Hypercom Corp. has developed a system that can encrypt cardholder data before it is transmitted across a processing network.

The HyperSafe Secure system uses technology from MagTek Inc. to encrypt data at the payment terminal, so it is protected during transmission, Hypercom said Tuesday.

The system works for card data that is keyed in or scanned from a magnetic stripe, the Scottsdale, Ariz., company said.

"Large-scale data breaches … are escalating at an alarming rate," Gregory Boardman, Hypercom's vice president of global product marketing, said in a press release Tuesday. "The electronic payments industry must respond with technology that addresses and neutralizes the threat."

HyperSafe Secure will run on Hypercom's T4200 countertop terminals, its M4200 mobile terminals, and its L4150 multilane units.

In addition, Hypercom said Wednesday that the German parking ticket machine supplier Hectronic GmbH will deploy 600 of its Artema Modular unattended payment devices to handle parking payments in Brussels.

Hectronic already uses the devices in Germany, France, the United Kingdom, Ireland, Malaysia, and Australia, Hypercom said.

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