1. 1 Smart Card – EMV – Security – Internet 10 June 2002 Presentation by Mr. Alan Siu Deputy Secretary for Information Technology and Broadcasting Government of the Hong Kong Special Administrative Region HONG KONG FRENCH SYMPOSIUM HONG KONG FRENCH SYMPOSIUM

2. 2 Hong Kong/France Collaboration  HK signed MoU on ICT collaboration with France  HK – an advanced digital city for French ICT companies to explore business opportunities  HK – a strategic partner for French ICT companies to explore Mainland market after China’s accession to WTO

3. 3 Clear Government strategy  Digital21 IT Strategy positioning HK as a leading digital city –Enhancing our e-business environment –Building E-government –Developing our IT workforce –Building a digitally inclusive society –Exploiting enabling technologies

4. 4 Legal and E-commerce infrastructure  Electronic Transactions Ordinance to provide legal framework for electronic transactions  Public key infrastructure established  Four recognised certification authorities

5. 5 Well established IT and Telecom infrastructure  Over 250 ISPs  Internet services among cheapest in the world at less than - US $0.2 per hour for dial-up - US $26 per month for unlimited broadband usage  Wide choice in speed and connectivity (1.5 Mbps to 10 Mbps)  External connectivity: 900 Gbps  85% of our population have mobile phones  One of the first in Asia to introduce GPRS service

6. 6 Community receptiveness to IT and new innovations  60% PC penetration rate  50% Internet penetration rate, of which 40% used broadband services  Second in the world in average browsing time for household Internet users (12 hours 12 minutes per month)  86% of people aged 15 or above have used e-business services  Number of online banking users increased to over 600, 000

7. 7 Strong service culture and dynamic business sector  Strong service culture  Dynamic business sector responsive to new service needs  E-business applications in various industry sectors, - Internet banking and wireless - Internet banking and wireless stock trading stock trading - e-catalogue and e-trading - e-catalogue and e-trading - online booking - online booking

8. 8 E-government developments  Clear E-government strategy  Flagship projects: - Electronic Service - Electronic Service Delivery Scheme Delivery Scheme - Electronic Tendering - Electronic Tendering System System  90% of public services have e-option by 2003

9. 9 Good foundation for E-commerce Application Development  Smart card  Electronic payment Internet payment through online banking services

10. 10 Octopus cards (1)  Started in 1997 for fare payment in public transport  Multi-application micro-payment system, utilising contactless smart cards  Over 8.5 million cards in circulation  Convenient application and reloading process

11. 11 Octopus cards (2)  Over 130 service providers  Widely used in - public transport - public transport - car parks - car parks - retail services - retail services (fast food, convenient (fast food, convenient stores, cake shops) stores, cake shops)

12. 12 Octopus cards (3) -Self-help services e.g. vending machines, photo booths, photocopiers - Leisure and sports facilities e.g. swimming pools

13. 13 Octopus cards (4) -Access control for housing estates and commercial complexes -Average daily transactions: - 7.5 million cases - 7.5 million cases - HK$48 million - HK$48 million (US$ 6 million) (US$ 6 million) - Potential use in schools

14. 14 Smart ID card project (1) e-Cert Driving Licence Library Card Change of Address Provide a one-stop user-friendly tool for community adoption of e-business

15. 15 Smart ID card project (2)  No need to carry a separate driving licence and library card  Option of a one year free use of digital certificate to be embedded onto smart ID cards  Great potential for development of automatic passenger clearance system at immigration control points

16. 16 Electronic payment  Widely used in private sector, e.g. utilities companies, telecommunication operators, banks, etc.  Octopus card  Commonly used in paying Government bills. Over 7 million or 40% of payments made to Government by electronic means in 2001-02.

17. 17 Future Focuses in Hong Kong  Exploiting smart card and electronic payment technologies  Regional centre of e- business application development  Promotion of cross- border e-business developments

18. 18 Future trends of smart card developments  Integration with tokens and security features  Multi-functions and one- stop services  More user-friendly support services  Regional and international co-operation

19. 19 Thank You