Itautec seizes opportunity to serve U.S. credit unions, community banks
Feb. 15, 2011
Brazilian ATM and kiosk manufacturer Itautec America Inc. this morning announced that it is making a full-scale push into the U.S. ATM market after determining that Americans with Disabilities Act (ADA) requirements have opened the door to new sales opportunities.
Itautec America will sell a wide-range of Adattis ATMs, cash dispensers and kiosks to serve credit unions and community banks that must meet ADA requirements in the next year. But an analyst said the company faces stiff competition in the two markets from ATM manufacturers already serving credit unions and community banks.
Adattis ATMs can be tailored to meet all 2010 Americans with Disabilities Act requirements, which every U.S. financial institution must address over the next year, said Marcio Weltman Dvorkin, general manager of Itautec America, which is based on Doral, Fla. Dvorkin will lead coast-to-coast sales efforts in the United States.
“After more than 30 years of work in Brazil and, ultimately throughout South America, Latin America, Europe, Asia, Australia and Africa, the timing is ideal for Itautec to enter the U.S. market. The U.S. fleet is aging—so financial institutions are seeking new, multifunction ATMs,” Dvorkin said. “There currently are 420,000 ATMs across America and many are past their prime. And by March 15, 2012, all must have voice guidance, Braille instruction labels, and keyboard and height standards along with other ADA requirements.”
Itautec faces a difficult challenge breaking into the community bank and credit union markets, said Gil Luria, senior vice president of Equity Research and Financial Technology at Wedbush Securities in Los Angeles.
“Community banks and credit unions are a great market, but Itautec needs to stand in line behind the many other entrants into this market – most importantly Wincor, GRG and Nautilus. And I think all of these entrants will have a hard time competing given how entrenched Diebold and NCR are in this market based on their large services footprint," Luria said.
Itautec announced in July that it planned to enter the U.S. market on a much larger scale than it previously had, but Dvorkin was tight-lipped about its initiative because he said the manufacturer was still laying the groundwork by meeting U.S. financial institutions.
Itautec will display its full range of ATMs and kiosks at the ATM Industry Association conference Feb. 22 to Feb. 25 at the Doral Resort and Spa in Miami.
Although this is Itautec’s first full-scale entry into the U.S. market, the Sao Paulo, Brazil-based Itautec S.A., a $1 billion electronics equipment manufacturer, has displayed some of its products at various conferences for several years to learn more about the U.S. market. In 2008, Itautec shipped 10 ATMs in the United States and 6,000 worldwide.
Cash Dispenser / Recycler / Acceptor
Installation / Deployment
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