Cubic to Expand Bank Card Acceptance in Public Transit Through Exclusive Licensing Agreement With ViVOtech
SAN DIEGO, CA -- 03/17/09 (AllPayNews.com) -- Cubic Transportation Systems, Inc., a subsidiary of San Diego-based Cubic Corporation (NYSE: CUB), and world-leading fare collection systems provider for public transportation, is providing new capabilities for the Cubic designed Tri-Reader® to enable an all-in-one reader that will process bank cards, prepaid cards and smart card-enabled mobile phones through an exclusive software development and licensing agreement with ViVOtech, the largest provider of point-of-sale (POS) readers for contactless and Near Field Communication (NFC) mobile phone payments.
With more than 50 million contactless bank cards issued in the U.S. and growing interest among transit operators to add bank card acceptance as a way to pay fares for train and bus rides, this enhanced feature set will add a new level of convenience for those passengers carrying such products. Transit patrons will have the ability to tap a variety of products from various issuing groups as they board trains and busses.
Under the agreement, Cubic will integrate ViVOtech's contactless payment software into the latest generation Tri-Reader® platforms and will obtain type certification for MasterCard Paypass, Visa PayWave, American Express, and Discover cards, which will enable contactless bank card acceptance at Cubic fare collection devices for public transit.
With the new software, the Tri-Reader, a very secure, ISO 14443 Type A- and Type B-compliant smart card processor, will provide a single reader that will seamlessly accept contactless bank cards, innovative new prepaid products like the First Data® GO-Tag(TM) solution, and emerging Near Field Communications (NFC) mobile phone technology, as well as currently issued transit cards and those conforming to national transit standards.
Cubic is the world's largest supplier of integrated fare systems for public transportation and has installed more than 60,000 Tri-Readers across 17 major markets around the world. Major fare programs such as London's Oyster® card system, Washington's SmarTrip® system, and New York/New Jersey's SmartLink® system are all supported by Tri-Reader technology.
ViVOtech's readers and software are used by more than 70 percent of merchants that accept contactless bank cards. As part of overseeing the Tri-Reader certification for bank card processing, ViVOtech will also maintain the certifications as network regulations and operating rules evolve.
"Cubic's commitment to providing open standards and interoperability for the transit market is furthered by this agreement," said Steve Shewmaker, president, Cubic Transportation Systems. "It also represents the cross-industry collaboration that is needed between the core suppliers to the transit market and those serving the electronic payments industry."
"This agreement brings two industry leaders together to the benefit of transit providers and patrons -- by leveraging ViVOtech's market leading contactless bank card and NFC mobile phone payment acceptance solutions into its fare collection platform, Cubic is demonstrating its responsiveness to the transit industry's requirements for greater patron convenience and choice in fare payment options," said Michael Mullagh, CEO of ViVOtech.
About Cubic Transportation Systems
Cubic Transportation Systems, one of Cubic Corporation's major segments, designs and manufactures automated fare collection systems for public mass transit authorities. The corporation's other major segment, Cubic Defense Applications (CDA), is a world leader in realistic combat training systems, mission support services and defense electronics. For more information about Cubic, see the company's website at www.cubic.com.
ViVOtech (www.vivotech.com) is the market leader in near field communication (NFC) mobile payments, promotions and Over-the-Air (OTA) provisioning infrastructure software, transaction management software, NFC smart posters, and contactless terminals. These innovative solutions allow millions of consumers to make contactless payments with radio frequency-enabled credit/debit cards, fobs and NFC mobile phones. ViVOtech's products are used by the most prominent retailers all over the globe and today the company has shipped over 470,000 contactless terminals to more than 35 countries worldwide. In 2009 ViVOtech received the prestigious Frost and Sullivan North American Smart cards Product Line Strategy of the Year Award. In 2008, ViVOtech was named #1 in ABI Research's Contactless & NFC Reader Ranking Report. ViVOtech was also recognized as Top Contactless Payment Technology Vendor in Aberdeen Group's "Retail Contactless Payment Report. ViVOtech's investors include Alloy Ventures, Citi, Draper Fischer Jurvetson, DFJ Gotham, First Data Corporation, Miven Ventures, Motorola Ventures, NCR, and Nokia Growth Partners."