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                                                                            CASE STUDY

                                                                            BancNet reaches out to more banks via ATM Outsourcing
                                                                            secured by SafeNet

Customer Profile
BancNet has always been a prime mover of electronic banking in the Philippines. It was the first automated teller machine (ATM) consortium
established in the country, and, currently, the largest, with a total membership of 60 banks and a cardholder base of 8.4 million. BancNet was the
first to implement the network technology that allows multi-bank and multi-channel electronic payments, which, today, continues to empower
Filipinos with the convenience and flexibility to conduct transactions not only at any ATM anywhere, anytime, but also at point-of-sale (POS)
terminals, on the Internet, and with mobile phones.

Business Challenge
Thinking of ways to sustain its market leadership and further share         interface it to other switches, such as China Union Pay, JCB, Diners
its strengths with the local banking community, BancNet turned to           Club, Visa and MasterCard globally, and ExpressNet and Megalink
offering ATM operations outsourcing to give its clients the leeway to       locally.
focus more on their respective core businesses. The service is also
                                                                            ATM switch hosting and related functions involve a gamut of
aligned with BancNet’s thrust to reach out to more banks, including
                                                                            applications that require a high-performing hardware security module
thrift and rural banks, so people in the countryside can enjoy the
                                                                            (HSM), capable of ensuring the utmost data security, cryptographic
benefits of modern banking.
                                                                            processing, and key management during interbank transactions.
Understanding the complex processes and high costs involved in              Given BancNet’s extensive client and cardholder base, it also needs
starting and managing an ATM network, BancNet provides banks with           a reliable, foolproof security device to safeguard the data and
a more convenient option through its outsourcing services. BancNet          processes within the hardware.
has the capability to perform a wide range of functions, such as ATM
                                                                            When its existing security solutions provider indicated confidence
switch hosting, card management, and ATM driving, on behalf of its
                                                                            in delivering the project requirements, but with very high cost
clients. Utilizing a multi-institution ATM switch, it can issue a bank’s
                                                                            implications, BancNet opted to search the market for a new and
ATM cards, drive its ATMs, connect to its authorizer for approval, and
                                                                            dependable partner, adept at meeting the critical security demands
                                                                            of its outsourcing venture.

BancNet Case Study                                                                                                                              1
The Solution                                                                              Benefits
BancNet found exactly what it needed in SafeNet’s portfolio                               With the ease of deployment and implementation of the Luna EFT,
of superb information security solutions. It chose SafeNet’s                              BancNet was able to fast-track its outsourcing business with an
Luna EFT, an optimized security solution for ATM switch hosting                           absolutely safe and sound ATM solution. Six middle-tier banks have
and ATM driving. “The most attractive feature of this module is                           signed outsourcing agreements to tap into BancNet’s innovative and
that it enables us to secure all the transactions of our member                           highly secure hosting services. Most of these new clients are thrift
banks,” said BancNet’s Outsourcing Services head, Cecill Irigo.                           and rural banks that reach out to the financial needs of Filipinos not
“This substantially decreases our costs and lets us leverage on                           only in Metropolitan areas but in rural areas as well.
economies of scale. Concomitantly, we are able to offer our hosting                       With SafeNet securing its outsourcing facility, BancNet has
service at a competitive price. Luna EFT provides good value for the                      successfully broadened its reach, providing more value-laden services
investment as it also guarantees superior security architecture that                      to its member banks and their customers. In the process, it has also
competently addresses the needs and demands of our outsourcing                            heightened its ability to contribute to countryside development.
                                                                                          Having SafeNet as a partner, BancNet is more confident of keeping its
Luna EFT fends off potential adversaries by securing the integrity                        industry leadership and looks forward to more service innovations.
of data at rest, in use, and in transit from network to network, from
the point of transaction to BancNet’s system, to its clients’ systems                     About SafeNet
and back again. It facilitates protection of cryptographic keys, the                      Founded in 1983, SafeNet is a global leader in information security.
process of encryption and decryption, and payment transactions, as                        SafeNet protects its customers’ most valuable assets, including
well as card and PIN issuance and verification.                                            identities, transactions, communications, data, and software
According to Ms. Irigo, “Setting up and operating the module was                          licensing, throughout the data lifecycle. More than 25,000 customers
a breeze for our IT team, as the module features an easy-to-use                           across both commercial enterprises and government agencies, and in
graphic user interface management console that makes installation                         over 100 countries, trust their information security needs to SafeNet.
and configuration quick and almost effortless.” She elaborated that                        For more information, please visit
Micro Resources International Inc. Philippines (MRI-Philippines),
SafeNet’s local partner, assisted in providing them with technical
support, thus they did not experience any hassle in integrating LUNA
EFT with its ATM switch system.

“SafeNet truly understands the needs of clients like BancNet, and
responds to them by addressing their mission-specific security
needs. Customers today require banking services to be innovative,
secure, and convenient. SafeNet helped BancNet fulfill these
requirements with ease, providing the confidence that every service
or transaction is well protected”, said Mr. Proceso Carlos, President
of MRI-Philippines, a leading supplier of products and services to
financial, banking, communication, and commercial industries.

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BancNet Case Study                                                                                                                                           2

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