1. Selling the MX Solution
Presented by Jeff Wakefield and Erik Vlugt

2. MX870 Introduction

3. The MX870 Opens New Doors! Check-out counter Banking
Quality of Consumer Facing Device makes a lasting impression
Communicate brand, advertising, information
Convey powerful messages with quality graphics
Grab attention with animations or video
Screen savers, videos, banners, pop-ups
Re-use online content and commercial images
Applications:
Check-out counter
Banking
Information terminals
Flexible Platform – Unlimited Applications

4. MX870 Feature Overview Modularity ¼ VGA TFT, active, 16 bit color
Contactless RFID
¼ VGA TFT, active, 16 bit color
capacitive touch screen
Blue LEDs under MSR Overlay. LEDs can be controlled in software to create “runway” effect.
Connectivity Options
Ethernet/IP, USB, Serial
Tailgate, Audio Out
MSR with optimized lead-in angle.
Key Encryption
Master Session,DUKPT, Secure Scripts
Full Motion Video
For Advertising
Switchless Design Stylus. No moving parts
New black textured
case design to match
other POS equipment
and allow for creative
faceplates
Durable rubber
stylus holster
Brandable faceplates
Many design option
through IMD process
Smartcard
(Factory Option)
Crytography
DES, 3DES,AES,RSA, SHA-1
Speakers
With Digital
Stereo Sound

5. Software Architecture
VeriFone or Customer Application
IBM EFT
NCR EFT
FormAgent
Graphical User Interface
System
Libs
System
Mode
Mx Operating System
Linux
VeriFone Enhancements

6. MX870 Solution Selling Market Overview Market Segmentation
Tier 1: > 1,000 Lanes
Tier 2: > 100 Lanes
Tier 3: > 5 Locations
US Market Facts
Tier 1: 250 Companies
Tier 2: 750 Companies
Tier 3: 10,000 Companies
Retail segments
Grocery
Drug Stores
Specialty Stores
Department Stores
Value Retail
Ticketing/ Event
Non-Traditional
Value Propositions
Capacitive touch makes it easy for consumers to use
Chemically hardened glass results in long life
Stylus with no moving parts insures reliability
Brandable trim plate allows customization
Open Linux Operating System allows easy device integration
Form Agent Tool allows easy software customization
Complete Software Offerings with Visual Payments
Buyer Protection Plan offers superior customer satisfaction
VeriFone R&D Investment results in continuous new products
VeriFone Payments Focus insures continued success
VeriFone Retail Vision provides multiple retail solutions
Signature Solutions reduces charge backs and expenses
Device Solutions lowers support and deployment costs
Content Solutions offers numerous marketing opportunities
Payment Solutions reduces cost of accepting electronic payments
Hardware
MX870
Software
Content Solutions
Signature Solutions
Device Solutions
Payment Solutions
RiTA
Services
Buyer Protection Plan
Priority Exchange Program
Deployment Services
Installation Services
Training
Help Desk
Partners
POS ISV’s
Distributors
Software Developers

7. Competitive Advantages

8. Full Screen Terminal Comparison

9. Video Features Benefits Competitive Positioning Technical
Ability to play full-motion video
Video may be stored locally or on a network or USB drive
Benefits
Advertising
Re-purpose commercials
Product demonstrations
Movie rental preview
Competitive Positioning
MX870 remains the only device that supports playback of full-motion video to help customers be prepared for tomorrow’s content needs
Technical
Video capable due to
Fast 200MHz processor can decode video real-time
Built-in media player
High quality TFT display
No full-motion video support
Full-motion video support

10. Linux Features Benefits Competitive Positioning Technical
Runs open-source Linux operating system
Benefits
Stability – proven in many embedded platforms
Global Acceptance – reduces programming learning curve and time-to-market
Reliability – Continuous improvement
Feature rich – inherent support for high-end functionality
Competitive Positioning
MX870 is the only device that uses Linux and will reduce time-to-market due to reduced learning curves and availability of open-source software. Additionally feature additions/enhances can be made faster as existing Linux functionality can be leveraged.
Technical
Uses Embedded Linux for ARM9
Kernel version is 2.6, very recent and up-to-date
Incorporates rich GUI environment based with support for media, images, animation, audio
Proprietary O/S
Linux

11. Dual Speakers and line-out port
Audio
Features
Built-in speakers and ability to drive external powered speakers
Benefits
Voice prompting
Unlimited possibilities for tones
Play audio along with video
Use in kiosk-environment
Competitive Positioning
As the only true Multimedia device, the MX870 supports a wide array of audio options while the competition is limited to single-purpose buzzers
Technical
Dual speakers mounted in case
Line-out port on multiport block
Ability to play wave files
Software volume control
Buzzer
Dual Speakers and line-out port

12. Touch panel Features Benefits Competitive Positioning Technical
Hardened glass
Inherently secure
Benefits
Holds up to years of use without wear & tear
PCI PED approved for PIN entry
Does not need to be replaced
Competitive Positioning
Today’s only PCI PED approved touch panel for PIN entry. Does not cloud the clarity of the screen due to wear & tear, and therefore does not need to be regularly replaced. What quality image does the customer what to convey?
Technical
Capacitive vs Resistive
Complexity of touch panel signals allow for secure PIN entry
Glass is chemically treated to make it even more robust, and holds up extremely well unlike tempered glass on Ingenico terminals and resistive panels on Hypercom terminals.
Capacitive, pin entry issues
Resistive, pin entry issues
Inherently secure, robust, capacitive

13. Hypercom Excerpts
Excerpts from Hypercom’s instructions for touch panel use

14. Stylus Features Benefits Competitive Positioning Technical
No moving parts
Robust design
Ergonomically shaped
Benefits
Extremely durable
Inexpensive to replace if necessary
Comfortable and easy to use
Competitive Positioning
Offering the best of both worlds, the benefits of a capacitive panel stylus while having a low replacement cost
Technical
No PCB inside the stylus (no active electronics)
No switch (moving parts), intelligent finger/stylus switching
Expensive complex design with switch
Simple plastic pen for resistive panel
No moving parts, robust, low cost

15. Ingenico vs. VeriFone Stylus
Ingenico Stylus
VeriFone Stylus

16. Multiport Cables Features Benefits Competitive Positioning Technical
All connectivity on single block
Single cable to counter
Benefits
Reduce customer-visible cable clutter
Customize block connectivity depending on customer’s needs
Competitive Positioning
The MX does not require individual cables to be plugged into the unit itself, which simplifies installation, cable clutter and trouble-shooting.
Technical
Single 41-pin connector on MX bundles all signals into single cable which are then broken out in Multiport block
Depending on Multiport functionality, some pins may be used for multiple signals
Multiple cables to counter
Single cable to counter

17. Modularity Features Benefits Competitive Positioning Technical
Field-upgradeable module for additional functionality
Benefits
Future-proof investment
Upgrade to MX today, invest in future technology later
Competitive Positioning
Although the competition offers limited modular upgrade capability, none offer the flexibility and easy of installation that the MX does.
Technical
Most of the available digital interfaces are supported on the modular interface to allow for full flexibility for future enhancements
No modules
Limited module capability
Field upgradeable module design

18. Compatible across MX line
Compatibility
Features
Single O/S can run across MX line
Single application can run across MX platform
API compatible with legacy applications
Benefits
Use single O/S and application which works across MX line
Mix hardware among stores and chains
Competitive Positioning
Reduce TCO, including qualification and pilot time by offering unmatched compatibility with previous and current platforms
Technical
Legacy APIs (MultiPay) integrated in FormAGT API
Applications are written so single application can run on multiple hardware variants of MX product line (intelligent detection of capabilities)
Varies by product line
Compatible across MX line

19. USB Host Functionality
Features
USB Host port available on Multiport cable
USB Mass Storage Driver built-in
USB HID driver built-in
Benefits
Plug in memory stick for O/S and application upgrades
Use memory stick (or HDD) for “unlimited” added storage
Compatible with HID devices such as barcode scanners
Competitive Positioning
Building on its modular reputation, the USB host capability adds additional flexibility to enable current and future technologies without investing in them today
Technical
Depending on cable choice, USB host connector (Type A) provided on multiport
Linux provides native support for USB host (MSD, HID currently implemented)
No USB host support
No USB Host support
Compatible across MX line

20. Trimplate Features Benefits Competitive Positioning Technical
IMD customizable trimplate
Hard coat treatment
Benefits
If no customization required, MX870 arrives with attractive VeriFone branded silver-colored trimplate
If desired, the trimplate background color and customer logo can be customized through the high quality IMD process
Hard coat treatment allows the trimplate to hold up to the rigors of the retail world
Competitive Positioning
The extremely robust and highly customizable trimplate further builds on the MX870 high-end reputation to help drive and communicate the customer’s brand.
Technical
In Mold Decoration (IMD) creates robust graphics that do not wear like pad-printed customizations
Hard coat is applied post molding and provides an extra layer of protection against wear
No trimplate
Non-IMD trimplate
IMD Trimplate

21. Visual Payments Software Solution
Features
Payment Solutions
Signature Solutions
Device Solutions
Content Solutions
Benefits
Single suite of modular solutions to help manage, maintain, and drive deployed devices, specifically tailored to the MX line of products
Competitive Positioning
The only full enterprise solution suite including the ability to manage device content
Technical
Highly scalable, platform independent server solution
Browser-based access to all functionality
PABP (Payment Application Best Practice)
eN-Concert solution
(no Content)
No solution
Full solutions suite

22. Are we better than the competition in every aspect?

23. YES!!! However… you might get challenged in the following areas…

24. The Myths Security “Linux is not secure because it’s open-source”
Not accurate, Linux is extremely secure and has provided a great foundation to create a secure payment operating system
Touch panel
“Resistive technology is better because it’s cheaper”
It is indeed initially cheaper, but it tends to wear quickly which reflects negatively on the customer and its brand, and ultimately results in a higher TCO.
Multimedia
“Who needs multimedia in a check-out lane”?
Playing a 2 minute video for someone buying a Pepsi makes no sense, creatively using rich media to convey a high-end image and store brand does.

25. How Much Better is the MX870?
Top 250 MX870 wins
Children’s Place
Zales
Walgreens
Stop & Shop
Hobby Lobby
PetsMart
Spartan Stores
American Eagle
Rite Aid
Bi-Lo
Hypercom L4100 wins
None
Ingenico 6770 wins
T-Mobile
4,000 8%
59,000
92%
VeriFone has won 59,000 out of the 63,000
full screen terminal lanes since January 2005