Enabling IC chip-embedded payment (EMV-compatible) on ticket machinesRealization of IC card payment (EMV compatible) at ticket vending machines
~Embedded multi-payment terminals can even capture inbound demand~

GMO Financial Gate, Inc. (GMO-FG) a consolidated company of GMO Payment Gateway of the GMO Internet group and Ingenico Japan Co. Ltd. (Ingenico), the Japan-based company of France’s Ingenico Group, have co-developed the embedded multi-payment terminal “iUC280”, the second in the series of embedded-type payment terminals to address the unattended market (the generic name given to self-payment machines/kiosks). The iUC280 model will be embedded in the KC series credit card payment terminal manufactured by Shibaura Vending Machine Corporation (Shibaura Vending Machine), and have been installed primarily in facilities such as restaurants, relaxation facilities, and amusement facilities.

Ticket vending machines embedded with the multi-payment terminal iUC280 can read both magnetic strips and EMV-enabled^*1 IC chip credit cards, both contact and contactless. GMO-FG is a forerunner in the ticket vending machine industry in providing merchants with EMV-enabled payment terminals to the ticket vending machine industry. There are currently two stores where the Shibaura Vending Machine is operating and we expect to increase adoption to other merchants going forward.

*1 EMV is the common standard for IC chip-based credit cards, formulated jointly by the international card brands such as Visa and MasterCard. The acronym EMV comes from taking the first letters of M and V, and Europay International which operated the MasterCard brand in Europe at the time this standard was devised.

Since the Amendments to Installments Sales Act^*2came into effect on June 2018, merchants are required to tighten credit card security measures such as non-storage, protection of information and measures to prevent credit card fraud. For merchants of offline stores, it will be mandatory to use EMV-compliant payment terminals that accept IC chip credit cards.
However, while many offline merchants are adopting EMV-compliant systems, the bulk of the vending machines/kiosks in the unattended market significantly lag behind in adopting the new systems, such as ticket vending machines, coin laundry self-pay and self-pay coffee machines.

Given this backdrop, GMO-FG launched a series of embedded-type payment terminals addressing the unattended market since December 2017, and have currently rolled out embedded-type payment terminals geared to beverage vending machines and fare adjustment machines. The iUC280 model that was co-developed with Ingenico, is the second in the series which addresses the ticket vending machine industry to handle IC credit card payment. The first usage case of this co-developed iUC280-embedded ticket vending machine with Shibaura Vending Machine is at two restaurants in Tokyo.

*2 The Amendments to Installment Sales Act, that was enacted in June 2018, and ensures tighter measures against card information leakage and stipulates the non-storage of card information through the installation of IC chip card readers to prevent fraudulent use and counterfeiting.

Among credit card payments, the demand for contactless payment is rising particularly in the Western countries for its ease and speed. In London Tube, the use of Visa Touch and MasterCard Contactless is used in daily transport needs, and in Australia, 93% of Visa Card payments are made by contactless cards^*3.
The iUC280 not only can handle contact card but also contactless cards such as Visa Touch and MasterCard Contactless. By installing an EMV-enabled ticket vending machine embedded with iUC280, merchants can capture inbound tourists demand and the expected increase use for payment with an IC-chip contactless cards.
We also plan to make the iUC280 model, and the KC series embedded with it, compatible to the major e-money and points reward payment methods.
GMO-FG will continue to provide payment services that cater to all types of payments.

*3 VisaNet data from April to June 2018.

iUC280 is an embedded-type multi-payment terminal that can handle magnetic strips, contact IC chip cards and contactless cards, and ensures security by complying to the international safety standards set forth by EMV and PCI PTS.

The KC Series is a 27-inch vertical touch panel display-mounted vending machine for restaurants for various daily use, of which the KC-TX is equipped with video and audio features to cater to all user’s needs as well as a free layout format. The KC-BX ticket vending machine is a button-push type with a 7-inch LCD display with video and audio features. The KC-TX_IN and KC-BX_IN models are the credit card enabled ticket vending machines mounted with iUC280.