Smart Cards
Disclaimer
This is a background document
related to the thematic call on Electronic
Commerce of the IT Programme (15/3/97). This
document is only informative, and is not
indicative of directions that should be taken by
proposers when answering the call.
Source of the document: Demos a London Based
Think-tank
Date of the document: March 1997
Copyright: none
A report was recently
published by Demos, an independent think-tank
based in London, on the development and use of
smart cards in the information society.
General comments
This is a useful all-round
introduction to the issue of smart cards
oriented around the policy rather than the
technological aspects of the subject. There is
a thorough analysis of the background and
relevant policy issues. The report includes a
"programme" of policy recommendations on the
subject which are largely based on a
"regulated market" approach. While the pros
and cons of such a type of solution can be
debated, the recommendations are nevertheless
a useful starting point for discussion.
Structure of the report
The report starts out by
summarising its main recommendations and
follows with a description of the potential
and actual functions and benefits of smart
cards. It analyses the current state of usage
of smart cards and likely developments in the
market. It discusses the key issues of
cryptography and privacy legislation with
reference to recent British and European
initiatives (including the October 1995
European privacy directive). It then describes
the report's policy recommendations in more
detail and finishes with a glossary of terms
used. A copy of the contents pages is attached
to this note.
Conclusions
The conclusions of the
report are, to some extent, innovative and
controversial. In many cases, they follow a
broadly similar path to that of recent
European legislation but go much further than
existing measures. They recommend:
-
the strengthening of
existing data protection laws based on the
principle of express consent by
the individual for any new use of
personal data.
-
the creation of an
independent market in data access services
(with separation from companies using
personal data enforced by laws similar in
design to those currently in force in, for
example, the banking sector (e.g. Chinese
walls)). Such data access companies would
allow individuals to trace the content and
usage of personal information held about
them.
-
the development, by
government legislation if necessary, of
multi-functional smart cards with
individuals being able to chose which
functions to add on to their smart cards
(e.g. health insurance, telephone card,
driving licence).
-
the promotion of
privacy technology (e.g. further
development in cryptography) by governments
and industry
-
rethinking current
cryptography legislation to allow
unhindered commercial use of strong
cryptography (but with safeguards based
on Trusted Third Party-type agencies holding
the keys to such cryptography systems)
Practical information
"On the Cards" by Perri 6
and Ivan Briscoe
ISBN 1 898309 72 8
Price: £9.95
published by Demos,
9 Bridewell Place
London EC4V 6AP
Tel: (44) 171 353 4479
Fax: (44) 171 353 4481
E-Mail:
joanna@demos.demon.co.uk
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