SAP, Nokia and Giesecke & Devrient to Establish Brand-Protection Service

SAP AG, Nokia Corp. and Giesecke & Devrient GmbH (G&D) recently announced plans to form a new company, named Original1, to deliver product authentication and anti-counterfeiting services across the globe.

The services will be aimed at protecting companies and consumers in a wide range of industries from product piracy and counterfeiting, help them maintaining brand values, revenue potentials and profitability of branded goods, according to the three companies.

Original1 will be headquartered in Frankfurt, Germany, and headed by Claudia Alsdorf, currently vice president of SAP Research. The new company is expected to begin operations before the end of 2009, subject to the approval of the responsible anti-trust authorities.

"Counterfeiting is a worldwide problem that is increasing and affecting many successful companies in all industries," said Alsdorf. "Today, more than ever, companies need to combat counterfeiting before it's too late, when their company livelihood is at stake. Original1 will provide a one-stop shop for companies seeking secure services that protect them from counterfeiting, safeguard the value of their brands, and help them develop a more transparent way of working to become more sustainable."

Original1's services will rely on SAP technology and solutions, while Nokia will deliver mobile authentication software to allow businesses to follow a branded product's entire lifecycle, from a factory to the end customer, using mobile devices, the companies said. G&D's contribution to Original1 will consist of security solutions for the entire value chain, including user authentication, end-to-end encryption of the information flow and database encryption.

Original1's services will cover the complete sales and logistic supply chain by protecting products and related product packaging by tagging them with intelligent, tamper-proof serialized product codes, according to the three partners.

"We see a big business opportunity in brand-protection services," said Antti-Jussi Suominen, general manager, commerce, corporate development, Nokia. "Nokia started a mobile phone-based product authentication business program in 2006; this joint venture is a logical step in evolving that business. We will provide Original1 with the mobility expertise and related technology and believe that mobility will bring a totally new paradigm to brand protection."

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