G&D’s Cards Chief Departs; Replaced by Former Wincor Nixdorf Exec

Germany-based Giesecke & Devrient today announced that the head of its banking and SIM card business, which includes its TSM, Michael Kuemmerle, has left the company and has been replaced by the former head of the global banking business for Germany-based Wincor Nixdorf.

G&D announced a restructuring centered on Kuemmerle’s unit, mobile security in April, which includes cuts to 400 jobs in Europe.

Kuemmerle, 44, had led the unit since 2006. G&D in its announcement today said he left the company by choice.

Appointed to take his place is Stefan Auerbach, 50, who worked at Wincor Nixdorf for 29 years. He was appointed to head Wincor Nixdorf’s global banking business in February of 2006. The company is a large supplier of ATMs and electronic point-of-sale systems.

In February of 2012, Wincor Nixdorf announced Auerbach was leaving the company following a difference of opinion with the supervisory board on the “strategic business development of the company.”

G&D today also announced it had appointed a new head for its largest business unit, banknote printing, which had been led on an interim basis by the company’s CEO, Walter Schlebusch. Schlebusch, who took over for former CEO Karsten Ottenberg in June, had previously headed the banknote printing unit. The unit is G&D’s strongest, and it had €902 million (US$1.3 billion) in sales in 2012.

G&D’s mobile security unit includes production of SIM and banking smart cards, as well as personalization, trusted service management for NFC secure elements and over-the-air management of SIM cards. The job cuts include 125 positions in G&D’s Munich headquarters.

But the vendor said none of the cuts affected its TSM, which it said in April was working on the implementation of more than 20 projects globally. The company has not announced any large TSM contracts of late. 

G&D in April said it hoped to save €60 million (US$78.1 million) per year with the job cuts and other reorganization. The mobile security division had 5,830 employees at the end of 2012.

Revenue increased in the unit by 5% in 2012 to €687 million. That is an improvement from 2011, in which revenue fell in the division by 12.7% to €657 million. The company blamed much of the decrease to a significant drop in sales of payment smart cards, compared with strong sales of payment chip cards a year earlier.

G&D said today that long-time G&D staffer Hans Wolfgang Kunz, continues as head of the company’s government solutions business unit, which produces e-government cards and documents and related software.

G&D, the No. 3 smart card vendor worldwide and also a major producer of banknotes, saw its net income decrease for at least the fourth straight year in 2012 to €39 million (US$51.5 million). It was €111 million in 2008.


Australian Transit Agency to Launch Mobility-as-a-Service Trial as It Pursues Long-Term MaaS Strategy

Plans by Transport for New South Wales, Australia’s largest transit agency, to launch a trial enabling users to plan, book and pay for multimodal rides is the next step toward the agency’s long-ter

Updated: U.S. Transit Agency Seeks to Reduce–Though Not Eliminate–Cash Acceptance with New Fare-Collection System

Updated: The Spokane Transit Authority in Washington state confirmed that its new fare-collection system will include contactless open-loop payments–with a beta test planned for next October, a spokesman told NFC Times' sister publication Mobility Payments.

UK Government Seeks to Bring London-Style Contactless Fare Payments System to Other Regions

The UK government’s plan to equip 700 rail stations over the next three years to accept contactless open-loop payments is a major initiative, as it seeks to replicate the success of London’s contactless pay-as-you go fare payments system elsewhere in the country–a goal that has proved elusive in the past.

More Cities in Finland Expected to Move to Open-Loop Fare Payments

A fourth city in Finland is beginning to roll out contactless open-loop payments, with “more in the pipeline,” according to one supplier on the project, making the Nordic country one of the latest hotspots for the technology.

Moscow Metro Expands Test of ‘Virtual Troika’ in Pays Wallets, as It Continues to Develop Digital-Payments Services

Moscow Metro is recruiting more users to test its “Virtual Troika” card in two NFC wallets, those supporting Google Pay and Samsung Pay, as one of the world’s largest subway operators continues to seek more ways for its customers to pay for rides.

Ohio Transit Agency Expects Significant Revenue Loss as it Builds Equity with Fare Capping

The Central Ohio Transit Authority, or COTA, officially launched its new digital-payments service Monday, including a fare-capping feature that the agency estimates will cost it $1.8 million per year in lost fare revenue, the agency confirmed to Mobility Payments.

Special Report: Interest Grows in ‘White-Label EMV’ for Closed-Loop Transit Cards

As more transit agencies introduce open-loop fare payments, interest is starting to grow in use of white-label EMV cards that agencies can issue in place of proprietary closed-loop cards for riders who don’t have bank cards or don’t want to use them to pay fares.

Swedish Transit Agency Launches Express Mode Feature for Apple Pay, though Most Ticketing Still with Barcode-Based App

Skånetrafiken, the transit agency serving one of Sweden’s largest counties, announced today it has expanded its contactless open-loop payments service to include the Express Mode feature for Apple Pay.

Major Bus Operators in Hong Kong Now Accepting Open-Loop Payments–Adding More Competition for Octopus

Two more bus operators in Hong Kong on Saturday launched acceptance of open-loop contactless fare payments, with both also accepting QR code-based mobile ticketing–as the near ubiquitous closed-loop Octopus card continues to see more competition.

Moscow Metro Launches Full Rollout of ‘Face Pay;’ Largest Biometric Payments Service of Its Kind

Touting it as the largest rollout of biometric payments in the world, Moscow Metro launched its high-profile “Face Pay” service Friday, as expected, and predicted that 10% to 15% would regularly us

Indonesian Capital Seeks to Expand to Multimodal Fare Collection and MaaS

Indonesia’s capital Jakarta, whose metropolitan area is home to more than 30 million people, is notorious for its stifling traffic congestion. In response, the government metro and light-rail networks and now it is funding an expansion of the fare-collection system to enable more multimodal payments and to build a mobility-as-a-service platform.

Exclusive: NFC Wallets Grow as Share of Contactless Fare Payments and Not Only Because of Covid

Transit agencies that have rolled out open-loop contactless payments are seeing growing use of NFC wallets to pay fares, as Covid-wary passengers see convenience in tapping their phones or wearables to pay.