1. TELECOM SPECIAL M
HI-TECH NABS COUNTERFEITERS »»» by Ken Zita
Hi-tech nabs
counterfeiters Hublot and WISeKey join forces
S ecret codes, hidden ciphers,
information encryption, hidden
extreme-security data centres in
the Swiss mountains, military-grade
USB keys and participation in cutting-
The unacceptable plague of fraud
The challenge Hublot and its
colleagues face is far from being a
minor issue. The luxury sector is
plagued by counterfeiters; in fact,
Union increased by 17% to reach some
43,671 incidents. Not surprisingly, the
sectors most affected were the jewellery
and horological sectors (an increase in
seizures of fake goods of 89% over the
edge projects such as the world-first counterfeiting represents the biggest preceding year; around 1.8 million
Internet voting system and securing threat these brands have to face and is items) and the beauty products sector
the data of the Alinghi Team (the a major concern of most manu- (seizures of counterfeit items up 264%
winners of the America’s Cup, world- facturers. The overall figure is indeed over previous year; more than 6 million
renowned formula-type sailing race), staggering: counterfeiting represents items).
have all been the mainstay of some 5–7% of all world trade – and it is Given these figures, a country
WISeKey’s business since its founda- increasing every year. such as Switzerland, for example, is
tion in 1999. In 2008, according to the latest losing around $10 billion in sales due
WISeKey is now considered among figures, the number of seizures of to the counterfeit “parallel” market.
the leading information security and counterfeit goods in the European
identity management companies in the The hi-tech antidote of authenticity
world. The idea behind WISeAuthentic©
Linking such technology with the consists of creating an electronic
luxury industry may, at first glance, guarantee certificate, which not only
seem contradictory. And yet, the contains the watch identity code, but
prestigious Hublot watch brand called also enables privileged access to a
upon WISeKey’s WISeAuthentic© certifi- “In the watch industry, we are reserved space on the Hublot website.
cation system of authenticity to assist seeing a significant increase in Both Hublot sales outlets and clients
them in fighting one of the watch counterfeit goods … it was will be able to use the smartcard to
industry’s main challenges: counterfeit imperative for us to find a way to instantly check via the Internet if the
products. watch is genuine.
protect our watches and those
Earlier this year the two com- It’s the first time that this techno-
who purchase them. WISeKey has
panies announced a world “first” in the logy has been used as a protection
a strong track record in security
fight against imitations: that hence- against counterfeiting. “There is a
forward, Hublot watches will be protect-
and authentication, and when patent pending on this method,”
ed by a smartcard, proving their identi- looking for a partner to help us explained Carlos Moreira, CEO of
ty and origin. This innovative solution in the fight against counterfeiting, WISeKey. “It is based on digital identi-
represents a decisive step in the fight we knew WISeKey was the right fication protected by a cryptographic
against the counterfeit trade. choice for us.” smartcard associated with a Hublot
—Jean-Claude Biver, CEO, Hublot watch. We supply a secured platform
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2. which the buyer can access via the
watchmaker’s website where the watch
can be definitively identified as part of
Hublot’s inventory within an encrypted
area reserved for watch identification.
Each smartcard that is given at the time
of purchase, in addition to its Certificate
of Origin, is unique to each watch and
contains full details of the product,
including registration number, barcode
and place where it was manufactured,
among other details. It is the watch’s
true DNA. If the information contained
in the card is not valid, access to this area
is simply denied.”
“Hublot is the first company in the
world of luxury and watchmaking to
attain this level of protection for its
products, by combining state-of-the-art
electronic technology and traditional
watchmaking know-how,” adds Jean-
Claude Biver, Hublot CEO. “I am proud
to be the pioneer in this domain, as even
though imitation is flattering (he said
laughing), manufacture of counterfeit
watches is an unacceptable plague for
the whole of the watchmaking in-
dustry, and we must use every means
possible to fight it.”
Thus, as of this autumn, pur-
chasers of Hublot watches will find the
electronic card included in their
watch’s case. In addition to the infor-
mation enabling traceability of the
watch, they will, thanks to this card,
be able to connect to the Hublot “WISeAuthentic is based on digital identification protected by a
website and get access to a privileged cryptographic smartcard associated with a Hublot watch. We supply
space reserved for them, while a secured platform which the buyer can access via the watchmaker’s
remaining anonymous. website where the watch can be definitively identified as part
“In the watch industry, we are of Hublot’s inventory within an encrypted area reserved for watch
seeing a significant increase in identification. Each smartcard that is given at the time of purchase,
counterfeit goods,” Biver comments. “It
in addition to its Certificate of Origin, is unique to each watch and
was imperative for us as a company to
contains full details of the product, including registration number,
find a way to not only protect our
barcode and place where it was manufactured, among other details.
watches but also those who were
purchasing them. WISeKey has a
It is the watch’s true DNA. If the information contained in the card
strong track record in security and is not valid, access to this area is simply denied.”
authentication, and when looking for —Carlos Moreira, WISeKey CEO
a partner to help us in the fight against
counterfeiting, we knew WISeKey was
the right choice for us.” Anti-fraud security net spreads farther ing this technology, online shopping
This combination of technology WISeKey is now expanding the and auction websites have the ability
with traditional watchmaking pro- application of WISeAuthentic© to many to provide its users a safe, secure
vides a fail-safe solution, impossible to other luxury brands and expects its transaction, by controlling counter-
replicate at a cost that is a small patented technology to become a feited goods in their product range. «««
fraction of the amount lost in sales due standard in the avoidance of counter-
to counterfeits. feit luxury goods globally. By leverag-
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