the man answered.
"Nationality?"
"Russian."
"Occupation?"
"No, no, just visiting."
Dear Potts,Shiner,LMU and all other valuable contributors,
Regret that I have been absent for some time but I m back home ( Europe) for a while for some sad family reasons.
I continue to read all your post and I continue to hold a good stake in Smartmetric.
Not sure what the future holds but expect another run up before Appeals Court decision.
All best wishes to you all and to finish of on a funny note :
( Sorry LMU this one is bit risquee, the boys might like it though )
Ranger
A young man moved out from home and into a new apartment, all of his own, he went proudly down to the lobby to put his name on his mailbox.
While there, a stunning young lady came out of the apartment next to the mailboxes, wearing only a robe.
The boy smiled at the young woman and she started up a conversation with him. As they talked, her robe slipped open, and it was obvious that she had nothing else on.
The poor kid broke into a sweat trying to maintain eye contact. After a few minutes, she placed her hand on his arm and said, 'Let's go to my apartment, I hear someone coming.'
He followed her into her apartment; she closed the door and leaned against it, allowing her robe to fall off completely. Now nude, she purred at him,
'What would you say is my best feature?' Flustered and embarrassed, he finally squeaked, 'It's got to be your ears.'
Astounded, and a little hurt she asked, 'My ears? Look at these breasts; they are a full 38 inches and 100% natural. I work out every day and my ass is firm and solid. I have a 28 inch waist. Look at my skin - not a blemish anywhere. How can you think that the best part of my body is my ears?'
Clearing his throat, he stammered... 'Outside, when you said you heard someone coming... that was me.'
Thanks bb1.
Not sure where we stand atm. Share price melts away. Cap raising at these sorts of levels is not an attractive proposition IMO.
Need some concrete news to kick the sp back above 20 cents.Maybe some news about the keyring going on sale early next year ?
R.
Short one for the " good folks " down under
One Maori says to another; "hey bro, what's a Hindu?"
the second Maori replies "lays eggs bro"
More discussion about Smartmetric on German forums than on US forums.
http://www.ariva.de/forum/SMARTMETRIC-ist-das-die-chance-auf-MILLIONEN-491047
What is wrong theses days?
Auf wiedersehen
R.
Little bit of legal news
Tuesday, November 5, 2013
“Hourly Rates, Total Hours, and Total Fees” May Not Be Submitted Under Seal
The court denied without prejudice defendant's motion to file under seal declarations in support of its motion for attorneys' fees. "The Court is unable to hold that good cause exists on the submitted papers. The Application provides only a perfunctory assertion that [the exhibits] contain 'proprietary business information for both [defendant] and [its counsel] and reflect the relationship and communication between attorneys and client.' [Defendant] does not discuss in any detail why the invoices and summary chart should not be revealed to the public, nor why any danger cannot be mitigated by redacting confidential information or privileged communications. District courts in this circuit have refused to seal documents relating to the hourly rates, total hours, and total fees paid to attorneys. . . . The Court notes that it has granted [a co-defendant’s] Application to File Under Seal . . . [That] Application sought only to seal detailed records of attorneys’ actions in the matter, while leaving public summaries showing hourly rates and total hours. [The co-defendant] convincingly argued that good cause exists to protect the detailed information because review of those records may provide insight into how [the co-defendant] pursues patent litigation. [Movant] may wish to proceed in the same manner.
SmartMetric Inc. v. MasterCard International Incorporated, et. al., 2-11-cv-07126 (CACD November 1, 2013, Order) (Fitzgerald, J.)
Posted by Docket Navigator at 9:06 AM
Short selling data
Historical Short Selling Data For SMME
Date VolShorted High Low Close Chg ShortVol RegularVol
Oct 07 41.41% 0.19 0.18 0.19 +5.56% 7,785 18,800
Oct 04 10.65% 0.19 0.16 0.18 +12.50% 8,140 76,465
Oct 03 46.62% 0.20 0.16 0.16 -20.00% 39,800 85,367
Oct 02 47.90% 0.20 0.18 0.20 +5.26% 39,400 82,252
Oct 01 40.59% 0.21 0.18 0.19 +11.76% 49,485 121,925
Sep 30 34.83% 0.20 0.17 0.17 +6.25% 66,750 191,620
Sep 27 27.18% 0.22 0.16 0.16 -20.00% 56,846 209,151
Sep 26 48.92% 0.20 0.12 0.20 0.00% 263,997 539,655
Sep 25 13.53% 0.38 0.13 0.20 -48.72% 79,195 585,118
Sep 24 33.94% 0.40 0.38 0.39 0.00% 44,441 130,959
Sep 23 11.50% 0.40 0.39 0.39 0.00% 11,169 97,131
Sep 20 44.95% 0.40 0.39 0.39 -2.50% 31,173 69,346
Sep 19 32.85% 0.40 0.39 0.40 0.00% 22,255 67,750
Sep 18 50.26% 0.40 0.39 0.40 +2.56% 32,489 64,639
Sep 17 53.43% 0.41 0.39 0.39 -2.50% 57,019 106,719
Sep 16 30.77% 0.41 0.39 0.40 +2.56% 36,621 119,021
Sep 13 16.40% 0.41 0.39 0.39 0.00% 5,543 33,793
Sep 12 63.54% 0.45 0.38 0.39 0.00% 27,924 43,948
Sep 11 6.46% 0.41 0.39 0.39 -2.50% 2,900 44,900
Sep 10 29.44% 0.45 0.38 0.40 -11.11% 11,350 38,558
Sep 09 67.71% 0.47 0.42 0.45 NA 20,812 30,737
FRAUD AND SECURITY
3rd Oct 2013
SmartMetric
World First Fingerprint
Authentication Cards
SmartMetric claims to have developed a fully functional self powered fingerprint reader which can be built inside a credit card. To authorise transactions a scan is made of a cardholders fingerprint and an EMV chip is activated if the read is successful.
President & CEO Chaya Hendrick claims the technology is a world first, following a decade of development work, that will save financial institutions around the world billions in reduced fraud losses.
While SmartMetric is out talking about their fingerprint authentication technology, Mastercard has joined the FIDO Alliance to expand its standards to include fingerprint and other biometric identification. The FIDO Alliance is a group of 48 tech companies led by PayPal and Lenovo.
At the same time Visa and Mastercard have successfully contested a long standing $13.4 billion patent infringement claim that was raised by SmartMetric relating to the use of EMV chip technology.
The SmartMetric biometric identification technology is also being considered for medical identification and secure access applications. For further reading try Market Watch. To read more about the FIDO Alliance try USA Today.
Apples and Oranges
Microsoft, SmartMetric, USPTO, Amazon.com: Intellectual Property
By Victoria Slind-Flor - Oct 4, 2013 2:01 PM ET
Microsoft Corp. won’t be able to seek another import ban against some handsets made by Google Inc. (GOOG)’s Motorola Mobility, though it can get damages under a ruling issued by a U.S. appeals court yesterday.
A U.S. trade agency was wrong to say some of Motorola Mobility’s products didn’t infringe one Microsoft patent, while there was no violation of three others, the U.S. Court of Appeals for the Federal Circuit in Washington said in an opinion posted on its website yesterday. The remaining patent expires in December, so there won’t be enough time for a trade agency to block the devices from being imported into the U.S.
The ruling does give Microsoft ammunition to seek cash damages from Motorola Mobility in a U.S. district court. Both sides declared victory, with Redmond, Washington-based Microsoft saying it bolsters its efforts to get royalties from devices running on Google’s Android, the world’s most popular operating system. Motorola Mobility is one of the biggest holdouts of a program started three years ago, Microsoft has said.
“We’re pleased the court determined Google unfairly uses Microsoft technology and once again call on Google to join the rest of the Android ecosystem in licensing our patents,” Microsoft Deputy General Counsel David Howard said.
Motorola Mobility, which was bought by Mountain View, California-based Google after the case was filed in 2010, focused on the findings regarding the other three patents and the court finding that Motorola Mobility designed around the one that was infringed.
The favorable opinion “confirms our position that our products don’t infringe the Microsoft patents,” said Matt Kallman, a Motorola Mobility spokesman.
The court didn’t rule on Google’s appeal of a separate patent in the dispute before the U.S. International Trade Commission. In that case, the ITC issued an import ban against some Motorola Mobility phones. Microsoft has sued U.S. Customs and Border Protection, claiming it hasn’t enforced the order.
The case that was ruled on is Microsoft Corp. (MSFT) v. ITC, 12-1445, while the pending case is Motorola Mobility LLC v. ITC, 12-1535, both U.S. Court of Appeals for the Federal Circuit (Washington). The ITC case is In the Matter of Certain Mobile Devices, Associated Software and Components Thereof, 337-744, U.S. International Trade Commission (Washington).
SmartMetric Loses Patent Ruling in Visa, MasterCard Case
Visa Inc. (V) and MasterCard Inc. (MA) don’t infringe a patent owned by SmartMetric Inc., a company that had sought as much as $13.4 billion for alleged use of its technology in “smart” debit and credit cards.
U.S. District Judge Michael W. Fitzgerald in Los Angeles, affirmed his earlier tentative decision from a Sept. 25 hearing.
“The parties here are comparing apples and oranges,” the judge said in an Oct. 2 written ruling. “The piecemeal similarities that SmartMetric has identified in support of its claims do not change the fact that claims 1 and 14 of the ‘464 patent are simply not practiced by defendants, and no reasonable jury could conclude otherwise.’’
SmartMetric sued Visa and MasterCard two years ago, claiming they infringed its patent for a system for automatic connection to a network. The company claimed it was entitled to a royalty of 25 percent of the anticipated savings Visa and MasterCard would receive from a drop in credit and debit-card fraud by the introduction of so-called EMV cards in the U.S.
The EMV cards, which are already used in Europe, include a microchip instead of a magnetic strip to access a payment system. The SmartMetric patent pertains to the process by which the payment system selects a network for a card transaction, Patrick Bright, the company’s lawyer, said at the Sept. 25 hearing.
SmartMetric said in a statement yesterday it will appeal the non-infringement ruling.
The case is SmartMetric Inc. (SMME) v. MasterCard International Inc., 11-cv-07126, U.S. District Court, Central District of California (Los Angeles).
Government Shutdown Forces Cancellation of Inventors’ Meeting
The U.S. Patent and Trademark Office canceled its 18th annual Independent Inventors Conference set for Oct. 11-12 in Alexandria, Virginia.
According to a notice on the patent office website, the office will stay open notwithstanding the government shutdown that began Oct. 1.
The patent office said that it had to make ‘‘difficult decisions to ensure core patent and trademark operations are maintained for as long as possible.”
The office, which operates on user fees, said it is should be able to stay open for about four weeks using previous year’s fee reserves.
For more patent news, click here.
Trademark
Amazon Seeks ‘Firetube’ U.S. Trademarks for Variety of Uses
Amazon.com Inc. (AMZN), the world’s largest e-commerce company, applied to register the term “Firetube” as a trademark, according to the U.S. Patent and Trademark Office.
The application, filed Sept. 25, indicates that the Seattle-based company plans to use the mark for a wide range of services, including online social-networking, a mobile software application, and the dissemination of advertising via the Internet and other communications networks.
Other uses for the mark, Amazon says, are the provision of non-downloadable pre-recorded content via wireless networks, communication through portable electronic devices, electronic mail services and graphic design services.
Kentucky Restaurant Successful in Defense of ‘Derby Pie’ Mark
Kern’s Kitchen Inc., a Kentucky restaurant that’s been in business for more than 50 years, won a trademark battle against a restaurant that was started by the founder of the Kentucky Fried Chicken chain.
The dispute was over a pie that is associated with the Kentucky Derby horse race. According to the database of the U.S. Patent and Trademark Office, Louisville, Kentucky-based Kern’s Kitchen began using the name “Derby Pie” in 1964, and registered it as a U.S. trademark in October 1969.
The company said on its website that the pie, which has chocolate chips and walnuts among its ingredients, is a secret recipe and “no one has ever been able to duplicate our special filling and delicate crust.”
That hasn’t stopped many people from trying. A Google search for the terms “Derby Pie” and “Recipe” yields more than 48,000 hits. Kern’s Kitchen has successfully filed other trademark suits related to the pie’s name.
Kern’s Kitchen objected to the use of the term “derby pie” to describe a dessert served at Claudia Sanders Dinner Houses Inc., of Shelbyville, Kentucky, and filed an infringement suit in federal court in March.
According to the Dinner Houses website, the restaurant was founded in 1968 by Harland Sanders, and originally known as “The Colonel’s Lady.” Sanders sold his Kentucky Fried Chicken company to a group of investors in 1964, and the chain is now a unit of Yum! Brands Inc. (YUM) He and his wife Claudia, inspired by their “knowledge of Southern Recipes and their natural leaning toward the restaurant,” then opened The Colonel’s Lady.
Sanders died in 1980 at the age of 94, and his widow died in 1996, at the same age.
In its complaint, Kern’s Kitchen said that it renewed its trademark in 2009 and didn’t authorize the mark’s use by the defendant. It asked the court for an order barring further infringement and damages of $335,000 together with awards of attorney fees and litigation costs.
On Oct. 1 a federal court in Frankfort, Kentucky, issued an order permanently barring Dinner Houses’ use of “Derby Pie,” and dismissing all other claims. The court said each party must pay its own attorney fees and litigation costs.
Dinner Houses’ menu lists a dessert containing chocolate chips and pecans that is now named “Claudia’s Kentucky Pie.”
The case is Kern’s Kitchen Inc. v. Claudia Sanders Dinner Houses Inc., 3:13-cv-00013-GFVT, U.S. District Court, Eastern District of Kentucky (Frankfort).
For more trademark news, click here.
Copyright
Pennsylvania Theater Sued Again by Broadway Copyright Holders
Entertainment Theatre Group, which does business as American Music Theatre, was sued for the second time in two weeks for infringing copyrights of Broadway musicals.
The first suit was filed in Allentown, Pennsylvania, Sept. 25 by the Walt Disney Co. (DIS), which objected to the allegedly unlicensed use of content from its “Mary Poppins,” “The Lion King” and “Spider-Man” in American Music Theater’s “Broadway: Now and Forever.”
The second suit was filed by the Rodgers & Hammerstein Organization, Andrew Lloyd Weber’s Really Useful Group Ltd., and the Music Theatre International licensing agency.
The content that is allegedly used without permission is drawn from “The Producers,” “West Side Story,” “Jesus Christ Superstar,” “Annie,” “Cats,” “Joseph and the Amazing Technicolor Dreamcoat,” “Music of the Night,” “Evita,” “Phantom of the Opera,” and “Les Miserables,” according to the complaint.
The music organizations asked the court to bar the unauthorized use of their content and for awards of money damages, attorney fees and litigation costs.
American Music Theatre didn’t respond immediately to an e-mailed request for comment.
The new case is The Rogers and Hammerstein Organization v. Brubaker, U.S. District Court, Eastern District of Pennsylvania (Allentown).
The earlier case is Disney Enterprises Inc. v. Entertainment Theatre Group, 13-cv-05570, U.S. District Court, Eastern District of Pennsylvania (Allentown).
For more copyright news, click here.
To contact the reporter on this story: Victoria Slind-Flor in Oakland, California, at vslindflor@bloomberg.net.
To contact the editor responsible for this story: Michael Hytha at mhytha@bloomberg.net.
HCTS,
Patrick Bright seems very convinced that the patent is infringed. His view has been supported in the Courts of Appeal+ Markman Hearings. Why Judge F. did a U turn on it , is bizarre .
PB will fight on and I would say, good on him.
If I remember well, PB has spend in excess of 9 mio $ on this case ( numbers quoted some months ago so probably well in excess of 10 mio $ by now). This money comes out of his own pocket so I have no doubt that he has done his home work pretty well before taking on this case.
A trial by Jury would be a great result but would it be seen as a loss of face for Judge F. ? If so , going to the Appeals Court is IMO a certainty.
As for the share price, just a few Nervous Nellies selling :)
I hope, the focus will get back on what this business is all about and with the Medical Keyring in production and the smart cards to go into production, we should get a good picture of where the company is at.
R.
HC,
Appreciate your effort. Take Chaya's example: Don t give up, persist :), justice will prevail
Getting back to the legal issue.
It appears that we will be heading to Court of Appeal ( see Judge F comment).
Any other views?
Bloomberg News
Visa, Starbucks, SeaWorld, Largan: Intellectual Property (1)
By Victoria Slind-Flor September 26, 2013
Visa Inc. (V:US) and MasterCard Inc. (MA:US) won a tentative court ruling they don’t infringe a patent owned by SmartMetric Inc., a technology development company that seeks $13.4 billion in damages.
U.S. District Judge Michael W. Fitzgerald issued his tentative ruling yesterday at a hearing in Los Angeles.
“I don’t see there’s anything to determine here for a jury,” the judge said at the hearing.
STORY: Troll Fighting: Anatomy of a Patent Lawsuit
SmartMetric sued Visa and MasterCard two years ago, claiming they infringed its patent for a system for automatic connection to a network. The company claimed it was entitled to a royalty of 25 percent of the anticipated savings Visa and MasterCard would receive from a drop in credit and debit-card fraud by the introduction of so-called EMV cards in the U.S.
The EMV cards, which are already used in Europe, include a microchip instead of a magnetic strip to access a payment system. The SmartMetric patent pertains to the process by which the payment system selects a network for a card transaction, Patrick Bright, the company’s lawyer, said at yesterday’s hearing.
Bright said he should be allowed to take his evidence before a jury.
STORY: Princeton Sues Princeton for a Share of Its Patent Millions
“You substituted the court as the trier of fact,” Bright told the judge. “That is reversible error.”
Joseph Melnik, a lawyer for Visa, said at the hearing that the Visa and MasterCard systems do fundamentally different things than what’s claimed by the patent. An earlier lawsuit brought by SmartMetric against the two companies resulted in a court ruling that there was no infringement, according to a Visa court filing.
Fitzgerald didn’t issue a final ruling at the hearing and took the motion under submission.
STORY: Chevron Inches Closer to Legal Victory Over Ecuador Pollution
In dispute is patent 6,792,464, which was issued in September 2004. The patent suit was filed in August 2011. The case is SmartMetric Inc. (SMME:US) v. MasterCard International Inc., 11-cv-07126, U.S. District Court, Central District of California (Los Angeles).
HC
A big thank you to you, I welcome your input very much.
I now hope to see all the contributors back who have deserted this forum in the last few months.
R.
Thanks All for explaining.
My initial impression was that it was all done and dusted and I asume most of the ones selling in the last 2 session also took that view.
This case is full of surprises and looks far from over.
Q10 should be out soon. Might give us a few more clues .
GLTA
R.
Very interesting.
So please tell me, what do you see as a favorable judgement and why do you think a judgement can go Smartmetric s way.
No worries,
Click on report
Enforcement Tips and Complaints
If you would like to provide us information about fraud or wrongdoing involving potential violations of the securities laws, which may include the conduct listed below, use the Tips, Complaints and Referrals Portal. See also further information about submitting a tip or complaint.
Ponzi scheme, Pyramid Scheme, or a High-Yield Investment Program
Theft or misappropriation of funds or securities
Manipulation of a security's price or volume
Insider trading
Fraudulent or unregistered securities offering
False or misleading statements about a company (including false or misleading SEC reports or financial statements)
Abusive naked short selling
Bribery of, or improper payments to, foreign officials
Fraudulent conduct associated with municipal securities transactions or public pension plans
Other fraudulent conduct
Bale Out,
FYI
http://www.sec.gov/complaint/select.shtml
Thanks Duke,
I think along the same lines.
Early Thursday morning start for many of us here.
GL
PS What went wrong with the profile picture you uploaded ?
Duke,
Agree with you that it will trade a fair bit higher but where do you see the sp in case it goes against SMME?
I vaguely remember that Chaya mentioned an Appeal if it goes against SMME. If that is an option , you might expect V/MC to Appeal if the judgement goes against them I think.
R.
This might add to the conversation
Bit dated but maybe a nice read while killing the time till Wednesday the 25th 10(?) am
Why SmartMetric, Inc. (SMME) Has an Edge on its Patent Battle with Visa and MasterCard
Posted By QualityStocks
Posted On: April 4, 2013 2:26:46 PM PDT
SMME
$0.39 -$0.01 -2.50%
SmartMetric is a biometric security solutions company. Its principle product, Biometric Datacard, is a portable biometric identity and transaction card with the capability to securely store personal information for use by personal, government, and corporate customers.
This fall SmartMetric will head to court and toe up to Visa and MasterCard as the company sues the credit card giants for patent infringement of the company’s contactless biometric technology.
The suit was filed in August 2011, in which SmartMetric alleges that Visa and MasterCard have infringed on the company’s “464” patent, which covers “contact” and “contactless” smart card technology specifically when used on ATM and banking cards. Both credit card companies have started issuing data cards and credit cards with contactless technology, which SmartMetric contends is in direct violation of its patent.
The first tussle of the current suit was immediate as Visa and MasterCard filed a motion that would prevent SmartMetric CEO and product inventor Chaya Hendrick from viewing certain material under discovery while allowing SmartMetric’s lawyers access. SmartMetric argued that the motion was unfair in that it excluded the person most familiar with the technical analysis of the product at stake.
The District Court of California sided with SmartMetric and on December 3, 2012, issued a ruling against the motion and set the hearing for September 2013.
SmartMetric is confident that a trial by jury, which the company itself requested, offers the opportunity for the company to present and win its case. In a recent press release, Hendricks asserted “when the 12 good Citizens of California are presented with the facts of our case up against the legal might of Visa and MasterCard that justice will prevail.”
Trial by jury was fruitful for small-cap IP company Vringo, Inc. (NYSE MKT: VRNG), which is currently in similar litigation with Google, AOL, Gannett, Target, and IAC Search & Media, as well as with ZTE and Microsoft. While the suit with Microsoft has been somewhat of a circus with various errors, disagreements, and a lot of waiting, a jury did recently find that the company’s patents are valid and were infringed upon. Now, VRNG is in settlement discussions with Microsoft regarding the computer company’s Bing search engine.
Investors should take careful note of the court’s decision to toss out Visa and MasterCard’s motion to exclude Hendrick from viewing certain material as it suggests the material in question may be pertinent to SmartMetric’s allegations. Not to mention the nature of the motion insinuates there is information the card companies believe is worth protecting.
By this point, SmartMetric has considerable amount of research on hand to present its case before a jury. It knows its position, knows its argument, and knows them well. The company will hash it out with Visa and MasterCard in September 2013.
For more information on SmartMetric, visit www.smartmetric.com
About QualityStocks
Talking about quality stocks
SmartMetric, Inc. (SMME) Video Chart for Wednesday, August 21, 2013
SMME closed ahead by 20 percent on Tuesday with a sharp spike in volume. With the move, the stock price is now over the 50-day and 200-day moving averages and giving hints that it may be ready to climb and challenge resistance around 47 cents.
To view the video chart, visit the following link: http://www.qualitystocks.net/videocharts
Dear Potts,
I know,you are a good man. Just teasing you :)
I am not big on technical trading but it is worth listening to the analyses of quality stocks
http://ih.advfn.com/videos/stock-chart/smme-video-chart-8-21-13_AiDiB_VlckU
34 cents support and resistance at 47 cents upto 51cents.
Curious how it plays out in the coming days.
Best of luck
R.
Potts of Gold,
Forgot to mention that Smartmetrics Press Release hit the Middle East and Africa!!
http://www.menafn.com/14ce5843-4f11-492d-af2c-e80c4f0c392e/SmartMetric-Replaces-Credit-Card-PIN-Numbers-With-a-PersonsFingerprint?src=main
Best of luck
R
PS Good to have you back !!
Potts,
Don t you start with DD. Feels very patronising. I'm not a 2 year old anymore:)
Daniel R gets alot of credit for this article but we should not forget to give Chaya lots of credit too. I love the way she came across in this interview and I have little doubt that good times are ahead of us.
Praise for the way the infringement case is handled. No downside and massive upside potential.
Noticed the storry is out on Twitter and the press release mentiontioned on Yahoo Finance UK.
R.
Duke,
I also noticed that the "Great" Daniel Ravicher make mention of buying more. In his previous article he mentioned buying at 15 and 17 cents so his good impression about this company has been confirmed.
We are in at the ground level. The fun is only beginning.
Have to give OTM a 5 star rating for his idea of topping up under 40 cents. Thanks OTM.
Good luck to all shareholders. More happy days ahead IMO.
R.
Chaya,ahead of the pack again
See latest Smartmetric press release.
Experts Say iPhone 5S Fingerprint Security Feature Can Be Hacked
by Winston Ross Sep 13, 2013 7:59 PM EDT
Got a piece of tape? Apple’s new authentication innovation could be cracked—and create a nightmare for users. Winston Ross explains.
Ask anyone who’s ever lived with a jealous boyfriend or girlfriend: If someone wants to get into your phone, they will find a way to get into your phone.
fingerprint theft
David McGlynn/Getty
That said, it’s worth considering in the wake of Apple’s announcement this week that the next generation of (high-end) iPhones will come with a fingerprint sensor: is that two tech steps forward, or two steps back, if you’re trying to keep your Snapchats from prying eyes?
Turns out, it’s kind of standing still. While fingerprint sensors might seem like a nifty way to shorten the steps to your next brilliant tweet and keep your buddy from punking your Facebook with a fake status update, they’re more likely to create a false sense of security, thanks to statements like this, from Apple Senior Vice President Dan Riccio, in the introductory video for the new iPhone 5s:
“Your fingerprint is one of the best passwords in the world. It’s always with you, and no two are exactly alike.”
Riccio is half-right. Your fingerprint is always with you, and no two are exactly alike. But that doesn’t make it one of the best passwords in the world. That actually makes it a potentially lousy password, says Gene Meltser, technical director for Chicago-based security firm Neohapsis Labs, because there’s nothing you can do to change it, to keep the cyberthugs guessing.
Any goober can stick a piece of tape on a greasy thumb depression left on a soda can, peel it off, scan it into a computer, and figure out a way to trick a fingerprint sensor.
“All we have are 10 fingers,” Meltser told The Daily Beast. “That means we can only authenticate successfully 10 times. Once that data is compromised, we are for the rest of our lives unable to authenticate.”
We leave fingerprints everywhere, every day, all day long. Any goober can stick a piece of tape on a greasy thumb depression left on a soda can, peel it off, scan it into a computer, and figure out a way to trick a fingerprint sensor into letting him inside.
Passwords, on the other hand, are stored (or should be stored) only inside the brain. You don’t walk around all day slapping your PIN code on toilet seats and door handles. And even if you did do that, or you figured out someone had peeped over your shoulder and swiped your password, you could change it, and you’re back in Secureville. If someone grabs your fingerprint, and that’s what you use to get into your phone, they’ll always have it. And unless you find some sweet 007 technique for burning your fingertips off and creating a whole new set, you will not be able to do anything to set a “new” password.
“If somebody fakes your fingerprint” and then uses that to make a bunch of fraudulent purchases, “you’d have a very hard time proving that person was not you,” Jennifer Lynch, staff attorney at the Electronic Freedom Foundation. “It’s your fingerprint.”
But wait! Apple says its fingerprint sensors will be activated only by the tips of the fingers/thumb, which is not quite the same pattern as those left on street lamps and steering wheels. Anyone who uses Apple’s Touch ID sensor (that’s the official name) will have to create a backup passcode on the phone that will be necessary any time the device has been rebooted or hasn’t been unlocked for two days. So maybe that resolves the security problem.
Maybe. But the only truly secure authentication, Meltser says, is a three-legged stool: something you are, something you carry, and something you know. So a fingerprint is something you are, and a password is something you know. But because both of those can be stolen, only the addition of that third thing—something you carry—can truly keep your Instagram safe.
Something you carry could be something like a “cryptographic RSA token,” a physical dongle that you carry around to authenticate things with, and of course there are very few people aside from corporate spies and very determined cheating spouses who would go to all those steps. But the takeaway is the takeaway: fingerprint sensors don’t make anything more secure. Unless you’re one of those people: “A lot of iPhone users aren’t using a passcode to lock their phone at all,” said the EFF’s Lynch.
But what about that new M7 chip, also available on the iPhone 5s? The one that aggregates data from the phone’s accelerometer and GPS to use with health and fitness apps, to allow people to record their every jaunt from couch to bathroom? Doesn’t that make us easier to track?
No, sorry. The phone was already recording all that information, Lynch says. So if it’s going to wind up in an NSA metadata sweep, it’s going to wind up in an NSA metadata sweep. Now it’ll just be easier for you to play with it.
Speaking of the NSA, what about all those fingerprints being uploaded to some kind of fingerprint database and then getting hacked and forever compromised and used to break into our bank accounts and post bad status updates on our behalves?
All fair things to be worried about, but not with this pioneering generation of mobile fingerprint scanners. The print will be stored only in the phone itself, not uploaded to cloud-computing systems, says Apple, and even that storage will be an encrypted file.
Let’s all just remember then what the fingerprint sensor is and what it isn’t. It isn’t more secure, unless you’re pairing it with a password. It is more convenient, which to those of us not buying drugs on Silk Road or philandering with our teaching assistants is probably all we care about anyway.
A reminder what's really at stake
Oooops I forgot Daniel s conclusion + suggested entry level ( he should be another happy investor by now:) , it's down below the article
Payment Technology And A Potentially Lucrative Hedge
Jan 16 2013, 10:58 | about: SMME.OB, includes: MA, V, XLK
Disclosure: I have no positions in any stocks mentioned, but may initiate a long position in SMME.OB over the next 72 hours. (More...)
Payment technology is a viable business, even during a worldwide slowdown. Enterprises that make their money through it are not exposed to the same default risks as lending institutions, and results have been terrific. A microcap company known as SmartMetric (SMME.OB) has intellectual property ("IP") for charge cards, a type of product identified with industry titans Visa (V) and MasterCard (MA). It is seeking a share of their revenues at court. Though the concerns for anyone who would consider putting money behind SMME.OB are exceptionally high, there could be an astonishing reward. Perhaps more prudently, the company may also be used as a hedge for those enjoying returns on their tech investments.
An invention is being asserted: U. S. Patent 6,792,464 ("'464"), issued to Chaya Hendrick, CEO of SmartMetric. Sixteen other patents currently cite it, including Hendrick's '860. Application in the USA is listed as occurring in February of 2000, with a filing date in 2001 and issuance in 2004. It is only valid here. According to the USPTO, it would expire 20 years after the earliest filing, apparently in February of 2020.
Generally speaking, the '464 is for chip and pin cards that connect to a computer system and network. Its listed background art is captivating. The patent defines "Contact" cards that are inserted into a reader and have a microchip that makes contact with it to exchange data, and "Contactless" cards that do not have an exposed chip and communicate with a reader using an internal antenna.
Contemporary Commercial Development
Today, nearly 13 years after issuance of the '464, the wider industry is implementing EMV, an acronym for "Europay, MasterCard and Visa, the companies that in 1994 initiated the development of [its] specifications." The technology increases security and "Global interoperability." There is contention that merchants are likely to prefer legacy swipe readers. However, for several reasons, measures are being employed to speed upgrading. Hendrick elucidates: "Banks put transaction limits on the use of wireless cards...it's easy to pick up card data that is sent wirelessly."
Visa is a top company, and has rewarded stockholders with a 60% rise over the past 52 weeks. It is now using incentives, and also liability policies, to encourage chip issuance and adoption in the USA. Effective October, 2015, a party not using EMV would be liable for fraud. Visa is also waving compliance validation requirements. SmartMetric provides another perspective,
Visa [has] mandated that all ATM and retail reading machines have to be able to accept contact cards...most, if not all, of the retail reading machines sold over the last five years are chip ready...all they need is a software update that can be done remotely.
Visa specifically instructs its clients not to use "Contactless-only" chip cards. Further, as of July 11, 2012, magnetic stripe technology must be supported on a dual-interface card, which works with contact chips, magnetic stripes, and contactlessly (Visa PayWave). Dual-interface is heavily used in the marketplace.
MasterCard, Visa's rival, has performed nearly as well: its stock shows a 54% gain over the past year. Its shift is described here. Like PayWave, MasterCard's contactless PayPass probably should continue to be non-infringing with regard to the '464. According to SMME, "If it doesn't have a chip that is read on insertion into a reader then it doesn't fall within the patent..."
MasterCard is also offering a new M/Chip so that its customers can meet "The EMV standard." Its marketing materials say "The consumer inserts his or her card into the terminal or ATM, or taps their phone or clicks and pays online. That's it. Safer, simpler and smarter." The company also describes how payments work,
1) Card authentication takes place either online by using dynamic encryption or offline by protecting against counterfeit cards...
3) Transaction authorization is completed either online with encryption technology or offline by using issuer-determined risk parameters.
The North American Card market continues to develop, though some project a slowing overall rate. According to the International Card Manufacturer's Association's Card Manufacturing Magazine,
Chip cards will continue to displace lower priced traditional magnetic cards, thereby fortifying the dollar mix...North America will experience some modest declines, however financial cards will remain strong in anticipation of EMV and debit and prepaid growth.
Industry professionals interviewed by the Magazine provide additional pertinent information about business. To quote Barry Mosteller, Director of R&D, CPI Card Group,
A Visa representative has said that 20 to 60% of cards will need to be EMV by 2015...While many EMV issuers continue to...issue dual interface for...high value members do not be surprised if contact only volumes dwarf dual interface until the contactless infrastructure grows in the US.
Keith Yeates, President, Bristol IT Technologies, believes that
The advancement of EMV in North America will limit the number of card manufacturers participating in the secure financial card market and those select few will enjoy the growth it will bring. The larger card manufacturers will get larger at the expense of some smaller players in the area.
The Patent Infringement Lawsuit
A case has been ongoing for years. I have only become aware of this matter recently, several months after an April 11, 2012 Court of Appeals for the Federal Circuit decision. According to SmartMetric, the appellant court has sent its findings back to the lower district for continuation of a hearing. Thus, for the ongoing suit, the '464 patent is only valid for swiping a card into a data card reader; and for use on public and private networks, such as the internet and intranet. Seeking Alpha's Dan Ravicher offers insight in his April, 2012 article, saying there is a case on credit card readers; however, he may not have purveyed a fully-inclusive description. Also, there have reportedly been two Markman rulings favorable to the plaintiff, one after July, 2012.
SmartMetric is likely fortunate to be represented by the preeminent Patrick Bright, of Wagner, Anderson & Bright. He has had a lengthy career in IP law. He is also known for working on contingency. Pertaining to fees, Hendrick says, "We do not need to raise funds for the legal costs...[they] are being covered from outside the company so we can take this to the Supreme Court."
There is a new judge on the case (No. CV 11-7126 MWF (FMOx)), Hon. Fernando M. Olguin, recently promoted from magistrate. After rescheduling on December 2, 2012, trial is now set for September 3, 2013 against MasterCard and Visa. (Discovery cutoff is March 13, the Pretrial Conference and Motions in Limine deadline is August 12, and the last day for Settlement Conference is June 14, 2013.)
The venue is the United States District Court, Central District of California. A 2011 PwC Patent Litigaton Study finds that it is a favorable place for patent claims, ranked fifth for overall success at 35.3%, just ahead of the Eastern District of Virginia. There is a 71.4% positive outcome rate at trial. The defendants must be trying to conclude the matter before it falls into a jury's hands.
For some background on SmartMetric, its business is security from, and protection against, identity theft. The company's technologies include a fingerprint scanner device that accesses health records. It expects one million to five million unit sales of a medical key ring. It also offers various other products and "[Has] even been approached by a government that is looking at using their cards as national ID."
A 2006 decision makes it more challenging for an entity that does not practice use of its technology to prevent the sale of another company's item that is found in violation of a patent. Relevantly, SmartMetric informs that "Visa argued to the court in their last filling that yes they viewed [us] as a competitor." Yet, an injunction is probably of little concern, and might be stayed pending years of appeals. Also, the defendant(s) can contersue. More broadly, regarding settlement leverage, Hendrick explains:
Yes big leverage...What would it be worth to say American Express or Diners to advertise that it is the only card that can be used around the world...that is if we give them an exclusive license and lock out Visa and MasterCard...Also, if a transaction is taking place in London but it connects to say the Visa network in anyway in the USA, it infringes in our opinion.
Perhaps the London part is what Ravicher was getting at?
A June 6, 2012 news release says there are already 1.5 mln relevant cards. The company states that all of the chip and pin EMV products Visa and MasterCard are issuing to replace existing cards unlawfully use its technology. Another question for SmartMetric is whether or not a dual-interface offering may also infringe. The answer is "Yes a dual-interface card does infringe...Contactless cards default to contact if in the first attempt to read the contactless...[it] fails."
Risks
It is easy to be incredulous toward a claim that the industry behemoths lack proper licensing, particularly when EMV is named for them. A concern for me involves any patent that Visa or MasterCard somehow has not disclosed. The defendants have supplied 25,000 pages of documents, 1,000 pages of them being germane (and some of the most damning evidence is said to be in the respondents' own records). Still, they are trying to withhold other requested materials; and certainly possess valuable trade secrets. If new patents are introduced that can be used to initiate reexamination of the '464 at the United States Patent and Trademark Office (USPTO), then a standard tactic for the defense is to stay the trial. Further, it would probably be easier to show invalidity at the USPTO because a lower standard of proof is required.
Also, only one patent is being asserted and there are many potentially successful defenses against it. A demonstrated ability to work around any finding(s) could free MasterCard and Visa from their responsibility to pay a royalty. Let me add that there is a catch to a workaround as revised methods can easily violate other intellectual property rights--belonging to a new and different party.
There are many risks to investing in micro cap companies and SmartMetric is one. Shares can be less liquid, having wide spreads and low volumes. Also, their pricing can be volatile, changing substantially without any news or event that otherwise materially affects the stock. When such a corporation's equity trades over-the-counter, added concern is indicated because financial standards are typically lacking and the business tends to be unproven.
The company's most recent 10Q describes dilution risk (If they can raise money at all). Also, 200,000 shares of Class B Preferred Stock have been given to Applied Cryptography, Inc. ("ACI") in exchange for patents. The paperwork says ACI can purchase the property back and has not chosen to do so as of September 30, 2012. On a January 4, 2013 phone call, investor relations advisor Nuwa Group has said SmartMetric owns the patent in total for its lifetime. Further clarification, preferably written, would be helpful.
Speculative Upside
Popular investor tactics for IP assertion stocks involve using options for events such as a hearing. Consider VirnetX (VHC), which has gained over 11,000% since 2005. Television personality, and former manager of a successful hedge fund, Jim Cramer, currently recommends deep in the money calls for its trial with Apple (AAPL), and alternatively suggested a calendar spread trade in the past. While there are no options available for SMME.OB, shareholders could be rewarded with terrific gains this year.
For those interested in hedging against patent risk, Mark Cuban's results after obtaining over 1,000,000 shares of Vringo (VRNG), the winner of a recent patent infringement trial with Google (GOOG), have been amazing. VRNG is up 235% in the past 52 weeks, which is off of the following chart, while GOOG is showing a 15.15% gain. The wider Technology Select Sector Index (XLK) is up 12.16%. V and MA are respectively the XLK's 11th and 13th largest holdings; AAPL is first and GOOG is fourth (AAPL has underperformed VHC).
GOOG Chart
GOOG data by YCharts
Anyone who took a stake in VRNG because they like the story, after its March 14, 2012 merger and prior to Cuban, may be enjoying a 103% return. Contrastingly, just ahead of the October trial, the Citadel Investment Group hedge fund appears to have essentially used an options straddle and bought stock.
Quantifying a monetary value for any award resulting from the ongoing case is beyond the scope of this article. Though SmartMetric has not publicly stated any amount, Hendrick says $100 mlns+ is "Where our head is." The '464 should be valid for over seven years in the future, and a royalty for its duration, in exchange for licensure, might provide annual revenues many times the company's current market cap. Actual earnings acceleration, or the ability to assert other claims that could be at least as lucrative, involves separate questions.
SMME.OB stock has been trading at around $0.20. I am considering using a $0.17 or $0.18 limit order in an attempt to purchase hundreds of shares, and to buy again below $0.15. While there are plenty of things that could go wrong before trial, the situation seems to be such that a favorably ruled motion or buy-in by an important party could easily send the stock's price higher. If nothing else, a $0.02 gain would amount to at least 11.11% appreciation using a sell order at $0.20.
Conclusion
Technology, specifically when used for payment, is a healthy line of business that can be profitable for stakeholders. Companies in the sector, and virtually all other corporations, remain exposed to IP lawsuits that investors can actually hedge against by owning businesses focused upon licensing activities. In fact, some of the big winners in the stock market are IP companies.
For those who reasonably prefer to entrust their money to Visa or MasterCard, ease of use and security of payment cards are highly important. Thus, the functions that are believed to be most effective for safely and globally carrying out transactions deserve attention. Though growth may slow in the United States and North America, steps are being made toward assuring lawful and seamless worldwide use for consumers.
Sources:
"Stock Talk Live," SmartMetric online presentation and interactive question and answer session. 1pm, Tuesday, January 8, 2013. Some grammar in SmartMetric quotations has been changed.
Card Manufacturing Magazine, "A Year In Cards." December 2012. Volume 22, No. 8. CMA Publications Group: Princeton Junction, New Jersey.
Additional disclosure: I have initially been contacted by a representative of SMME.
Daniel Ravicher
PUBPAT Board of Directors
Daniel B. Ravicher, President and Executive Director
Daniel B. Ravicher is PUBPAT's Executive Director and a Lecturer in Law at Benjamin N. Cardozo School of Law. Labeled a modern day 'Robin Hood' by Science magazine, and awarded an Echoing Green Fellowship for social entrepreneurship, Professor Ravicher is a registered patent attorney who writes and speaks frequently on patent law and policy, including twice testifying as an invited witness before Congress on the topic of patent reform. As a result of his accomplishments and professional reputation, Professor Ravicher was named to both Managing Intellectual Property magazine's '50 Most Influential People in IP' list and IP Law & Business magazine's 'Top 50 Under 45' list. Professor Ravicher received his law degree from the University of Virginia School of Law, where he was the Franklin O'Blechman Scholar of his class, a Mortimer Caplin Public Service Award recipient and an Editor of the Virginia Journal of Law and Technology, and his bachelors degree in materials science magna cum laude with University Honors from the University of South Florida. Professor Ravicher writes about patent policy issues for The Huffington Post and patent related corporate valuation issues for Seeking Alpha. He is admitted to the United States Supreme Court, the Courts of Appeals for the Federal, 2nd and 11th Circuits, the District Courts for the Southern and Eastern Districts of New York, the State of New York, and the United States Patent and Trademark Office.
A reminder of what's really at stake
Payment Technology And A Potentially Lucrative Hedge
January 16, 2013 | about: SMME.OB, includes: MA, V, XLK
By Daniel Ravicher
Disclosure: I have no positions in any stocks mentioned, but may initiate a long position in SMME.OB over the next 72 hours. (More...)
Payment technology is a viable business, even during a worldwide slowdown. Enterprises that make their money through it are not exposed to the same default risks as lending institutions, and results have been terrific. A microcap company known as SmartMetric (SMME.OB) has intellectual property ("IP") for charge cards, a type of product identified with industry titans Visa (V) and MasterCard (MA). It is seeking a share of their revenues at court. Though the concerns for anyone who would consider putting their money behind SMME.OB are exceptionally high, there could be an astonishing reward. Perhaps more prudently, the company may also be used as a hedge for those enjoying returns on their tech investments.
An invention is being asserted: U. S. Patent 6,792,464 ("'464"), issued to Chaya Hendrick, CEO of SmartMetric. Sixteen other patents currently cite it, including Hendrick's '860. Application in the USA is listed as occurring in February of 2000, with a filing date in 2001 and issuance in 2004. It is only valid here. According to the USPTO, it would expire 20 years after the earliest filing, apparently in February of 2020.
Generally speaking, the '464 is for chip and pin cards that connect to a computer system and network. Its listed background art is captivating. The patent defines "Contact" cards that are inserted into a reader and have a microchip that makes contact with it to exchange data, and "Contactless" cards that do not have an exposed chip and communicate with a reader using an internal antenna.
Contemporary Commercial Development
Today, nearly 13 years after issuance of the '464, the wider industry is implementing EMV, an acronym for "Europay, MasterCard and Visa, the companies that in 1994 initiated the development of [its] specifications." The technology increases security and "Global interoperability." There is contention that merchants are likely to prefer legacy swipe readers. However, for several reasons, measures are being employed to speed upgrading. Hendrick elucidates: "Banks put transaction limits on the use of wireless cards...it's easy to pick up card data that is sent wirelessly."
Visa is a top company, and has rewarded stockholders with a 60% rise over the past 52 weeks. It is now using incentives, and also liability policies, to encourage chip issuance and adoption in the USA. Effective October, 2015, a party not using EMV would be liable for fraud. Visa is also waving compliance validation requirements. SmartMetric provides another perspective,
Visa [has] mandated that all ATM and retail reading machines have to be able to accept contact cards...most, if not all, of the retail reading machines sold over the last five years are chip ready...all they need is a software update that can be done remotely.
Visa specifically instructs its clients not to use "Contactless-only" chip cards. Further, as of July 11, 2012, magnetic stripe technology must be supported on a dual-interface card, which works with contact chips, magnetic stripes, and contactlessly (Visa PayWave). Dual-interface is heavily used in the marketplace.
MasterCard, Visa's rival, has performed nearly as well: its stock shows a 54% gain over the past year. Its shift is described here. Like PayWave, MasterCard's contactless PayPass probably should continue to be non-infringing with regard to the '464. According to SMME, "If it doesn't have a chip that is read on insertion into a reader then it doesn't fall within the patent..."
MasterCard is also offering a new M/Chip so that its customers can meet "The EMV standard." Its marketing materials say "The consumer inserts his or her card into the terminal or ATM, or taps their phone or clicks and pays online. That's it. Safer, simpler and smarter." The company also describes how payments work,
1) Card authentication takes place either online by using dynamic encryption or offline by protecting against counterfeit cards...
3) Transaction authorization is completed either online with encryption technology or offline by using issuer-determined risk parameters.
The North American Card market continues to develop, though some project a slowing overall rate. According to the International Card Manufacturer's Association's Card Manufacturing Magazine,
Chip cards will continue to displace lower priced traditional magnetic cards, thereby fortifying the dollar mix...North America will experience some modest declines, however financial cards will remain strong in anticipation of EMV and debit and prepaid growth.
Industry professionals interviewed by the Magazine provide additional pertinent information about business. To quote Barry Mosteller, Director of R&D, CPI Card Group,
A Visa representative has said that 20 to 60% of cards will need to be EMV by 2015...While many EMV issuers continue to...issue dual interface for...high value members do not be surprised if contact only volumes dwarf dual interface until the contactless infrastructure grows in the US.
Keith Yeates, President, Bristol IT Technologies, believes that
The advancement of EMV in North America will limit the number of card manufacturers participating in the secure financial card market and those select few will enjoy the growth it will bring. The larger card manufacturers will get larger at the expense of some smaller players in the area.
The Patent Infringement Lawsuit
A case has been ongoing for years. I have only become aware of this matter recently, several months after an April 11, 2012 Court of Appeals for the Federal Circuit decision. According to SmartMetric, the appellant court has sent its findings back to the lower district for continuation of a hearing. Thus, for the ongoing suit, the '464 patent is only valid for swiping a card into a data card reader; and for use on public and private networks, such as the internet and intranet. Seeking Alpha's Dan Ravicher offers insight in his April, 2012 article, saying there is a case on credit card readers; however, he may not have purveyed a fully-inclusive description. Also, there have reportedly been two Markman rulings favorable to the plaintiff, one after July, 2012.
SmartMetric is likely fortunate to be represented by the preeminent Patrick Bright, of Wagner, Anderson & Bright. He has had a lengthy career in IP law. He is also known for working on contingency. Pertaining to fees, Hendrick says, "We do not need to raise funds for the legal costs...[they] are being covered from outside the company so we can take this to the Supreme Court."
There is a new judge on the case (No. CV 11-7126 MWF (FMOx)), Hon. Fernando M. Olguin, recently promoted from magistrate. After rescheduling on December 2, 2012, trial is now set for September 3, 2013 against MasterCard and Visa. (Discovery cutoff is March 13, the Pretrial Conference and Motions in Limine deadline is August 12, and the last day for Settlement Conference is June 14, 2013.)
The venue is the United States District Court, Central District of California. A 2011 PwC Patent Litigaton Study finds that it is a favorable place for patent claims, ranked fifth for overall success at 35.3%, just ahead of the Eastern District of Virginia. There is a 71.4% positive outcome rate at trial. The defendants must be trying to conclude the matter before it falls into a jury's hands.
For some background on SmartMetric, its business is security from, and protection against, identity theft. The company's technologies include a fingerprint scanner device that accesses health records. It expects one million to five million unit sales of a medical key ring. It also offers various other products and "[Has] even been approached by a government that is looking at using their cards as national ID."
A 2006 decision makes it more challenging for an entity that does not practice use of its technology to prevent the sale of another company's item that is found in violation of a patent. Relevantly, SmartMetric informs that "Visa argued to the court in their last filling that yes they viewed [us] as a competitor." Yet, an injunction is probably of little concern, and might be stayed pending years of appeals. Also, the defendant(s) can contersue. More broadly, regarding settlement leverage, Hendrick explains:
Yes big leverage...What would it be worth to say American Express or Diners to advertise that it is the only card that can be used around the world...that is if we give them an exclusive license and lock out Visa and MasterCard...Also, if a transaction is taking place in London but it connects to say the Visa network in anyway in the USA, it infringes in our opinion.
Perhaps the London part is what Ravicher was getting at?
A June 6, 2012 news release says there are already 1.5 mln relevant cards. The company states that all of the chip and pin EMV products Visa and MasterCard are issuing to replace existing cards unlawfully use its technology. Another question for SmartMetric is whether or not a dual-interface offering may also infringe. The answer is "Yes a dual-interface card does infringe...Contactless cards default to contact if in the first attempt to read the contactless...[it] fails."
Risks
It is easy to be incredulous toward a claim that the industry behemoths lack proper licensing, particularly when EMV is named for them. A concern for me involves any patent that Visa or MasterCard somehow has not disclosed. The defendants have supplied 25,000 pages of documents, 1,000 pages of them being germane (and some of the most damning evidence is said to be in the respondents' own records). Still, they are trying to withhold other requested materials; and certainly possess valuable trade secrets. If new patents are introduced that can be used to initiate reexamination of the '464 at the United States Patent and Trademark Office (USPTO), then a standard tactic for the defense is to stay the trial. Further, it would probably be easier to show invalidity at the USPTO because a lower standard of proof is required.
Also, only one patent is being asserted and there are many potentially successful defenses against it. A demonstrated ability to work around any finding(s) could free the MasterCard and Visa from their responsibility to pay a royalty. Let me add that there is a catch to a workaround as revised methods can easily violate other intellectual property rights--belonging to a new and different party.
There are many risks to investing in micro cap companies and SmartMetric is one. Shares can be less liquid, having wide spreads and low volumes. Also, their pricing can be volatile, changing substantially without any news or event that otherwise materially affects the stock. When such a corporation's equity trades over-the-counter, added concern is indicated because financial standards are typically lacking and the business tends to be unproven.
The company's most recent 10Q describes dilution risk (If they can raise money at all). Also, 200,000 shares of Class B Preferred Stock have been given to Applied Cryptography, Inc. ("ACI") in exchange for patents. The paperwork says ACI can purchase the property back and has not chosen to do so as of September 30, 2012. On a January 4, 2013 phone call, investor relations advisor Nuwa Group has said SmartMetric owns the patent in total for its lifetime. Further clarification, preferably written, would be helpful.
Thanks PoorPS
Another step in the right direction
Business-to-business public relations: Strategic planning, crisis communications, social media, civic engagements and media relations for technology and professional services.
Olmstead Williams Communications signs four new clients
Posted on September 11, 2013 by Trent Freeman
tracy-and-stephanie
Tracy Williams, CEO and president of Olmstead Williams Communications, and Stephanie Harnett, senior associate
Olmstead Williams Communications, a public relations and social media agency, has signed four new clients: The Great Courses, DreamHammer, SmartMetric and UCLA’s Sustainable Technology & Policy Program.
“There was no business slowdown this summer,” said Tracy Williams, CEO and president of Olmstead Williams Communications. “From command and control software for drones to secured healthcare data and lifelong learning, OWC is growing with exceptional technology businesses and elite brands.”
More about each new client:
Bill Gates is one of 10 million people who have downloaded, streamed, or purchased CD and DVD copies of college courses taught by the best professors in the country through The Great Courses. This isn’t about class credit. It’s about extremely bright people continuing to dress up their minds long after they are finished with school.
DreamHammer provides world-class open architecture control software for all unmanned military and industrial systems. Drones can be nearly any vehicle in the air, water or on land — from a John Deere tractor to a construction crane — and with DreamHammer’s software, one person can control an entire fleet from a single device.
SmartMetric‘s mobile medical records solution MedicalKeyring features unmatched security with the smallest biometric fingerprint reader ever developed. It’s self-powered, and it’s also compatible with all leading healthcare records systems and file formats.
UCLA’s Sustainable Technology & Policy Program (STPP) promotes public health and environmental protection by developing innovative chemical policies to spread safer manufacturing processes throughout the country. That includes green solutions like wet cleaning — the safer alternative to dry cleaning.
This entry was posted in OWC News and tagged DreamHammer, olmstead williams communications, owc, SmartMetric, STPP, The Great Courses, UCLA. Bookmark the permalink.
SMME- Smartmetric Inc
The New Apple Iphone 5S puts emphasis on Biometric fingerprint ID. The article below from CNET highlights where the industry is going.
SMME is smack in the middle of this space
SMME- Business Summary
SmartMetric, Inc. engages in the research and development of biometric security solutions. Its principal product includes Biometric Datacard, a fingerprint sensor activated card with a finger sensor onboard the card and a built-in fingerprint reader with a rechargeable battery for portable biometric identification. The company’s Biometric Datacard has various security applications, such as employee identity, building access and security control, computer network access, driver’s licenses, passports, welfare payments, health insurance, portable electronic medical records, and check cashing identity verification, etc.
SMME - Smartmetric MedicalKeyring
Portable, private medical records, protected by your fingerprint.
Google security exec: 'Passwords are dead'
Speaking at TechCrunch Disrupt, Google's Heather Adkins says startups should look beyond passwords to secure users and their data.
- See more at: http://stockpromoters.com/gmessage.aspx?message_id=51502#sthash.r8YMHj9H.dpuf
New, interesting products
Geektastic: New biometric gadgets read heartbeats, deploy minicams
Jay MacDonald | September 5, 2013 | New, interesting products
This week's gadget beat features two new geek-tastic contenders in the ongoing quest for a foolproof card ID verification system that doesn't involve collecting bodily fluids.
In the new biometric wrinkle, a Canadian startup called Bionym unveiled its Nymi wristband that -- be still, my beating heart -- identifies you by your heartbeat.
nymi-bracelet.jpg
Yes, it turns out your ticker produces a unique cardiac signature, even when you exercise or, in this case, take her to Jared. Who knew? When you press a button on the band, Nymi's built-in electrocardiograph captures and stores your heart signature while an itsy bitsy Bluetooth radio transmits the data to nearby wireless receivers, including mobile and wireless point-of-sale terminals.
It gets weirder. Nymi also comes equipped with a motion sensor that allows the wearer to indicate intent, so you can do things like unlock your electronic car door lock with a casual wrist-bump.
Nymi is expected to retail for less than $100 when it's released next year. No word yet on whether it will come in a Hello Kitty edition.
Meanwhile, an Israeli company called SmartMetric is taking the Swiss Army Knife approach by combining two biometric favorites -- a miniature fingerprint scanner and a super-small camera for facial recognition -- onto a single card or key ring. Interestingly, the company touts its yet-to-be-named gizmo as the more secure ID verification alternative to smartphones, which can be hacked, it points out, because they're constantly connected to a network.
SmartMetric previously incorporated its fingerprint scanner into a Tootsie Roll-size MedicalKeyring that holds 8 gigs of X-rays, mammograms, CT scans and electronic health records in a biometrically secure device, as it requires your fingerprint to open it.
The payment industry's pursuit of noninvasive identity verification has taken some quirky turns over the years. If you're old enough to remember metallic charge plates, you may recall that a note from your mother was good enough for merchants back then. A second form of ID then became the sine qua non until it dawned on us that a pickpocket could easily score both your credit card and ID in those nonphoto driver's license days.
Biometric contenders exploded in the 1990s with the rise of high-speed personal computing. Fingerprinting, voice recognition, palm geometry and iris scans all became flavors of the month. Some made inroads into secure access control systems; others churned up nightmarish visions of identity thieves obtaining appendages or eyeballs to access ATMs.
But so far, biometrics have yet to find their place in a legacy point-of-sale system that still mostly speaks mag stripe and PIN and little else.
Will the Nymi wristband or the SmartMetric whatzit be the long-sought killer bio-app?
I don't know, but I'm open to a Hello Kitty test model.
Challenges
Concerns around data quality, security and accuracy need to be met before mobile data caches take off, says expert
Consumers need to have confidence in the quality, security and accuracy of their data stored in mobile data caches before the gadgets become widely used and relied upon to help in the provision of health care, an expert has said.30 Aug 2013
Topics
Technology law specialist Matthew Godfrey-Faussett of Pinsent Masons, the law firm behind Out-Law.com, said that businesses that develop products capable of storing up-to-date, official medical records in a secure way could exploit a gap in the market.
He said that although there is "growth in the availability and interest" in mobile data caches used for storing health records, he predicted that there would need to be "an element of 'buyer beware'" surrounding some of the current products available for consumers to buy on the market.
"The concept of mobile digital medical records already exists and, to some extent at least, gives health care professionals electronic access to information about patients to treat them," Godfrey-Faussett said. "An example of this is the 'CHI' number that is used to identify patients in Scotland. Currently, though, many of the computer systems through which medical data is recorded and stored are not linked or contain incomplete information. The Government has outlined its vision for a paperless NHS and a new system for enabling health care professionals to access the single medical records of patients."
"There is a gap in the market for device manufacturers to develop products that can access these systems to ensure medical data stored on mobile data caches are updated automatically," he said. "Any product that relies on data being updated and filed by patients is unlikely to be reliable enough for health care professionals to act upon with confidence in an emergency."
"There needs to be trust in the quality of the information, the security of any system that relies on biometrics to access the data and where the information is entirely up-to-date and accurate. There are obvious health dangers involved where patients are treated on the basis of historical, inaccurate or incomplete data," the expert said.
Godfrey-Faussett was commenting after a new 'Medical Keyring' was launched by US-based company SmartMetric. The device allows individuals to carry with them "their complete medical files". The files are only accessible by scanning the device owners' fingerprints using a miniature scanner built into the device.
According to a report by CNET, the contents of the Medical Keyring can be managed using a specific app.
RED HOT:SMME SURGED 24.59% in the last 5 days
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Submitted By Editor Penny picks on August 29, 2013 - 01:35 PM
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Smartmetric Inc (OTCMKTS:SMME) remained with volume of 10,240 shares on Wednesday, while its average volume remained 76,013 shares. Smartmetric Inc (OTCMKTS:SMME)started the trading session at $0.39, to close at $0.380, by scoring a positive performance of +2.70%. Here is a view of the previous 5 days trend of SMME, the stock surged about +24.59%.
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Smartmetric Inc (OTCMKTS:SMME), a development stage company, engages in the research and development of biometric security solutions.
Smart,Very smart. I love it
CNET
News
Crave
MedicalKeyring: Your medical data on a fingerprint thumbdrive
MedicalKeyring: Your medical data on a fingerprint thumbdrive
This keyring, billed as having the world's smallest biometric fingerprint reader, shows your emergency medical info at the touch of a button.
Tim Hornyak
by Tim Hornyak
August 27, 2013 9:25 AM PDT
The $89.95 MedicalKeyring can hold up to 8GB of data.
(Credit: SmartMetric)
Say what you will about the benefits or pitfalls of the digitization of medical records, but it seems inevitable.
SmartMetric has a new device that makes your records available anywhere, anytime. As long as you're carrying it, that is.
It's called the MedicalKeyring and it's an 8GB thumbdrive that carries all your vital info, protected by fingerprint-only access.
The device is billed as having the world's smallest biometric fingerprint reader. It's also self-powered so it doesn't have to be hooked up to a computer to unlock.
Related stories
A small, built-in screen can display a patient's most important medical data at the touch of a button; if you're being treated in an emergency, for instance, doctors would be able to see important info right away.
Data and scan imagery can also be displayed on an external computer screen when linked to the drive.
The device has an ARM 270MHz CPU, which processes the fingerprint scan in less than a second, and a rechargeable lithium ion battery. A related app can be used to manage contents such as X-rays, mammograms, and medical charts.
The MedicalKeyring is available for $89.95 plus shipping. Check out more details here.
Thanks OBP,
Another good read. The website is still a work in progress but I m now starting to warm up to it.
It is a unique device with many applications .
Thanks BB for keeping us up to date . I just love it . Nothing to lose and heaps to win .
What an incredible bonus for everyone who has invested in this stock.
Looking forward to days and weeks ahead.
R.
Thanks BB,
We owe you many drinks for keeping us up to date.
R.
LMU,
Noticed it too. A friendly smiling nurse is added and a few other things are changed. It is still a work in progress :)
I still don t like the site but maybe that is just me.
Still looking forward to the weeks/months ahead.
These days are just the calm before the storm :)
R
Smartmetric shortselling report
SMME (SMARTMETRIC INC) Short Selling Data Report
0.29
3:52pm 9-Aug-13 -0.04 / -12.12%
Today 168,630
Volume
Aug 05th - Aug 09th, 2013Short VolumeTotal VolumeAug 05Aug 06Aug 07Aug 08Aug 0950k100k150k200k
Historical Short Selling Data For SMME
Date VolShorted High Low Close Chg ShortVol RegularVol
Aug 09 19.79% 0.32 0.26 0.29 -12.12% 33,375 168,630
Aug 08 7.03% 0.35 0.31 0.33 +3.13% 7,650 108,750
Aug 07 38.24% 0.33 0.32 0.32 0.00% 18,888 49,388
Aug 06 1.98% 0.34 0.31 0.32 -5.88% 107 5,407
Aug 05 0% 0.34 0.30 0.34 +6.25% 0 1,600
Aug 02 0% 0.34 0.32 0.32 0.00% 0 15,100
Aug 01 79.42% 0.34 0.31 0.32 -3.03% 22,000 27,700
Jul 31 0% 0.33 0.33 0.33 0.00% 0 2,500
Jul 30 0% 0.33 0.33 0.33 -2.94% 0 2,400
Jul 29 56.62% 0.34 0.34 0.34 0.00% 26,500 46,800
Jul 26 39.79% 0.34 0.30 0.34 +13.33% 7,500 18,850
Jul 25 26.85% 0.32 0.30 0.30 -6.25% 2,000 7,450
Jul 24 100.00% 0.32 0.32 0.32 +3.23% 500 500
Jul 23 20.80% 0.32 0.30 0.31 0.00% 16,675 80,175
Jul 22 36.68% 0.33 0.31 0.31 -3.13% 7,675 20,925
Jul 19 43.33% 0.33 0.30 0.32 -3.03% 13,000 30,000
Jul 18 52.79% 0.34 0.31 0.33 +3.13% 30,700 58,150
Jul 17 1.14% 0.33 0.31 0.32 -3.03% 1,000 88,000
Jul 16 79.91% 0.36 0.33 0.33 -2.94% 40,600 50,810
Jul 15 16.79% 0.34 0.34 0.34 0.00% 5,974 35,576
Jul 12 0% 0.36 0.34 0.34 -8.11% 0 54,100
Jul 11 29.83% 0.39 0.36 0.37 -2.63% 16,310 54,677
Jul 10 21.62% 0.38 0.34 0.38 NA 21,500 99,450
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