SOURCE: NXP Semiconductors

NXP Semiconductors

May 26, 2011 12:36 ET

NFC Enables Secure Mobile Transactions for Google Wallet

EINDHOVEN, NETHERLANDS and NEW YORK, NY--(Marketwire - May 26, 2011) - Today NXP Semiconductors N.V. (NASDAQ: NXPI) announced that its world leading near field communication (NFC) technology enables the newly announced Google Wallet. NXP joins partners Google, Citibank, MasterCard, First Data, and Sprint, along with other market leaders, in New York to unveil Google Wallet, an open platform enabling mobile transactions. With NXP's secure contactless NFC solution, consumers can simply wave their phones over intelligent surfaces to pay for goods, apply a discount coupon, or receive loyalty points. Google Wallet allows consumers to replace a multitude of physical cards typically carried in wallets with a NFC enabled phone delivering convenience, personal interactivity and security for many different types of transactions.

NXP provides the complete embedded, secure NFC solution for Google Wallet and was instrumental in building this new application with Google. The NXP PN65 NFC mobile transaction solution incorporates the NFC radio controller, the embedded secure element and NFC software in a single device. The embedded secure element enables the payment part of Google Wallet, and uses advanced cryptography to offer a high level of security for mobile transactions. NXP's security technology has seen extensive global deployment with over 1 billion units of secure elements shipped to support mobile payment and bank cards, access management schemes, mass transit infrastructures, device authentication and eGovernment solutions such as ePassports, driver licenses, national ID and health cards.

"This latest move by Google is truly unleashing the full potential of NFC," said Ruediger Stroh, executive vice president and general manager, Identification Business, NXP Semiconductors. "NXP's NFC technology essentially converts smart phones into loyalty cards, single-tap location 'check in' devices, concert tickets, coupon carriers, contactless payment devices, transit tickets, and secure keys to access cars, hotel rooms, buildings, and computers -- the possibilities are endless. Our technology greatly enhances the mobile user experience from the secure NFC solutions embedded in smartphones and POS terminals, to the NFC tags embedded in smart posters. Our leadership in NFC is supported by our deep understanding of the market, our broad portfolio of patents; and our security, performance and best-in-class transaction times."

NFC is a market proven technology co-invented by NXP in 2002. In 2004 NXP co-founded the NFC Forum to lead the collaboration with all industry stakeholders and help standardize the technology. NFC technology evolved from a combination of contactless identification (RFID) and interconnection technologies. Ranked as the number one contactless IC vendor by ABI Research for three years in a row, NXP is the global leader in NFC solutions, field proven in over 150 NFC trials and landmark commercial deployments worldwide.

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About NXP Semiconductors
NXP Semiconductors N.V. (NASDAQ: NXPI) provides High Performance Mixed Signal and Standard Product solutions that leverage its leading RF, Analog, Power Management, Interface, Security and Digital Processing expertise. These innovations are used in a wide range of automotive, identification, wireless infrastructure, lighting, industrial, mobile, consumer and computing applications. A global semiconductor company with operations in more than 25 countries, NXP posted revenue of $4.4 billion in 2010. Additional information can be found by visiting www.nxp.com.

Forward-looking Statements
This document includes forward-looking statements which include statements regarding NXP's business strategy, financial condition, results of operations, and market data, as well as any other statements which are not historical facts. By their nature, forward-looking statements are subject to numerous factors, risks and uncertainties that could cause actual outcomes and results to be materially different from those projected. These factors, risks and uncertainties include the following: market demand and semiconductor industry conditions; the ability to successfully introduce new technologies and products; the end-market demand for the goods into which NXP's products are incorporated; the ability to generate sufficient cash, raise sufficient capital or refinance corporate debt at or before maturity; the ability to meet the combination of corporate debt service, research and development and capital investment requirements; the ability to accurately estimate demand and match manufacturing production capacity accordingly or obtain supplies from third-party producers; the access to production capacity from third-party outsourcing partners; any events that might affect third-party business partners or NXP's relationship with them; the ability to secure adequate and timely supply of equipment and materials from suppliers; the ability to avoid operational problems and product defects and, if such issues were to arise, to correct them quickly; the ability to form strategic partnerships and joint ventures and to successfully cooperate with alliance partners; the ability to win competitive bid selection processes to develop products for use in customers' equipment and products; the ability to successfully establish a brand identity; the ability to successfully hire and retain key management and senior product architects; and, the ability to maintain good relationships with our suppliers. In addition, this document contains information concerning the semiconductor industry and NXP's business segments generally, which is forward-looking in nature and is based on a variety of assumptions regarding the ways in which the semiconductor industry, NXP's market segments and product areas may develop. NXP has based these assumptions on information currently available, if any one or more of these assumptions turn out to be incorrect, actual market results may differ from those predicted. While NXP does not know what impact any such differences may have on its business, if there are such differences, its future results of operations and its financial condition could be materially adversely affected. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak to results only as of the date the statements were made. Except for any ongoing obligation to disclose material information as required by the United States federal securities laws, NXP does not have any intention or obligation to publicly update or revise any forward-looking statements after we distribute this document, whether to reflect any future events or circumstances or otherwise. For a discussion of potential risks and uncertainties, please refer to the risk factors listed in our SEC filings. Copies of our SEC filings are available from on our Investor Relations website, www.nxp.com/investor or from the SEC website, www.sec.gov.