Gemalto: dispute with Estonia heats up
(CercleFinance.com) - Gemalto said last night that it "regrets" the decision of the Estonian police to terminate the friendly negotiations on a dispute over the security of digital identity documents provided by the smart card specialist.
The case will therefore be brought to court.
The Estonian authorities are questioning the security of over 700,000 electronic identity documents provided by Gemalto, which they believe are vulnerable to cyber-attacks. This is a sore point given Estonia's pioneering digital policy.
However, the Estonian police remain angry and has taken legal action against Gemalto, from which it demands compensation of 152 million euros, according to the local press.
Gemalto replies that it cannot be held in any way responsible for the decision of the Estonian authorities to terminate talks, that it was negotiating amicably "in good faith", and that it has fulfilled its contractual obligations. The group also states that it believes that the amount claimed is disproportionate.
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