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JV aims to address China's 'conspicuous gap' in ATM service

In China, something as simple as a stuck card can take an ATM down for a week, an issue that Minsheng Bank and ATM Japan aim to address.

August 31, 2015

ATM Japan, a Tokyo-based ATM service provider, and China Minsheng Bank have announced plans to launch a joint venture in November to monitor and service ATMs in the Chinese market.

The team-up responds to "a conspicuous gap" in ATM monitoring and maintenance services in China, according to a report by Nikkei Asian Review.

The report said that in the underserved Chinese market, an ATM might go offline for as long as a week due to a problem as mundane as a stuck ATM card or a jammed bill dispenser.

The current plan is for ATM Japan to begin monitoring China Minsheng Bank's 12,500 ATMs in 2016, and to begin operating ATMs in 2017 with China Minsheng and other banks that opt to join the venture. Ultimately, the partners hope to achieve same day service for ATMs in the Chinese market.

ATM Japan will provide 40 percent of the funding needed to start up the joint venture, while Minsheng will contribute 60 percent, according to the report.