Gemalto, the digital security company and payment card supplier, announced news on Wednesday (Feb. 7) that it is joining forces with Entrust Datacard, a provider of identity and secure transaction technology solutions, to provide a Software-as-a-Service (SaaS)-based instant issuance solution for U.S. financial institutions.
In a press release, the companies said that instant issuance began to make its mark in 2006 and has now become important for financial institutions to integrate into their portfolio. Gemalto highlighted research from market research firm Aite Group, which said that from 2017 to 2021, the number of financial firms in the U.S. to implement instant issuance will increase to 5,483 from 3,312 — a 55 percent increase in the adoption rate of financial companies.
“The ability to instantly issue a card in a branch was a luxury in the past, but as more and more issuers implement this capability, it is slowly moving from a nice-to-have to a must-have,” said Aite Group’s Tiffani Montez in the press release.
According to Gemalto, under the deal, Entrust Datacard’s instant issuance solution will be integrated with Gemalto’s SaaS platform to lower the barriers of entry for financial institutions of any size. With the solution, the wait for a new card is nearly eliminated. Gemalto noted that cards instantly issued at bank branches increase activation rates by 82 percent and usage rates by 32 percent. Additionally, Entrust Datacard’s printers are installed on site at the branch. EMV cards that can be personalized and printed on demand are then possible. The issuance software is hosted remotely by Gemalto’s cloud-based SaaS infrastructure.
“With both Gemalto and Entrust Datacard’s strong experience in the banking and payment industry, we’ve been able to apply that expertise to bring instant issuance to market,” said Paul Kobos, SVP Banking and Payments, North America, Gemalto, in the press release. “The SaaS aspect really sets the solution apart from others in the field, and financial institutions of all sizes will be able to reap the benefits.”