Security Solutions for Electronic Transactions

Introduction

The smart card is a really growth market, and is constantly developing through time and space. The smart card involves a huge potential which companies such as XIRING, have been able to run. XIRING is specialized in the smart card, and offers security solutions for electronic transactions to professionals and persons. Its security system is based on authentication and digital signature. The company targets online banking and health sectors (XIRING is also interested in other sectors like public transports and electronic identity.)

Established on a booming market, the company is always looking for innovation in order to manage customers' expectations and to meet them.

Visa and MasterCard, the 2 giant payment companies, have been interested in XIRING since 1985. So in a first part, we are going to introduce the company and analyze it through this context, then we will talk about its environment (market's potential and its stakes, differentiation strategy and its position on the market) and finally, we will introduce the barriers and limits to enter this environment (economical, technical, legal and marketing limits).

I. Presentation of XIRING

XIRING was created in 1998. After 13 years of operation, XIRING is currently having a strong development and has a good reputation around the world and France in particular.

Since it was founded, XIRING has won 10 ‘Sesame’ awards for Innovation at the ‘Salon Cartes et Identification’, the world-leading digital security and smart technology exhibition.

At the beginning, XIRING was still a small and unknown company. Over the years, it has built its brand image through efficiency, determination and effort especially in France and Europe.

 Trophies

Listed on Paris Alternext section of NYSE-Euronext since 18 September 2006, XIRING was awarded the Midcaps trophy for the “Best Introduction to Stock Exchange on Alternext 2006” by Ernst & Young, Middlenext, NYSE-Euronext and Oddo Midcaps.

XIRING was labeled "innovative company" by OSEO Anvar and received in 2007 the award for best international success by the IE Club.

Moreover, the company has also been distinguished by the INPI (National Institute of Industrial Property) with the Innovation Award 2009 in the SME category in Ile-de-France.

Finally, in order to strengthen its innovation policy, XIRING joined in 2009 the poles of competitiveness SYSTEM@TIC and TES. In this context, XIRING is actively involved in the Group theme security and in the defense of SYSTEM@TIC R & D CF project (Federation of circles of trust)

 Turnover

One can say that XIRING has a strong growth because it’s turnover increased by 50% over the last 5 years.

In 2004, XIRING realized a 4 million fundraiser coming from its major investors.

In 2005 XIRING announced a growth of 9 million Euros in its business and a 5% net positive income, compared to 2004.

In 2008 XIRING achieved a turnover of 28.5 million Euros and an operating result of 3.5 million euro, and this is amazing.

Then XIRING obtained in 2009 a turnover of 25.5 million Euros of which 16.2 million Euros were achieved during the first 9 months of 2009. In 2009, the activity was marked by a downturn of 49% in the turnover of the banking security and an increase of 50% in the turnover of Health sector.

In 2010, XIRING announced a turnover of 13.1 million Euros for the first 9 months and 3.5 million for the third quarter of 2010.

Today XIRING holds more than 100 intellectual property rights related to innovative technologies, processes and security applications.

The diagrams below are meant to enlighten XIRING's evolution through the years.