Virtual Smart Cards and Smart Card Readers

One problem with PKI is that it assumes that smart cards are, or will be, a standard
component in cellular handsets, workstations, and PCs. Although this is the case with
GSM handsets, it has not been the case to date with U.S. cellular handsets. If smart
cards and smart card readers are not readily available, some organizations may compromise
security by placing private keys on users’ hard disks or in temporary cache
memory. One answer is to create a virtual smart card and a virtual smart card reader.
The PC, workstation, or smart card-less cellular phone connects to the virtual smart
card server and interacts with an emulated smart card as if it were communicating
with a hardware smart card connected to a reader. Users activate their virtual smart
card with either a memorized static PIN or a dynamic password.