NCR sees WTO boost on mainland
technology.scmp.com
BIEN PEREZ
Optimistic: NCR's Albert Tsang says the entry of foreign banks and improvements in networking infrastructure will raise mainland demand for ATMs. Picture by Antony Dickson
Advances in networking infrastructure and banking deregulation pushed by the World Trade Organisation (WTO) will drive demand on the mainland for automated teller machines (ATMs).
"There are also certain political issues to consider, but those factors, we expect, will help boost demand for our products in China," said Albert Tsang, vice-president at NCR Greater China's financial solutions division. "We are now raising our production capacity in China in anticipation of increased demand on the mainland, in Hong Kong and the rest of the Asia-Pacific region."
With total investments worth US$29 million in a joint-venture ATM plant in Beijing with C&W Electronics (Group), NCR intends to increase the available number of ATMs for its major mainland customers, including Bank of China, Industrial and Commercial Bank of China, China Construction Bank, Agricultural Bank of China, Bank of Communications, Huaxia Bank and China Minsheng Bank.
"We are also supplying ATMs to postal banks, development banks and credit unions across the country," Mr Tsang said.
The NCR (Beijing) Financial Equipment System Co joint-venture plant caters for a market of 40,000 ATMs on the mainland, 42 per cent of which use NCR's ATMs. NCR's other ATM manufacturing plants are in Dundee, Scotland and Waterloo, Canada.
Mr Tsang said the entry of major foreign banks after the mainland's accession to WTO and improvements to networking infrastructure of large state-run banks would mean higher demand for ATMs in China because cash-based transactions were preferred. He said Cisco Systems was pursuing networking infrastructure projects with the four major commercial banks in China.
Improved network connections would enable ATMs to be put in more bank branches in the country.
Major networking equipment makers were expected to do well because the mainland's four major commercial banks alone have, on average, about 300,000 branches each, spread nationwide.
"That is why we expect to continue recording double-digit growth in ATM sales in Greater China," Mr Tsang said.
United States-based NCR has a 90 per cent share of the ATM market in Hong Kong.
The company also is the leading ATM supplier worldwide, with a 30 per cent market share.
It claims about 40 million cash transactions daily are supported by NCR-brand ATMs around the world. Depending on their configuration, the firm's ATMs cost between US$30,000 and US$50,000 each, Mr Tsang said.
Diebold, of Ohio, and Tidel Technologies, of Texas, are the other top makers of ATMs.
These two companies dominate the US market in ATM sales.
From next month, all NCR Personas ATMs would feature private audio capability as standard. This feature provided ATM access to individuals with sight disabilities or literacy difficulties through voice cues instead of screens, Mr Tsang said.
NCR also has developed the Freedom-brand concept ATM, which is operated through hand-held wireless devices.
"We are continuously reviewing the latest technology to find the most innovative and effective services for our customers," Mr Tsang said. |
