More than 6,500 cabs will receive payment systems integrated with driver and passenger information tablet displays under a five-year contract awarded to VeriFone Systems Inc. by the District of Columbia Taxicab Commission, the terminal maker announced July 11.
VeriFone, which won a competitive-bidding process to become the exclusive vendor for installation and support of the commission’s Taxicab Smart Meter System project, valued the deal at $35 million to $45 million, when factoring in potential advertising revenue.
Installation of VeriFone’s PayMedia system should be complete by November, Amos Tamam, VeriFone senior vice president of taxi systems, said in an interview.
San Jose, Calif.-based VeriFone will develop, install and support the systems for all of the district’s taxis and provide electronic trip reporting, credit card payment processing, display of news and other programming, and safety alert activation features for both passengers and drivers, according to a company press release. The contract also includes a back office management-information system that will provide the commission with automated trip reporting and GPS location services.
VeriFone supports taxi payment services in more than 50 cities worldwide, but the district’s system, bolstered by the VeriFone Vx820 terminal, will be the newest generation, Tamam says. It also will be the first to support both EMV and Near Field Communication-based payments and electronic signature capture, he said.
The 10-inch tablet passenger-information modules will stream content from the VeriFone Digital Network, including news, weather, and local and national content provided by NBC4 and NBC Universal. The module includes videos, interactive banners, clickable “tabs” and crawlers, interactive maps, and micro sites for advertisers and partners, VeriFone said in its release.
The system also includes a 7-inch monitor for the driver’s use, Tamam says.
Other features the system supports include two-way communications with the fleet owner or city while driving, a panic button for use in emergencies that contacts the monitoring office to notify police, requirements for the driver to enter a user name and password for authentication and to verify driving eligibility, and dispatching capabilities not now present in most of the district’s cabs, Tamam says.
The VeriFone system presents an opportunity to significantly enhance the driving experience of district citizens and visitors while improving operations for drivers, district Mayor Vincent C. Gray said in the release. “The Taxicab Smart Meter System provides the riding public with new payment options and the opportunity to view digital content during trips,” he said. “In addition, it improves manageability and accountability of the entire taxi fleet.”
VeriFone Digital Network’s TaxiTV now spans more than 11 major media markets across the Atlantic. Earlier this year VeriFone added Sky News to its London taxi content and last year reached an agreement with NBC-owned television stations to deliver NBC Universal’s content to markets throughout the U.S., including New York, Boston, Chicago, Las Vegas, Philadelphia and San Francisco, VeriFone said in its release.
News of the deal sparked investor interest. Shares of VeriFone stock were up 10.4%, selling at $35.24 in midday trading July 11. The previous day’s closing price was $31.92.
