Company
News
EDS Expands ATM Strategy In Move With American
Express
Electronic Business Unit Plans More Innovative Uses Of Teller Machines
PLANO, Texas (Dec. 16) - EDS, one of the world’s largest ATM
processors, is expanding its leadership in the highly-competitive ATM marketplace,
announcing plans to sell 2,000 retail-based automated teller machines to American Express
Company. EDS, through its Electronic Business Unit, is focusing efforts in 1999 on
providing increased management and processing services to its ATM clients and enhancing
the technology capabilities of the ATM.
EDS continues to own more than 4,000 ATMs around the country and operates more than
14,000 machines that process more than one billion transactions per year.
EDS will continue to operate all ATMs involved in the sale, as well as provide American
Express with comprehensive retail services including all vendor and retailer management,
cash management, maintenance, cash replenishment and information management.
"We expect the American Express relationship to grow as American Express continues
to make additional acquisitions and installs ATMs in new retail locations," says Paul
Rudolph, president of the Electronic Business unit at EDS. "EDS will be working with
American Express as it continues to use the ATM to further merchant and cardholder
relationships. This also gives us a terrific opportunity to further expand our
technological lead and innovations in the marketplace."
EDS will continue to develop new products and services, like its video advertising to
ATMs for American Express. EDS is already managing ATMs with innovative cardless
technology and satellite delivery of products, with future enhancements planned. And EDS
will continue to seek lucrative management contracts with other high-profile retail
clients. Two long-term retail ATM management services have already been signed this year.
"EDS is reshaping its network of 14,000 ATMs to yield higher returns and give its
clients enhanced technological capabilities to serve their customers," says Richard
Bove, an analyst with Raymond James & Associates. "The ATM gets a technology
boost, clients gets a service boost, EDS gets a revenue boost. It’s a solid strategy
that plays to the strength of the corporation."
The new EDS agreement extends a business relationship that EDS Electronic Business
forged with American Express in 1997. EDS has installed and provided complete driving,
transaction processing and settlement services for more than 80 American Express-owned
ATMs located at major U.S. airports, rental car offices, and restaurants.
EDS, as the market leader in ATMs, has developed specialized software for
industry-specific uses. EDS is currently working with clients in the banking, securities,
retail sales and health care industries to increase the flow and efficiencies of
transactions over their ATM networks.
The Electronic Business unit of EDS is focused on migrating clients to a rapidly
expanding global digital economy. Electronic Business also helps these clients transform
their business processes to take full advantage of this opportunity. This organization
integrates an array of technologies to enable business-to-business and
business-to-consumer commerce. Service offerings range from digital supply chain
management to legacy transformation services. More information is available at http://www.eds.com/eb.
EDS, the official information services provider for World Cup 1998, is a leader in the
global information services industry. The company’s more than 110,000 employees
specialize in applying a range of ideas and technologies to help business and government
customers improve their economics, products, services and relationships. EDS, which serves
customers in 44 countries, reported revenues of $15.2 billion in 1997. The company’s
stock is traded on the New York Stock Exchange and the London Stock Exchange. EDS can be
visited via the Internet at http://www.eds.com.
|
