Cingular Payments

In a move to pit wireless phones against credit cards, Cingular Wireless introduced Monday the national roll-out of its new wireless micropayment campaign. It is the first U.S. carrier to offer a micropayments service. ‘Cingular DirectBill’ initially permits a customer to purchase low-cost digital goods, such as customized ring tones. However Cingular made it clear yesterday it plans to expand the free service to include the purchase of soda and snacks and mass transit payment systems. Under the program small purchases made by wireless phones or from the Internet are billed directly to customers’ wireless phone bills. The micropayments service utilizes the ‘Qpass Commerce Service’. Cingular, jointly owned by BellSouth and SBC Communications, has more than 19 million subscribers and is the nation’s second largest wireless carrier. The Cingular news follows on the heels of last week’s announcement by McDonald’s that it is expanding the use of the ExxonMobil’s ‘Speedpass’ contactless payment program to more than 400 outlets in the Chicago area. (CF Library 5/30/01)


E-Wallet Study

A new study released this morning found that experienced users who shop online with an e-wallet would prefer to use an e-wallet hosted by their financial institution. Additionally, users of issuer-provided wallets report greater online spending and greater loyalty to the card associated with their issuer-provided wallet. The study, commissioned by MasterCard and conducted by Greenfield Online, found that 53% preferred e-wallets hosted by financial institutions over those sponsored by Internet companies (36%) and Internet Service Providers (11%). The vast majority of e-wallet users polled, 94%, were satisfied with their e-wallet experiences, and more than 80% of the respondents stated they were likely to use their e-wallets within the next three months. Twenty-three percent of the respondents said they have increased their online spending as a result of using an issuer’s e-wallet. Currently, fewer than two-in-ten online shoppers shop with an e-wallet.


iPIN & Gemplus

iPIN announced a partnership with Gemplus, the world’s leading provider of smart card based solutions, to jointly develop advanced security features for Web and Wireless transactions. The partnership extends both companies’ authentication and payment technology applications to offer global banks and mobile operators greater transaction security for their customers. The agreement will encompass marketing, sales and implementation with joint partners.

Applications for smart card technology have broadened into phone card services, mass transit and toll, PayTV, and also wireless communications. With these applications comes the need for secure payment architecture behind the authentication device. This partnership fuses Gemplus’ strong authentication technology based on smart card wireless telephony (SIM Card) with iPIN’s flexible payment and settlement solution that can be applied to the wide forum of smart card applications.

![][1] Having just been awarded the 2001 RSA Security Award for Excellence in the Field of Industry, Gemplus will integrate their full suite of smart card and authentication server solutions with iPIN’s e-payment platform and Scalable Authentication Module, providing a technology that can be seamlessly integrated with mobile operators and financial institutions worldwide. The venture will support all major standards, such as SMS, CSD, GPRS, WAP, and 3G.

“Users of iPIN’s m-commerce platform will be able to conduct secure purchases with Gemplus’ range of authentication solutions. Our joint offer guarantees that sensitive information and wireless purchases can be made with confidence because the connection is secure and authentic. In fact, Gemplus and iPIN solutions are offering banks and telcos the ultimate tools to ensure end-to-end complete secure payment,” said Patrick Imbert, director, mobile commerce group, Gemplus.

“With this combined technology, the client will be able to choose their appropriate level of authentication technology guided by different transaction amounts,” stated Bradley Rode, CEO of iPIN. “With Gemplus’ digital signature, wireless transactions can be offered with the highest level of security, which is a critical building block for banks, telcos, and merchants because the non-repudiation of transactions can be guaranteed.”

About Gemplus

Gemplus ( is the world’s leading smart card solutions provider. Since its creation in 1988, Gemplus International S.A. (Euronext: Sicovam 5768; Nasdaq: GEMP) has driven the global marketing and deployment of smart card-based applications for telecommunications, financial services and e-business security.

According to the most recent third party research, Gemplus leads the industry with 35% market share by volume in memory and micro-processor cards (Gartner Dataquest, 2000). Gemplus is instrumental throughout the value chain — chip design, card management systems, software development, and consulting — delivering integrated custom-made solutions for the security, personalization and privacy management needs of clients and partners worldwide. Gemplus technology has played a defining role in the development of wireless telephony since the introduction of SIM cards into the GSM standard in 1990. For more than a decade, Gemplus has pioneered applications that enable network operators around the world to answer the changing needs of their customers. Gemplus was first to market with a 3G card and supplies a product range compliant with new and emerging transmission standards — 2.5G, 3G.

In 2000, revenue was 1.205 BE, up 57% from the previous year’s 767ME. Net income was 99 ME. Gemplus employs more than 7800 people in 37 countries worldwide. Since 11 December 2000, Gemplus shares have been trading on Euronext Paris S.A. First Market and on Nasdaq in the form of ADSs.

About iPIN

iPIN is the leading provider of global Internet and wireless payment technologies to financial institutions, telecommunication providers, portals and merchants. iPIN enables its partners to offer modular payment products to support business-to-consumer, person-to-person and business-to-business applications in both the Wireless and Web environments.

iPIN enables users to easily and securely pay for Web and Wireless purchases using existing financial relationships, such bank accounts, credit cards, debit cards, ISP and wireless bills, pre-paid accounts, and cash. The iPIN technology identifies and authenticates the user without transmitting any personal or financial information over the Internet and is easily configured to any transactional and payment architecture. In addition, it enables transactions of any value and provides real-time support for most currencies and languages. iPIN offers its technology either as an application service provider (ASP) or as a service license. Customers include British Telecom, France Telecom, Club Internet, and Internet Gold among others. These relationships represent a base of 75 million users.

[1]: /graphic/gemplus/gemplus.gif


GE Bank

GE Capital Consumer Card Co. has received approval from the Office of Thrift Supervision to switch from a state bank charter to a federal savings bank charter. Upon adopting the new charter, the savings bank will change its name to GE Financial Corp. GE Financial will continue to operate primarily as a credit card bank, but adopting the thrift charter will allow it to offer additional consumer loan products. For example, the bank plans to offer a consumer installment (debt consolidation) loan product. The bank had total assets of $494.8 million and equity capital of $45 million as of December 31.


USB Readers

Small plug-in card readers for PCs are gaining momentum as Mag-Tek unveiled yesterday its new ‘Mini USB’ unit. The news follows last month’s announcement by Schlumberger Test & Transactions of its ‘e-gate’ technology which enables a smart card to simply plug into the standard USB port on a PC. SCM Microsystems also introduced last month its ‘E-25’ smart card reader which can be connected to a computer via USB or RS-232 serial ports. The Mag-Tek ‘Mini USB’ is a magnetic stripe swipe reader. It requires 50% less space than full size readers, and requires no external power source. Until now, only RS-232 and keyboard wedge interface readers have been commercially available. Production of the ‘Mini USB’ is already underway. (CF Library 5/9/01; 5/16/01)


Gemplus CMS

Gemplus announced it continues to realize growing demand for Java Card technology-based smart cards. Propelled by the launch of the three-dollar GemXpresso card for Smart VISA program in 2000, Gemplus continues to realize growing use of Java Card technology by clients worldwide. The secure, open/multi-application and interoperable nature of Java Card technology has proven to be highly successful for many of Gemplus’ clients including Fleet Bank and Providian. As Gemplus moves toward offering a comprehensive Card Management System (CMS), the ability to download multiple applications will become even more valuable in providing card issuers and their card holding customers fully customized, flexible and scalable smart card solutions.

(1)Dataquest/Gartner reports growth of greater than 45% from 1999 – 2000 with significant potential in the Financial Services and in the IT /e-business sectors, where the use of flexible and scalable solutions offerings like Java Card technology will be paramount. Widescale adoption of open, Java Card technology-based solutions in the financial arena is complimented by another key driver in North America: The US Department of Defense has embraced PKI technology using Java Card technology in its current rollout of military ID cards for active and reserve components of the military. In addition, the Wireless industry has strong demand for Java Card technology-based SIM (Subscriber Identification Module) cards anticipated with mobile commerce migrating from 2G to 3G technology. Gemplus’ recent acquisition of SLP Infoware, a mobile CRM solutions firm, compliments this trend as well.

As a founding member of the Java Card Forum and an active leading participant in GlobalPlatform and OpenCard Consortium, Gemplus is actively working alongside Sun and iPlanet(TM) E-commerce Solutions to drive global interoperability for smart card technology as well as EMV standards. These continued efforts will assure more complex, effective and usable product offerings from Gemplus, Sun and the smart card community.

“The rapidly increasing number, and the rapidly increasing complexity, of electronic, identity sensitive, online financial transactions requires convenient, easy to use and easy to manage solutions that are available through smart card technology. Java Card technology is a key competitive factor in our solution offering,” confirms Dr. Mel Slater, senior vice president, strategic alliances at Gemplus. “Java Card technology was developed through an open process with key industry players to provide card vendors, developers and issuers with an interoperable, multi-application based smart card platform,” said Richard Green, vice president and general manager, Java Software, Sun Microsystems. “Gemplus has made significant contributions to this open process and is helping lead the community of smart card suppliers offering economical, secure, customizable smart card solutions.” Gemplus will be exhibiting at JavaOne 2001 in San Francisco, June 4th – 8th at booth No. 326.

About Gemplus

GEMPLUS: the world’s leading smart card solutions provider. Since its creation in 1988, Gemplus International S.A. (Euronext: Sicovam 5768 and Nasdaq:GEMP) has driven the global marketing and deployment of smart card-based applications for telecommunications, financial services and e-business security. Gemplus is instrumental throughout the value chain — chip design, card management systems, software development, and consulting — delivering integrated custom-made solutions for the security, personalization and privacy management needs of clients and partners worldwide. Gemplus technology has played a defining role in the development of wireless telephony since the introduction of SIM cards into the GSM standard in 1990. For more than a decade, Gemplus has pioneered applications that enable network operators around the world to answer the changing needs of their customers. Gemplus was first to market with a 3G card and supplies a product range compliant with new and emerging transmission standards — 2.5G, 3G. In 2000, revenue was 1.205 billion Euros, up 57% from the previous year’s 767 million Euros. Net income was 99 million Euros. Gemplus employs more than 7800 people in 37 countries worldwide. Since December 11, 2000, Gemplus shares have been trading on Euronext Paris S.A. First Market and on Nasdaq Stock Market(TM)as GEMP in the form of ADSs. Gemplus:


Notification Services

Experian launched its ‘Notification Services’ suite which combines ‘Marketing Triggers’, ‘Risk Triggers’ and ‘Retention Triggers’. The advanced triggering technology, for pre-screen, cross-sell, up-sell, and account monitoring, is targeted at credit card companies who require an end-to-end, event-based triggering solution that addresses every phase of the customer life cycle. The suite can provide daily, weekly, monthly, bi-monthly and quarterly notification triggers. For example, using ‘Notification Services’ a credit card company can enhance retention efforts by identifying current customers who have inquired about a new credit relationship within the last three months, helping them to take action and keep that customer.


SAS Card Solutions

SAS Institute announced three new enterprise marketing automation software solutions for the credit card, telecommunications, and insurance industries.

In these highly competitive industries where products can be copied in days and service can not be used to achieve differentiation, the only thing organizations have to create and sustain competitive advantage is customer intelligence.

The new customer relationship management (CRM) solutions significantly reduce the time organizations in these industries need to create and act upon customer intelligence. They reduce campaign deployment times, improve campaign return on investment and increase customer profitability. Implementation time is expected to be as low as three months – compared with the industry norm of six months for EMA solutions – thanks to industry-specific, pre-defined features. After deployment, companies can modify and extend the predefined models as well as create their own models. Marketers quickly gain understanding of customer needs and preferences and automate campaigns that reduce attrition and increase customer profitability.

“Analytics incorporated into EMA solutions are essential for optimizing customer interactions and enhancing the customer’s relationship with an organization,” said Gabriele Dobenecker, a program director with META Group. “Companies that provide a tight integration of sophisticated analytics and EMA functionality give organizations a head-start in customer intimacy.”

“SAS is distinct in its ability to cut through the complexities of global corporations like ours running massive client databases on multiple platforms and needing to integrate that data from disparate sources,” said Shaun Coyne, chief technical officer at GE Capital Real Estate. “The SAS Solution for EMA helped us improve net income by controlling costs of customer acquisition and risk through more intelligent targeted marketing. SAS’ new industry solutions are good news for companies that need to jump-start their CRM program and improve campaign effectiveness.”

Companies in highly competitive industries like credit card, telecommunications and insurance need to maximize payback on expensive marketing campaigns. By integrating customer analytics with campaign management, they reduce the margin of error and speed ROI. The SAS Solutions for EMA automatically feed customer intelligence from analytical CRM technology into a campaign management front-end through which campaigns are executed.

Basing campaigns on up-to-date customer intelligence means that companies reduce implementation cycles and improve campaign profitability by reaching customers with the right message at the right time. Automation is particularly valuable in complex multi-channel campaign environments, where marketing departments are often expected to perform exponentially higher numbers of campaigns with no increase in resources. Companies will appreciate that SAS for EMA is also a highly scalable and integrated solution. This eliminates the risks and costs of integrating, maintaining, and upgrading multiple software products. “Integrated solutions speed implementation of campaigns. In the highly competitive financial services market, the quicker you can get customer intelligence together and act on it, the sooner you can serve your customer – before a competitor does,” added Coyne. “We appreciate working with this global vendor of strong, dependable CRM solutions. SAS for EMA allows us to roll out a consistent global marketing strategy that’s helping us meet corporate revenue objectives to grow GE Capital.”

“Nothing equips decision makers better than access to knowledge. SAS customers have seen that the intelligence derived from a single, comprehensive customer view shortens campaign cycles, improves response rates, ensures higher customer satisfaction, and results in higher customer profitability,” said Jim Davis, senior vice president and chief marketing officer at SAS. “The new industry solutions for EMA deliver state-of-the-art customer analytics and campaign management to get companies in the race, but it’s the resulting customer intelligence that wins the race for them.”

Industry Solutions for EMA

The foundation for all three industry solutions for EMA is SAS’ award-winning campaign management, data warehousing and data mining software. The common architecture covers data storage and data mining models that deliver intelligence on customer behavior and allow for accurate customer segmentation, campaign execution and campaign reporting. These new applications can be implemented quickly because they include standard industry data models, as well as predefined industry-specific campaign templates, behavioral models and business reports, all built upon the best practices in the industry.


SAS expects to distribute the new software solutions through SAS’ direct sales channels with first customer shipments in fourth quarter 2001.

About SAS

SAS is the world leader in e-intelligence software and services, enabling its customers to turn raw data – including the vast quantity generated by e-business – into usable knowledge. Software from SAS, the world’s largest privately held software company, is used at more than 35,000 business, government and university sites in 110 countries. For more information visit [][1].

SAS and all other SAS Institute Inc. product or service names are registered trademarks or trademarks of SAS Institute Inc. in the USA and other countries. (R)indicates USA registration. Copyright(c)2001 SAS Institute Inc. Cary, NC, USA. All rights reserved.




MasterCard International has reached an agreement in principle with the other shareholders of Mondex International to assume full ownership of Mondex International (MXI) and direct control of all of MXI’s operations and management.

The proposed agreement, which is subject to the final approval by MXI shareholders, would increase MasterCard’s ownership share from the current 58 percent.

Under MasterCard’s management, MXI will continue providing service to the MULTOS consortium – the open industry forum that manages the MULTOS smart card platform, which is MasterCard’s preferred operating system for multi-application smart cards. MXI will also continue managing Mondex electronic cash and the Mondex Certification Authority and security infrastructure, in addition to providing ongoing support and services to the Mondex franchisees and licensees.

“As a founding shareholder of Mondex International, we are very pleased with this development,” said David J. Mills, general manager, HSBC Bank plc. “This agreement will streamline the governance and management of MXI’s products and services, providing greater flexibility to meet the needs of MXI franchise holders in the rapidly-evolving marketplace.”

“This acquisition is closely aligned with our strategy of giving MasterCard’s member financial institutions access to the best and most secure choices available in the marketplace and strengthens MasterCard’s overall position in smart card development by leveraging Mondex’s technological expertise under one roof,” said Chris Thom, senior executive vice president of MasterCard International. “In acquiring MXI,” he continued, “we are bringing into MasterCard the world’s most secure and flexible smart card operating system, a full-functioning certification authority, the Mondex offline e-cash program, and considerable technical expertise. Under MasterCard’s management, these assets will be fully available to help MasterCard’s members and Mondex franchise holders develop best-in-class smart card programs.”

MULTOS is the most robust, flexible and secure smart card platform in the market today. It is the only operating system for smart cards to have been certified with the prestigious ITSEC Level E6 security rating, the highest available. MULTOS is an open platform, which enables a number of different, independently functioning applications to reside on a single card simultaneously. To date, more than 6 million smart cards have been issued on the MULTOS platform, and more than 75 issuers are now committed to issuing 20 million additional MULTOS smart cards. More than 70 companies currently supply MULTOS-related products and services.

The Mondex Certification Authority, located in a highly secure facility, maintains best-in-class security and operations capabilities. It manages a well-established process for chip security and analysis. The authority handles issuance of certificates globally for the MULTOS “load and delete” mechanism, Mondex e-cash, and the MasterCard M/Chip(TM) family of payment applications. MasterCard is also evaluating offering the certification authority services to other industry participants requiring key management services.

Mondex Electronic Cash is the most complete and fully developed electronic cash proposition in the marketplace today and offers a number of unique benefits, including the only truly global and interoperable electronic cash product available today; multi-currency capability; the only card-to-card payment capability; offline transactions with immediate value transfer; and the highest security currently available. With virtually no per transaction cost, Mondex cash offers essentially zero marginal cost for the issuer. Mondex electronic cash has been franchised or licensed for use in 55 countries and territories around the world. There are approximately 30 Mondex implementations underway around the world, with additional activity expected over the coming year.

In addition to MasterCard International, current shareholders of Mondex International include 3328678 Canada Inc (“Mondex Canada”), Banco Internacional S.A., Bancomer S.A., Banco Nacional de Mexico S.A., Bank One Corporation, Banque Federative du Credit Mutuel S.A., Countrywide Banking Corporation, The Hong Kong and Shanghai Banking Corporation Limited, HSBC Bank plc., JCB Co. Ltd., J.P. Morgan Chase & Co., Mondex Australasia Pty Ltd., National Australia Bank Limited, National Westminster Bank plc., The Sanwa Bank Limited, Ulster Bank Limited, Wells Fargo & Company, and Universal Holdcorp Inc.

The proposed acquisition is expected to close at the end of this month.

About MasterCard International

MasterCard International is a leader in global e-business. The association is focused on providing its member financial institutions with customized, meaningful global e-business solutions that connect them to customers in both the online and offline worlds. Through its investment in industry innovation, participation in standards development and business alliances, MasterCard is staying in the forefront of technology integration to enable anytime, anywhere payments across multiple channels and various devices. MasterCard’s global e-business solutions include Internet interactive services, security, smart cards, mobile commerce/wireless, e-wallets, business to business electronic commerce, and numerous emerging technologies.

MasterCard International has the most comprehensive portfolio of payment brands in the world. More than 1.7 billion MasterCard(R), Cirrus(R) and Maestro(R) logos are present on credit, charge and debit cards in circulation today. An association comprised of more than 20,000 member financial institutions, MasterCard serves consumers and businesses, both large and small, in 210 countries and territories. MasterCard is the leader in quality and innovation, offering a wide range of payment solutions in the virtual and traditional worlds. MasterCard’s award-winning Priceless(R) advertising campaign is now seen in 81 countries and in more than 36 languages, giving the MasterCard brand reach and scope unrivaled by any competitor in the industry. With more than 21 million acceptance locations, no card is accepted in more places and by more merchants than the MasterCard Card. In 2000, gross dollar volume exceeded US$857 billion. MasterCard can be reached through its World Wide Web site at http//


Smart Data Solution

Paymentech, the premier electronic payment solutions provider for direct marketing and Internet business, has partnered with QUEit Corporation to offer merchants a direct marketing solution that lowers customer acquisition costs. Some Paymentech merchants currently testing the QUEit Trust and Reward Network are Palm, Simutronics Corporation, Vermont Teddy Bear Company, Espinoza Cigars and Zig Ziglar. In honor of the partnership, Paymentech and QUEit will feature Latin cigar rollers rolling Espinoza cigars in their booth at the catalog conference.

QUEit is a simple, powerful “smart data” application that allows merchants to efficiently use the Internet to make highly targeted offers to consumers who have asked for them. Jeffrey Vick, CEO of QUEit, said, “Affordable new customer acquisition is a direct marketer’s primary challenge, QUEit is the solution.” The QUEit system allows merchants to control what offers they make, and to whom, tracking the offers all the way through to the sale. This is all done using the Internet with no software to download. By permission of consumers, QUEit collects personal information from consumers and assimilates it into a database. Consumers are provided targeted marketing while being compensated for the use of their personal information. Merchants create specific offers and enter them into the QUEit system. While entering the offer, the merchant is able to specify their target audience by naming geographic, demographic or psychographic preferences. This system allows merchants to lower customer acquisition costs considerably and increase margins by only targeting consumers that are likely to buy their product.

About Paymentech

Dallas-based Paymentech, the payment solutions company, delivers secure and reliable electronic payment services in merchant acquiring and point-of-sale transaction processing with a wide array of product functionality and support. Paymentech processed approximately 3.4 billion total transactions and $109 billion in bankcard sales volume in 2000. Founded in 1985, the nation’s largest processor and acquirer of credit card transactions is also the leader in non-face-to-face payment processing for Internet and direct marketing.

About QUEit

QUEit Corporation is privately held and founded by experienced Internet marketing leaders. QUEit has received investment funding from private investors, as well as enterprise partners such as Paymentech. With online U.S. advertising spending representing a projected $7.3 billion market in 2001 alone, QUEit Corporation has accepted the challenge of providing consumers and merchants a profitable new way to do business on the Net.



The rising
demand for multiple payment, Internet and value-added applications at
the point of sale has led to worldwide adoption of Verix,
VeriFone’s multi-app architecture that can efficiently and securely
supports a variety of applications running on the same terminal. To
celebrate the one-year anniversary of Verix, VeriFone today announced
the winners of the Verix Innovation awards.

Verix is already used in 29 countries around the world, providing
unmatched freedom to deliver payment and value-added solutions. The
Verix Innovation awards recognize innovative solutions implemented by
VeriFone International Partners (VIPs), customers, and members of
VeriFone’s Developer Forum-solutions that expand the e-payment
industry using Verix and running on the Omni 3300, Omni 3350 and
portable Omni 3600 terminals.

Winners were awarded across all regions and vertical market
segments, including financial retail, petroleum/convenience store,
multi-lane retail, telecom, and government-education-medical. They
represent a wide variety of innovative Verix-based payment and
value-added solutions to support credit, debit, pre-paid telco,
electronic bill payment, loyalty, government regulation, smart cards,
contactless payment, and Internet-connected e-services.

“We’re pleased to honor these winners — after all, their
innovation is the fuel driving the rapid rate of acceptance we’re
seeing around the world for our Verix-based solutions,” said
Pierre-Francois Catte, vice president and general manager of VeriFone.
“With VeriFone, these companies are defining the new point of sale; a
global, secure, multi-purpose ‘point of profit’ that generates new
revenue streams, improves customer loyalty, and lowers the total cost
of ownership.”

“We value our relationship with VeriFone over the years, and the
Verix operating system has enabled us to deliver innovative solutions
that that help differentiate us in the market place,” said Glenn
Marino, senior vice president of GE Card Services. “Our ability to
meet the needs of our clients with state-of-the-art POS solutions is a
critical part of our service to our customers.”

“New, unexpected, high-performance capabilities at the POS are
what place ALS ahead of the competition, and VeriFone’s Verix
operating environment is making is possible for us to deliver
innovative solutions,” said Jimmy Wilson, chairman of Automated
Licensing Systems.

The following winners were among the 20 recipients of the Verix
Innovation Awards
GE Card Services was recognized for its multi-application
installation of over 5,000 Omni 3300 payment terminals running their
own private label credit application. Selected terminals are also
using VeriFone’s SoftPay e-payment software. The Verix
multi-application platform allows GE Card Services to promote their
private label application to a broader customer base.

Automated License Systems and Central Bank were honored as
partners in delivering a solution to the Missouri Department of
Conservation that uses Verix-based Omni 3300 terminals to issue
various types of fishing and hunting licenses at a merchant’s point of

Smartconnect Private Limited in India was honored for its
RetailSmart application that enables a full fledged Electronic Cash
Register System running on an Omni 3300 or Omni 3350 terminal. The
application stores up to 600 items with programmable name and price,
offers three payment modes, five levels of security access, and can be
programmed to work in the local currency. It provides extensive
management reports and eliminates the need to have a separate ECR,
making it an ideal solution for low-end merchants.

Brazil-based developer and VeriFone reseller APPI Informatica was
recognized for delivering direct web-based connectivity to VeriFone
terminals, including the Omni 3350 multi-application terminal. Called
VeriNET, the application allows VeriFone terminals to use the Internet
to transport electronic transactions, dramatically reducing
communications costs for banks, financial institutions and merchants
alike. APPI customers in Brazil include health systems provider UNIMED
and electronic bill payment services provider PAG & PRONTO.

E-pay Ltd, a UK-based telco customer, was recognized for creating
an application that enables electronic top up payments for pre-pay
mobile phone customers in the UK. The application runs on the Omni
3350 terminal and will demonstrate the multiple application capability
of the product as they add payment and loyalty functionality in the

Prism Payment Technologies, a South African VIP specializing in
the payment and transaction switching business, was honored for
developing an application for Payshop, a company establishing a
value-added multi-application switching environment in Portugal.
Payshop will deploy 1,200 Omni 3350 terminals there. The company plans
to provide its services across Europe, using Omni 3350 terminals as
the transaction-gathering device, running multiple applications
developed by Prism.

Other Verix Innovation Award winners by region include

North America

— ExxonMobil

— Piggly Wiggly Carolina Company

— e-Smart Direct Services Inc.

Asia Pacific

— E-Pay Asia Limited

— GHL Transact Sdn. Bhd.

— Loxley Business Information Technology Company Limited

Latin America and the Caribbean

— Bancomer

— Bancard

— Teracom Chile

Europe, Middle East and Africa

— Moneybox

— Printec

— Point Sweden

— Point Latvia

— Marshal

About Verix

VeriFone’s Verix operating platform provides true application
separation at the hardware and software level, minimizing the need for
processors or acquirers to go through lengthy and costly
re-certification processes when new applications are added to a
payment appliance. Dynamic memory allocation within Verix ensures
efficient use of memory by automatically adjusting to the size of each
application residing on a terminal, allowing for larger, more complex
applications to be added while maximizing the amount of memory
available on the terminal. VeriShield, a security architecture
incorporated within the hardware and software of Verix-based VeriFone
terminals, provides a comprehensive solution for defending against
increasingly sophisticated fraud. VeriShield includes file
authentication technology, which makes it possible to verify the
authenticity of a given file before it can be executed on a terminal.

About VeriFone

VeriFone (http// is the
global provider
of secure electronic-payment solutions for financial institutions,
merchants and consumers. VeriFone has shipped more than nine million
electronic-payment systems, which are used in more than 100 countries.


Global ATM Fees

Last week’s announcement that Bank of America, Barclays, Deutsche Bank, Scotiabank, and Westpac are forming a global network to provide customers with “free” ATM access is not totally “free”. For example, Barclays will drop its 1.50% withdrawal fee within the new worldwide network of 20,000 ATMs, but it will continue to assess a 2.75% foreign exchange fee. In response to Friday’s announcement, London-based Nationwide Building Society said it will continue to offer its customers cash withdrawals at 500,000 VISA ATMs worldwide without a foreign exchange fee or a cash withdrawal fee. The new global ATM network will become active on July 1 and will serve 36 million customers of Barclays and the four other banks.