The Pathways Group, Inc. announced that it has entered into a letter of intent with LinkOpp Marketing, Inc., a private company located in Hermosa Beach, California. The letter of intent anticipates a contract between Pathways and LinkOpp to provide a set of “turn-key” Smart Card solutions for LinkOpp’s national membership, currently transacting business on the Internet. These solutions include the adaptation of Pathways’ existing Smart Card technology and providing smart cards, terminals and other PC related read/write devices, card fulfillment, transaction processing and related backroom support services.
Under the terms outlined in the Letter of Intent, LinkOpp anticipates purchasing up to 1.5 million Smart Cards from Pathways, which will be issued to the LinkOpp membership as part of the initial rollout during 1st Quarter, 1999. These cards will be programmed with Pathways’ proprietary multi-purse technology and work in conjunction with a variety of Pathways’ merchant terminals. These solutions also include home user and eTeller(TM) software, which will be used by LinkOpp along with other offerings to their membership. The initial rollout is projected to include a large mix of Smart Card and Magnetic-Stripe Card compliant hybrid merchant terminals and several other PC compliant Smart Card read/write devices including PCMCIA technology and keyboards. It is anticipated that Pathways will also be providing other services to LinkOpp from their suite of transaction processing services. These services include credit and debit card adjudication, national “on-line” and telephone technical support as well as detailed management, member, and merchant tracking and reporting of transactions, which have occurred.
LinkOpp management seeks to issue an additional 10 million cards over the next eighteen months, with extensive expansion of the features to be offered to their members both with the Smart Card technology as well as providing other electronic retailing benefits.
Pathways anticipates adapting their Smart Card technology to work within the LinkOpp paradigm, giving LinkOpp the advantage of Pathways’ proven Smart Card technology as well as Pathways’ years of experience in the electronic transaction arena.
LinkOpp’s membership base, as well as their aggressive marketing plan, projects placing LinkOpp and Pathways at the forefront of electronic commerce on the Internet. LinkOpp and Pathways are believed to be the first cooperating companies to introduce Smart Card transaction processing, with affinity benefits, which will provide discounts and loyalty awards both in the LinkOpp retail merchant setting as well as those subscribing merchants who are part of the LinkOpp network of Internet merchants.
Carey Daly, president and CEO of Pathways said, “We are very pleased to be adapting our secure technology to the fast paced marketplace of Internet e-Commerce. Our proprietary Smart Card technology and our established electronic transaction processing abilities will guarantee a quick, efficient and successful rollout of this venture. By partnering with LinkOpp, we benefit from their knowledge and experience in Internet e-Commerce. This enhancement to our skill set will position Pathways as the premier Smart Card solution provider and processor in the country. LinkOpp will likewise benefit from Pathways’ experience and gain themselves significant advantages in both market timing and positioning.”
LinkOpp, a global Internet community, offers corporate web hosting, retailing, and membership based goods and services.
The Pathways Group, Inc. provides clients with innovative and unique solutions for securely creating, capturing and processing data and electronic transactions using custom application software and hardware systems. The company was established in 1987 by Carey Daly and has evolved into a leader in the development of custom software and hardware for electronic banking, data and transaction processing, and smart card applications. Pathways’ creation of proprietary “back room” systems allows for the capture and processing of data and transfer of funds via “ACH” protocol, the standard used in the banking industry for transfer of funds in retail, medical and institutional environments.Details