Hypercom Introduces Next Generation Network Technology for ISOs

IntelliNAC™ to Speed Billions of Transactions, Strengthen Security and Deliver Unprecedented Flexibility

ETA 2011 Annual Meeting & Expo

SAN DIEGO--()--ETA Annual Meeting & Exposition -- Hypercom Corporation (NYSE: HYC) today introduced IntelliNAC, a high-density, multifunction point-of-sale network access controller that speeds transactions for financial institutions, merchants and other entities whose businesses benefit from processing large volumes of payment transactions securely, and gives Independent Sales Organizations (ISOs) a unique selling point to offer to their merchant customers. IntelliNAC builds on Hypercom’s industry-leading secure networking technology that is considered the platinum standard for modern, high-performance transaction networks, routing billions of transactions daily for hundreds of financial institutions worldwide.

“Merchants frequently experience spikes in data transactions and face increasingly complex criminal attempts to hack their payment systems, all of which hurts profits and damages the brands of acquirers, ISOs, merchants and others,” said T.K. Cheung, Vice President of Global Quality and Security at Hypercom Corporation. “IntelliNAC’s advanced telecommunications capabilities integrated into a secure, high-density unit specifically designed for point-of-sale dial and IP communications deliver even more advanced security and transaction capacity than our current networking products.”

Unlike competing products, the IntelliNAC authenticates transactions via Public Key Infrastructure standards required for PCI-DSS compliance and does so in multiple secure zones, meaning that the public key or certificate is never exposed. IntelliNAC is also vendor agnostic; with the IntelliNAC as the backbone of their secure payment systems, ISOs can offer to merchants payment terminals from any manufacturer, any payment application and any networking technology.

Also unlike competitors’ products, IntelliNAC enables ISOs to grow their businesses and lower their total cost of ownership by employing one integrated product to consolidate secure transport of their entire product offering: debit, credit, gift and stored value cards, electronic benefits transfer, age verification, prepaid, check conversion, electronic signature capture and advertising, as well as transaction processing and terminal downloads. Additionally, the system provides real-time reporting of their daily operations and transactions volumes.

The IntelliNAC system enables acquirers and processors to control end-to-end transaction transport on their own, thus eliminating the need to employ multiple third-party vendors and allowing ISOs to deploy quickly and securely their terminals and services to the field. IntelliNAC’s standards-based design facilitates easy migration from legacy systems to IP, and rapid adoption of emerging technologies such as VoIP carrier systems in the future. The system’s expandable platform design protects customers’ investments against future growth in transaction volumes at significant scale. Hypercom also has plans to add mobile to cellular gateway support.

Futureproof Integration for the Most Demanding Network Environments

Hypercom's IntelliNAC concentrator utilizes an advanced, high-density Digital Signal Processor network interface module that supports a full family of analog boards supporting PSTN connection or T1, E1 boards supporting CAS and ISDN PRI trunks on a single card. As a result, a single 19-inch-wide chassis can support up to 16 digital trunk lines totaling 480 multispeed, multiprotocol modem or data ports. The chassis also supports TCP/IP network interface cards, allowing a user to mix and match dial and IP transactions within a single, common platform designed for flexibility.

In addition to the network access interfaces, the IntelliNAC system uses Secure Socket Layer to encrypt and transmit transactions virtually instantaneously. The high-density, multifunction network access controller supports an array of host connection options such as X.25, SNA or TCP/IP, plus Wide Area Network interfaces supporting use of IP VPN.

Other features include hot-swappable components and dual AC or DC power supplies, dynamic multiprotocol dial access software, powerful transaction routing and load balancing functions and protocol conversion. For IP networking users, IntelliNAC can directly connect to the Internet and provides firewall function to protect a corporate LAN.

The feature-rich IntelliView™ network management server system and associated applications for IntelliNAC provide all of the tools needed to manage high-volume point-of-sale/point-of-transaction networks in true client/server architecture. Specifically designed for transaction networks, these systems provide features for status monitoring and detailed reporting, configuration management, activity and performance statistics, alerts and alarms, transaction statistics and analysis, remote downloads and upgrades.

About Hypercom

Global payment technology leader Hypercom Corporation delivers a full suite of high security, end-to-end electronic payment products, software solutions and services. The Company's solutions address the high security electronic transaction needs of banks and other financial institutions, processors, large scale retailers, smaller merchants, quick service restaurants, and users in the transportation, petroleum, healthcare, prepaid, self-service and many other markets. Hypercom solutions enable businesses in more than 100 countries to securely expand their revenues and profits. Hypercom is a founding member of the Secure POS Vendor Alliance (SPVA) and is the second largest provider of electronic payment solutions and services in Western Europe and third largest provider globally.

Hypercom is a registered trademark of Hypercom Corporation. IntelliNAC and IntelliView are trademarks of Hypercom Corporation. All other products or services mentioned in this document are trademarks, service marks, registered trademarks or registered service marks of their respective owners.

This press release includes statements that may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding market acceptance of new products, product capability and performance, product competitiveness, product sales, revenues and profits and market share. These forward-looking statements are based on management's current expectations and beliefs and are subject to risks and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. In particular, factors that could cause actual results to differ materially from those in forward-looking statements include: industry, competitive and technological changes; the loss of, and failure to replace any significant customers; the composition, timing and size of orders from and shipments to major customers; the success of the launch of our next generation networking technology products and the related customer acceptance of said products; inventory obsolescence; market acceptance of new products and services; compliance with industry standards, certifications and government regulations; the performance of suppliers, contract manufacturers and subcontractors; risks associated with international operations and foreign currency fluctuations, the state of the U.S. and global economies in general, risks associated with the Company being merged with and into VeriFone Systems, Inc. as contemplated by a definitive merger agreement between the two companies, and other risks detailed in our filings with the Securities and Exchange Commission, including the Company's most recent 10-K, as amended, and subsequent 10-Qs and 8-Ks. Forward-looking statements speak only as of the date made and are not guarantees of future performance. We undertake no obligation to publicly update or revise any forward-looking statements. HYCP


Hypercom Corporation
Pete Schuddekopf, 480-642-5383

Release Summary

Hypercom Introduces Next Generation Network Technology for ISOs -- IntelliNAC™ to Speed Billions of Transactions, Strengthen Security and Deliver Unprecedented Flexibility


Hypercom Corporation
Pete Schuddekopf, 480-642-5383