Hey Gary, did you see this release on an oldie, but a goodie. I'm kicking myself for not getting in when it was at 3 and change! This is a coup for VDSI...they beat out SDTI on this deal.
Tuesday January 19, 8:02 am Eastern Time
Company Press Release
SOURCE: VASCO Data Security International, Inc.
First Union Chooses VASCO's Digipass(TM) Security Tokens for Secure Internet and PC Cash Management Services
Sixth Largest U.S. Bank Rolls Out Digipass Tokens to Thousands of Corporate Customers; Expects 300% Increase in Digipass Users in 1999
OAKBROOK TERRACE, Ill. and BRUSSELS, Belgium, Jan. 19 /PRNewswire/ --
VASCO Data Security International, Inc. (OTC Bulletin Board: VDSI - news), a leading provider of information security solutions worldwide, announced today that First Union Corporation (NYSE: FTU - news), the sixth largest bank holding company in the United States, will secure its Internet and PC Global Cash Management services with VASCO Data Security's Digipass 300 authentication token.
Located in Charlotte, N.C., First Union's assets exceed $234 billion, and is the third largest cash management provider in the U.S. First Union chose VASCO Data Security's solution in large part due to VASCO's proven experience in secure remote banking. With more than 2.6 million of its patented Digipass tokens in use in over 130 banks and 45 countries, VASCO Data Security is the #1 provider of authentication tokens to the banking industry, and #2 for all secure remote applications worldwide.
After a thorough testing and evaluation period, First Union is now at full implementation of the Digipass 300 security solution for its information reporting and transaction initiation service, called PC InVision for Windows. Thousands of corporate customers are now using Digipass 300 tokens for the PC InVision application, and First Union expects a 300% increase in those users in 1999 as First Union rolls out new electronic banking services. PC InVision customers can now securely conduct high-risk transactions, such as Automated Clearing House (ACH) and wire transfers, right from their computers. Because of its success using VASCO Data Security's solution, First Union will also implement Digipass 300 tokens for its rollout of WEBInVision, PC InVision's Internet-based counterpart.
Randall York, Assistant Vice President for First Union, said they selected the VASCO Data Security solution over that of other leading security vendors for its affordability, ease of use, reliability, ease of management, innovative technology, and branding opportunities. As an example, First Union had wanted at least a 95% first-try success rate for customers logging in with the Digipass 300's one-time password. VASCO Data Security passed that mark in the first trial, and the first-try success rate now stands at greater than 99.5%. In addition, each PC InVision and WEBInVision token features the First Union logo, putting the bank's image in front of thousands of its corporate customers every day.
''Overall, VASCO Data Security's secure electronic commerce solution was a clear winner,'' explained York. ''Their Digipass token was ideally suited for our business and technology needs. In addition, VASCO's experience providing Internet and PC-based data and transactional security to hundreds of banks showed at every step, as did their commitment to providing a solution that met the needs of First Union and our customers. When they demonstrated how we could easily manage thousands of tokens, based on their experience with other large banks that have hundreds of thousands of Digipass tokens in use, we knew we'd found our solution.''
First Union Demanded Technology that Supported Strategic Business Goals
Driving the decision to go with VASCO Data Security was First Union's recognition that higher security would actually help expand market share for the bank, while building loyalty with existing and profitable customers. ''Our corporate customers want convenience as much as anyone,'' observed York. ''Once you've solved the security issue to everyone's satisfaction, you open the doors to providing a full range of services and true 'anytime anywhere' banking. Our customers can make secure wire transfers and ACH transactions without leaving their desks. That's a powerful selling point for us.''
Octavio Marenzi, research director for financial technology analysts Meridien Research in Newton, Mass., said the marketplace is supporting First Union's approach. He noted that most financial institutions have been content to rely on more vulnerable approaches to security for electronic delivery of financial products -- usually consisting of nothing more than a User ID and static password.
''Such vulnerable security does little to inspire confidence amongst either users or within the financial institution itself,'' he pointed out. ''It has also contributed to relatively low adoption rates of Internet-based delivery of financial products. Leading organizations are going well beyond this simplistic approach to better manage the risk of fraudulent transactions using existing one-time password and digital signature technology. This not only significantly reduces risk, but also encourages customers to conduct far more of their business electronically.''
What lies ahead for First Union? They are relying on SecureIT -- a VeriSign company and VASCO Advantage Reseller -- for onsite service and support of the Digipass 300 solution. As experts in Internet and enterprise security solutions, as well as in the implementation of Public Key Infrastructure (PKI) technology, SecureIT is also working with First Union to develop a PKI structure that supports the bank's current and future needs. ''We're pleased to be a part of the team helping First Union prosper and grow through business-focused technology,'' said Jay Johnson, Managing Partner of SecureIT. ''We feel that all three organizations will continue to benefit from this winning relationship.''
T. Kendall Hunt, Chairman and CEO of VASCO Data Security, concurred with this assessment, adding that, ''to me it speaks volumes that a company of First Union's stature would choose us over so many other competing companies and technologies. It reinforces the fact that our solutions fit the real-world business needs of banks today, and that we are successfully applying our expertise with European banks to the U.S. market. We look forward to a long, growing, and mutually beneficial partnership with First Union.''
About VASCO Data Security
VASCO Data Security, a U.S. corporation, offers advanced yet easy-to-use information security solutions that help businesses become more productive, obtain a competitive advantage, and achieve key strategic objectives. From providing strong authentication technology in the form of tokens, smart cards, and biometric technology, to integrated authentication, access control, accounting and auditing, VASCO Data Security is at the forefront of protecting critical information assets.
Since 1984, VASCO Data Security has become a leading provider of authentication tokens in the world, with more than 2.6 million in use. Its patented Digipass family of tokens offers both simplicity of use and proven applications for secure remote access, corporate network security and Internet banking. The company's hundreds of worldwide customers and strategic partners, including banks, government agencies, and leading technology companies, are drawing on VASCO Data Security's tools to create entirely new business solutions virtually every day.
Headquartered in Oakbrook Terrace, Ill., VASCO Data Security's foreign and domestic subsidiaries include VASCO Data Security, Inc. of Oakbrook Terrace, Ill. and VASCO Data Security nv/sa of Brussels, Belgium. Additional information is available by calling 800-238-2726, or by visiting www.vasco.com on the World Wide Web.
|
