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Intelligent Authentication
New York, NY
intelligent-authentication.com

Victor Chu Inventor, Conceptual Design
2005 / 2006

Everything is Counterfeited
Counterfeiting legitimate goods is a $3.29 trillion black market industry producing over 90 billion fake products a year- up $700 billion from 2002 estimates and comprises 7% of global commerce. The luxury and consumer goods industries are undeniably loosing billions in sales and legal fees: “Triple A” luxury counterfeits are indistinguishable from the originals. Counterfeiters now offer fast custom faux branded luxury services. And the biggest retailer in the world is selling counterfeit luxury goods. No product is spared: everything from shampoo to extension cords to medicine to car parts is counterfeited, faked and sold at incredibly low prices. Counterfeiting is the single largest crime wave and economic problem today. The counterfeiting industry devalues legitimate brands and goods and risks the health and lives of innocent and unsuspecting consumers every day.

"Counterfeiting is really detrimental to our image because inevitably, the quality of the products is not the same as ours."
Bruno Pavlovsky, President of Fashion, Chanel
March 3, 2007
The Associated Press

“What we need is something that cannot be copied and is thin and small enough to apply to sunglasses and jewelry."
Barbara Cirkva, Vice President of Fashion, Chanel
May 11, 2006
Victor Chu concept meeting with Ms. Cirkva. Ms. Cirkva also conceded that counterfeiters have been copying their holograms with integrated RFID chips

True Product Authentication: Intelligent Labels + Random Codes + Verification System
“...without time and authentication little things like money and law enforcement stop working.” - Charles Stross, Glass House

The most secure technique for authenticating products is the constant output of random authentication codes. Similar to “strong authentication” technology used by banks and financial systems to authenticate users for system access, Intelligent Authentication Labels output secure codes every 60 seconds. Each individual label sewn or attached to a high value product is programmed with its own unique authentication algorithm that generates a new, unrepeated authentication code within the programmed interval. For example, a small, indiscrete and sleek Intelligent Authentication Label at 2x18x18mm
weighing only 4g (business card weighs 1g) and sewn to a Chanel handbag can output code 89144VA3 at 8:14pm and at 8:15pm output R8F22DD and so on and so forth. The labels can be programmed to output every 10 seconds, every 19 seconds, or every day at 12:00pm or every 7 days. At any time, the consumer or the authorities (such as customs officials or corporate lawyers) can read the authentication codes and enter them into www.intelligent-authentication.com or on the Chanel site hosted by MIL at www.chanel.com/authenticate.

The input page is a simple text entry field similar to the Google landing page. Within 1 second of code entry, the intelligent authentication system will verify the product against all known unique codes stored in the system database. Customs authorities can also easily and quickly verify imported goods by sending codes to the system via cell phone text messaging.

The proprietary Intelligent Authentication Labeling System is the most secure and advanced product authentication verification technology. Intelligent Authentication Labels provides consumers with instant visual authentication which is crucial to the value of the brand and the products. The labels can also be programmed to display further product data such as “Black Bobo Bag. Collection, Spring 2008. Designed by Karl Lagerfeld. Number 4 of 999 units. Made in France. Birth date: 12/25/07”. MIL will sell to its customers label units, corresponding authentication codes and hosted web (authentication verification system) services charged monthly based upon volume. Most every person has a cell phone and access to a web browser. These are standard devices for modern living. In sharp contrast, current cutting edge authentication techniques require expensive, industrial verification devices or forensic lab testing. These techniques are expensive, one time authentication designed for scientific use. Intelligent Authentication is designed for the consumer- products can be easily and instantly authenticated thousands of times throughout the life of the product by anyone with a cell phone or web access.

Related Articles
EBay Ordered to Pay $61 Million in Sale of Counterfeit Goods New York Times
Terror's purse strings International Herald Tribune
The bags have it at Chanel show in Paris USA Today
Research Links from 2004 to 2007 mildigitallabeling.com