Hitachi-Omron Terminal Solutions wins ATM operation contract from Thai national bank
BANGKOK, NNA - Automated bank teller machine (ATM) maker Hitachi-Omron Terminal Solutions Corp. has won a contract from Thailand’s state-backed Government Savings Bank for operating and maintaining ATM networks, the first such a comprehensive task for Thai lenders to outsource.
Under the five-year contract for an undisclosed sum, Hitachi Terminal Solutions (Thailand) Co., a local arm of Hitachi-Omron Terminal Solutions, will manage 2,900 ATMs at the Thai bank, which will own about 8,000 units in total.
The Japanese vendor -- in partnership with Hitachi Payment Services Pvt. Ltd., Hitachi Ltd.’s Indian unit to provide ATM monitoring system -- will be responsible for asset provision, operations, monitoring and maintenance of those ATMs for GSB. The outsourcing contract will allow the bank to reduce ATM operational costs.
Platt Nera International Ltd., a Hong Kong-listed software and information technology service provider in Thailand, also has teamed up with the Japanese group for the deal as a local sales agency.
“The operation and management costs of ATMs are a large technical and financial burden for financial institutions. Therefore, banks are focused on finding alternative methods to manage their assets, reduce their costs and enable them to focus on their core banking business,” Hitachi-Omron Terminal Solution said in a statement on Monday.
Hitachi-Omron Terminal Solutions is a joint venture, where electronics-to-infrastructure conglomerate Hitachi holds a 55-percent stake and Japanese electrical equipment maker Omron Corp. owns the remaining 45 percent, which secures about a 40-percent market share in Japan, a spokeswoman told NNA on Friday.
In Thailand, more than 60,000 ATMs are currently in operation, the second-largest number among Southeast Asian nations, following over 100,000 units in Indonesia.
Hitachi-Omron Terminal Solutions, which also provides similar ATM operation services in Indonesia, will seek to expand such a business in that country and Thailand, the spokeswoman added.