years. E-Global is the biggest acquirer in the country and is jointly owned by Banomex and Bancomer. With some justification, Lomax argued that Alaric was probably now the market leader in Mexico. Card issuer, Cal Israel, selected Alaric’s platform in 2010. Cal is owned by Israel Discount Bank (71.8 per cent) and First International Bank of Israel (28.2 per cent) and markets Visa, MasterCard and Diners credit cards. The company provides a wide range of issuing and acquiring services, and payments solutions, across 1.55 million cards and 55,000 businesses. The institution had a 15 year-old legacy system running on DEC VAX. This was limiting the business and there was an ever more arduous task to adapt the system for new regulations. Cal was also struggling to handle increasing volumes and felt there was only limited support for complex business rules. Apparently, more than 20 vendors were considered during the selection, with this reduced through an RFI and RFP process. The deal was for Authentic and Fractals, with Oracle part of the bid. Fractals had been deployed as a first phase for training purposes by the end of 2010 and was due to go fully live shortly. Cal had been using Fico’s Falcon system for fraud detection for around ten years. It only covered the issuing side whereas Fractals would span issuing and acquiring. Falcon was also deemed to be a ‘black box’ with high dependency on the vendor, said Alaric’s head of business development for EMEA, Steve Whiting. Another interesting user is SITA, the airline network
provider, which took Authentic in 2008 as a payments hub. SITA was particularly looking for a Java-based system with strong routing functionality, apparently. The system handles transaction switching, routing, session management and store/forward, and connection to 180 airlines and 19 PSPs, plus Visa, MasterCard and Amex. It is linked via the Oracle Service Bus to consuming applications, such as ticketing and reservation systems. One of the first two customers for Authentic, Cornèr Banca, in Switzerland, needed to be flexible and innovative to compete with UBS and Credit Suisse. A private bank, it is a credit and debit card issuer for Visa and MasterCard. As mentioned, it replaced the old UM20 system and runs a single instance of Authentic across a hybrid Sun and HP configuration. The system handles transaction switching and routing, connectivity to Visa, MasterCard and Payserv, and stand-in authorisation. It has been first in Switzerland with a number of innovations, including for contactless EMV cards and Visa prepaid, and now has more than 800,000 cards. A deal for Authentic and Fractals in late 2011 was with
Greece-based payment processor newcomer, Innovative Solutions and Services Limited (INSS). INSS was set up in September 2011 by a number of payment industry professionals, mostly from First Data Hellas, which had been formed in 2005 with First Data’s acquisition of Greece’s main payment processor. First Data Hellas was an Alaric customer, so the INSS founders already knew the supplier, said INSS
50
business development manager, Giannis Garifallakis (he had the same role at First Data). Nevertheless, it looked at other platforms before opting to go with Alaric. INSS was seeking a solution that was easy to implement, change and maintain, said Garifallakis. The crisis in Greece made for an interesting environment in which to launch a new company but INSS felt it offered opportunities as well as challenges. In part, it is targeting First Data Hellas, which has a large market share. ‘We think there is an opportunity to come and take some of this market,’ said Garifallakis. A smaller company with a newer system could have a competitive solution, in terms of cost and ease of supporting new services, he felt. In addition, a lot of banks had in-house systems and two RFPs that INSS was responding to in May 2012 were from banks looking to move to outsourcing, as they sought to benefit from economies of scale and reduced costs. As well as payment processing, INSS was seeking to offer
a range of other services, including mobile payments and offerings for billing and printing, for which it had gained initial customers in its first six months or so of operation. However, for the core payment processing, it took longer to bring this to market, said Garifallakis, with the company needing to gain ISO 9001 certification, and MasterCard and Visa PCI certification, with this process mostly completed by May 2012. INSS was targeting not only Greece but also Turkey and the Middle East.
The first quarter of 2013 saw a first Indonesian gain for Authentic as well as a first successful joint bid for Alaric and local IT services provider, Mitra Integrasi Informatika (MII). This came at ‘the Indonesian arm of a large international bank headquartered in the Netherlands’. This was believed to be Rabobank’s Indonesian subsidiary, although Alaric declined to comment on the name. Rabobank Indonesia was also in the process of implementing Temenos’ T24 system as it looked to overhaul its IT infrastructure. Alaric responded to an RFP issued by the bank, and is understood to have fended off competition from other international vendors, including Clear2Pay, for the contract. The Authentic platform would cover debit card services at the bank, such as routing payments to other card schemes and the national switch, as well as authorisation capability for debit card transactions. Cutover from the bank’s legacy payments structure was scheduled for completion mid-way through 2013. After the breakthrough in Indonesia, Alaric did the same in the Philippines, with China Bank taking Authentic. There was a proof of concept study as part of the selection and the implementation has run alongside that of Infosys’ Finacle core banking system. Alaric now has a local partner on board, Channel Solutions. A provisional go-live was set for Q1 2014, although this would be largely driven by the core banking system project. BSP – the Central Bank of the Philippines – had mandated that all banks must be Europay, Mastercard and Visa (EMV) compliant by 2017, so ‘banks have started looking
Payment Systems & Suppliers Report |
www.ibsintelligence.com
Page 1 |
Page 2 |
Page 3 |
Page 4 |
Page 5 |
Page 6 |
Page 7 |
Page 8 |
Page 9 |
Page 10 |
Page 11 |
Page 12 |
Page 13 |
Page 14 |
Page 15 |
Page 16 |
Page 17 |
Page 18 |
Page 19 |
Page 20 |
Page 21 |
Page 22 |
Page 23 |
Page 24 |
Page 25 |
Page 26 |
Page 27 |
Page 28 |
Page 29 |
Page 30 |
Page 31 |
Page 32 |
Page 33 |
Page 34 |
Page 35 |
Page 36 |
Page 37 |
Page 38 |
Page 39 |
Page 40 |
Page 41 |
Page 42 |
Page 43 |
Page 44 |
Page 45 |
Page 46 |
Page 47 |
Page 48 |
Page 49 |
Page 50 |
Page 51 |
Page 52 |
Page 53 |
Page 54 |
Page 55 |
Page 56 |
Page 57 |
Page 58 |
Page 59 |
Page 60 |
Page 61 |
Page 62 |
Page 63 |
Page 64 |
Page 65 |
Page 66 |
Page 67 |
Page 68 |
Page 69 |
Page 70 |
Page 71 |
Page 72 |
Page 73 |
Page 74 |
Page 75 |
Page 76 |
Page 77 |
Page 78 |
Page 79 |
Page 80 |
Page 81 |
Page 82 |
Page 83 |
Page 84 |
Page 85 |
Page 86 |
Page 87 |
Page 88 |
Page 89 |
Page 90 |
Page 91 |
Page 92 |
Page 93 |
Page 94 |
Page 95 |
Page 96 |
Page 97 |
Page 98 |
Page 99 |
Page 100 |
Page 101 |
Page 102 |
Page 103 |
Page 104 |
Page 105 |
Page 106 |
Page 107 |
Page 108 |
Page 109 |
Page 110 |
Page 111 |
Page 112 |
Page 113 |
Page 114 |
Page 115 |
Page 116 |
Page 117 |
Page 118 |
Page 119 |
Page 120 |
Page 121 |
Page 122 |
Page 123 |
Page 124 |
Page 125 |
Page 126 |
Page 127 |
Page 128 |
Page 129 |
Page 130 |
Page 131 |
Page 132 |
Page 133 |
Page 134 |
Page 135 |
Page 136 |
Page 137 |
Page 138 |
Page 139 |
Page 140 |
Page 141 |
Page 142 |
Page 143 |
Page 144 |
Page 145 |
Page 146 |
Page 147 |
Page 148 |
Page 149 |
Page 150 |
Page 151 |
Page 152 |
Page 153 |
Page 154 |
Page 155 |
Page 156 |
Page 157 |
Page 158 |
Page 159 |
Page 160 |
Page 161 |
Page 162 |
Page 163 |
Page 164 |
Page 165 |
Page 166 |
Page 167 |
Page 168 |
Page 169 |
Page 170 |
Page 171 |
Page 172 |
Page 173 |
Page 174 |
Page 175 |
Page 176 |
Page 177 |
Page 178 |
Page 179 |
Page 180 |
Page 181 |
Page 182 |
Page 183 |
Page 184 |
Page 185 |
Page 186 |
Page 187 |
Page 188 |
Page 189 |
Page 190 |
Page 191 |
Page 192 |
Page 193 |
Page 194 |
Page 195 |
Page 196 |
Page 197 |
Page 198 |
Page 199 |
Page 200 |
Page 201 |
Page 202 |
Page 203 |
Page 204 |
Page 205 |
Page 206 |
Page 207 |
Page 208 |
Page 209 |
Page 210 |
Page 211 |
Page 212 |
Page 213 |
Page 214 |
Page 215 |
Page 216 |
Page 217 |
Page 218 |
Page 219 |
Page 220 |
Page 221 |
Page 222 |
Page 223 |
Page 224 |
Page 225 |
Page 226 |
Page 227 |
Page 228 |
Page 229 |
Page 230 |
Page 231 |
Page 232 |
Page 233 |
Page 234 |
Page 235 |
Page 236 |
Page 237 |
Page 238 |
Page 239 |
Page 240 |
Page 241 |
Page 242 |
Page 243 |
Page 244 |
Page 245 |
Page 246 |
Page 247 |
Page 248 |
Page 249 |
Page 250 |
Page 251 |
Page 252 |
Page 253 |
Page 254 |
Page 255 |
Page 256 |
Page 257 |
Page 258 |
Page 259 |
Page 260 |
Page 261 |
Page 262 |
Page 263 |
Page 264 |
Page 265 |
Page 266 |
Page 267 |
Page 268 |
Page 269 |
Page 270 |
Page 271 |
Page 272 |
Page 273 |
Page 274 |
Page 275 |
Page 276 |
Page 277 |
Page 278 |
Page 279 |
Page 280 |
Page 281 |
Page 282 |
Page 283 |
Page 284 |
Page 285 |
Page 286 |
Page 287 |
Page 288 |
Page 289 |
Page 290 |
Page 291 |
Page 292 |
Page 293
