Magazine article American Banker

Despite Rival's Publicity, Visa Has Two Dozen Pilots, Millions of Cards

Magazine article American Banker

Despite Rival's Publicity, Visa Has Two Dozen Pilots, Millions of Cards

Article excerpt

Though they may have been overshadowed by MasterCard's bold move to buy control of Mondex, Visa's smart card trials are more numerous and making waves of their own.

Even as it hitched its strategy to the Java Card standard, which poses a technical if not strategic challenge to the Mondex method of linking cards with the Internet, Visa International did not abandon Visa Cash, its flagship stored-value brand.

"We realize Visa Cash is only a first step," said Diana Knox, Visa U.S.A's manager for stored value and chip products. "The real interest of U.S. members is multifunctions and all the enhancements chip can bring to debit and credit cards."

Ms. Knox said stored value is "one of many applications members will choose to put on a card." With Java as a base, each financial institution will be able to customize, adding loyalty programs, personal information storage, and more.

But Java-based ideas are only beginning to take shape. Further along are 25 Visa Cash projects in various stages in 16 countries.

As of February, 15,000 terminals worldwide accepted Visa Cash, 3.7 million cards had been issued, and 1.9 million transactions completed, worth a total of $8.5 million. More than 60 financial institutions were participating in Visa Cash trials.

The first launch of Visa Cash, in May 1995, was in Australia, with five banks, 100,000 cards, and nearly 300 terminals.

That was a prelude to the biggest publicity splash to date, at the 1996 Summer Olympic Games in Atlanta. …

Search by... Author
Show... All Results Primary Sources Peer-reviewed

Oops!

An unknown error has occurred. Please click the button below to reload the page. If the problem persists, please try again in a little while.