RealTime IT News

Diversinet Lands Major Licensing Agreement

Diversinet Corp. entered into a licensing agreement with "a leading telecommunications company" to incorporate Diversinets's digital certificate authentication technology into wireless messaging devices.

The name of the company was not disclosed due to a non-disclosure agreement.

Under terms of the agreement, Diversinet will supply the company with its patented digital certificate authentication technology combined with Certicom Corp.'s elliptic curve cryptography, a strong, fast encryption technology. The product is scheduled to begin shipping in July 1998.

It is estimated that Diversinet's certificates will be incorporated in one million wireless devices for the first year of the agreement. The market is expected to grow from 40 million paging subscribers today to over 100 million by 2005.

"This first sales agreement has come earlier than anticipated and is an important milestone in the acceptance of Diversinet's technologies," said Nagy Moustafa, President and CEO of Diversinet. "We intend to leverage this contract with the other OEMs and potential licensing relationships."

Diversinet Corp. is a developer of products based on public-key infrastructures and technologies required for corporate networks, intranets, and the Internet for electronic commerce.