CyberBranch To Drive Internet Banking Expansion; SFCU Spin-off Pioneer of Internet Banking Solutions.
PALO ALTO, Calif.--(BUSINESS WIRE)--April 4, 2000
Stanford Federal Credit Union (SFCU) -- the first financial institution in the world to offer Internet banking -- today announced the spin-off of its subsidiary, CyberBranch, formerly known as Cardinal Services Corporation. With 130 current licensees, CyberBranch offers the most comprehensive line of innovative Internet and Intranet technology designed specifically for the financial services industry. SFCU's President and CEO Warren Marshall, who was responsible for pioneering Internet banking over the last decade, will run the company. John Davis, SFCU's executive vice president, replaces him.
"Originally, we created SFCU's subsidiary because we wanted to share our revolutionary technology with other credit unions. Our move was designed to ensure dedicated resources were available to further develop SFCU's Internet banking products," said Marshall, CyberBranch's new president and CEO. "Today, we want to make Internet banking ubiquitous, and CyberBranch is committed to making its innovative technology available to financial institutions everywhere."
Nearly 22,000 community financial institutions (11,000 are credit unions) collectively hold $2.2 trillion in deposits or 56 percent of total U.S. consumer deposits, according to International Data Corporation (IDC). Although over 50 percent of the largest 100 U.S. banks offer Internet banking, only five percent of smaller financial institutions do. Leading analysts predict exponential growth in the industry over the next few years. IDC expects the 1,150 banks offering on-line services in 1998 to rise to 15,848 by 2003.
"With a history of proven Internet banking products, we are poised to be a leading player in this quickly expanding market," said Marshall. "CyberBranch's comprehensive product line, in combination with our innovative pricing model and approach to customer-partnering, should be appealing to financial institutions of all sizes ready to make the move to Internet banking."
CyberBranch delivers the most comprehensive suite of customized, leading-edge Internet competency solutions to financial institutions of all sizes. Based on simple, straightforward programming, CyberBranch products have been developed from the ground up, and are specifically designed to address the technological challenges facing today's financial institutions. Unlike its competitors offering transaction-based pricing, which can be cost-prohibitive, CyberBranch offers an innovative pricing model that allows financial institutions to roll out services to their entire customer-base, encouraging the widespread adoption of Internet banking. The company also partners with its customers, providing them with new capabilities as they expand.
CyberBranch's real-time Internet banking solutions are scaleable, with robust functionality. To meet the market diversity, products are based on an open-platform supporting use on PCs along with enterprise systems. Products include:
-- CyberBranch(TM): full service web site that serves as a
"virtual branch" with over 200 pages of customizable
content. It can be hosted by the individual financial
institutions or on CyberBranch servers.
-- E-statements(TM): deliver banking statements over the
-- Viper Reports(TM): support internal operations by converting
and delivering report files such as Excel and LPT, through
banks' Intranets to support personnel needs.
-- Board Pages(TM): provide "virtual board rooms" to allow
financial institutions to conduct board meeting online.
CyberBranch, a recognized innovator in the Internet banking industry, creates leading-edge, customer-driven Internet banking solutions designed to get financial institutions up-and-running quickly and economically, while equipping them with the best technology available. Located in Palo Alto, Calif., CyberBranch was formed in 1997 as a wholly owned subsidiary of Stanford Federal Credit Union, until its announced spin off on April 4, 2000.
About Stanford Federal Credit Union
Founded in 1959, the Stanford Federal Credit Union provides financial services to individuals affiliated with sponsoring institutions and businesses. SFCU serves 40,000 members associated with Stanford University and related companies and organizations in the Palo Alto area. With assets of nearly $300 million, SFCU ranks in size among the top 300 credit unions in the nation. All SFCU deposits are insured to $100,000 by the National Credit Union Administration, an agency of the U.S. government.
CyberBranch, Board Pages, Viper Reports and E-statements are all registered trademarks of CyberBranch Corporation. All other brand names mentioned are registered trademarks or trademarks of their respective holders, and are hereby acknowledged.