Welcome!

Virtualization Authors: Sematext Blog (@Sematext), Liz McMillan, Pat Romanski, Andrew Phillips, Lori MacVittie

News Feed Item

Alternet Systems, Inc. (ALYI) Letter to Shareholder Highlights Mobile Payments Subsidiary Operational Accomplishments and Regional Leadership

MIAMI, FL -- (Marketwire) -- 11/14/12 -- Alternet Systems, Inc. (OTCQB: ALYI) today released a letter to shareholders from company CEO Henryk Dabrowski. The letter highlights the operational accomplishments and leadership position of its mobile payments subsidiary, Utiba Americas. The letter is included in its entirety below.

Dear Fellow Shareholders,

This letter is a follow up to our third quarter filing posted with the SEC on November 14th, which accurately depicts our financial performance for the period, but does not yet reflect important operational advances made during the first three quarters of the year. Specifically, in 2012, Alternet's mobile financial services subsidiary, Utiba Americas, has sold and deployed services in six countries of Latin America, making it the leading technology provider in the region with an estimated 35% market share of the deployments in these markets.

Regional Leadership
Since its launch in early 2010, Utiba Americas has rapidly assumed a leadership role in the emerging market of mobile payments of Latin America. The evolving regulatory environment in South and Central America has at times complicated the sale and launch of services. Despite this challenge, Utiba Americas has sold the Utiba Mobility platform to financial institutions and mobile network operators throughout the region and has deployed services in Bolivia, Colombia, Ecuador, Guatemala, Honduras and Venezuela. Utiba's customers in these countries target a total of 120 million potential users.

Bolivia. As recently announced by Utiba, Bolivia's largest bank and regional leader in micro-finance, Banco FIE, has selected Utiba's Software as a Service (Saas) solution. This project is in implementation. Additionally, the Utiba platform has been deployed in the networks of the country's two largest providers of mobile communications, who have yet to launch services.

Colombia. Utiba's platform has been deployed and is in use by one of the country's leading mobile communications providers. The platform is also being used in a pilot distributing government benefits (welfare payments), orchestrated by one of the country's leading business to business (B2B) technology providers.

Ecuador. In 2011 Utiba Americas won the public bid for the Central Bank of Ecuador mobile payments project pilot. The Bank has yet to select a provider for the full scale deployment, though a public bid is expected in the coming quarter.

Guatemala. In late 2011, Utiba Americas' hosted Mobile Financial Service platform was selected by Guatemala's largest bank and one of Central America's largest mobile operators to launch and manage an innovative mobile payment service. Since its soft launch at the end of 2011, the service has been expanded to include payroll services, bill payments, government subsidies and mobile remittance. The service has experienced a significant increase in adoption in the summer of 2012.

Honduras. In early 2013, a new mobile payment service provider will convert its current pilot, running on the hosted Utiba Americas platform, into a commercial service, offering third party bank branch services, business to business mobile collections, bill payment and domestic remittances.

Venezuela. In 2011, Utiba Americas sold and deployed its electronic recharge (top-up) platform for a Venezuelan mobile network operator, which will in 2013 expand the platform's services to include mobile commerce. Utiba Americas expects to launch additional projects in the Venezuelan market in coming months, which will include the use of a companion card tied to the mobile wallet, an important element of Utiba's Converging Payments Strategy.

Regional Deployments. Regional third party payments provider Movilway continues to deploy the Utiba electronic recharge (topup) platform throughout its distribution network in the Central and South American region. Movilway is currently in 12 countries with more than 80,000 retailers.

Utiba Americas expects to announce new regional contracts before the end of 2012 that will potentially expand its Mobile Financial Services platform to another 27 countries across the globe.

Partnerships
In the coming quarter, both Utiba and Utiba Americas will announce a number of strategic partnerships with companies with complementary product offerings. Pending agreements include an important regional channel partnership and a complementary suite of business analytics tools for microfinance, credit assessment, and mobile retail purchases.

Already announced in this year are agreements with i2c, Inc., Validsoft, and Spindle, which provide access to open loop payment processing, advanced mobile transaction authentication services, and a low cost acceptance network, respectively, and build upon Utiba's participation in the MasterCard Mobile Money Partnership Program announced in February.

On a separate note, one which augurs well for future success, Utiba Americas and Utiba continue to strengthen and broaden their relationship. The two companies are dedicated to making the Utiba brand and its products the preferred global solution. To that end, both entities leverage each other's capabilities and relationships and management are in constant contact to ensure seamless and timely product delivery and success.

Revenue Recognition and Accrual
As discussed in earlier shareholder communications, all of Alternet's revenues currently come from our mobile payments subsidiary, Utiba Americas, which has been changing its product mix from a traditional software license toward the sale of software as a service (SaaS), or from a one time revenue event to a monthly recurring revenue stream over a period of years. This shift is in keeping with industry trends towards the use of cloud computing and based upon an evaluation of customer needs. This shift also results in a delay in recognizing revenues and per accounting practice, accrual only of the revenues billed in a given period.

As a result, the value of Utiba Americas' multi-year agreements is not evident in our financial statements, as we are only able to bill for services when the project has been delivered, and monthly services fees are billed and booked for the period.

International Mobile Security (IMS) -- Cyber Security Subsidiary
IMS' strategic partnership and reseller agreement with UK based Delma Technologies has effectively increased the company's international sales force and given IMS access to Delma's products and resources. Based upon the early success of this relationship and complementary nature of the two companies' technologies and services, we have begun exploring additional joint efforts, to include software development and combined delivery and support efforts. We expect these efforts to permit a timelier closing of opportunities, which has caused a delay in reporting revenues at the subsidiary.

Conclusion
I am proud of the accomplishments of Alternet and its subsidiaries, in particular of the leadership position achieved by Utiba Americas. When we began marketing the Utiba Mobility platform in early 2010, we knew we had chosen to partner with the best technology provider, and we correctly anticipated that mobile financial services in Latin America would evolve differently than in Asia- Pacific and Africa, where the majority of the worlds' deployments had taken place previously. We quickly determined that the regulators of the region would favor financial institutions, and that financial institutions in turn would view a mobile payment platform differently than a mobile network operator, and would welcome the software as a service (SaaS) business model. This product development has been positively received in Latin America and elsewhere; in fact, we expect to announce global SaaS clients for Utiba Americas in the coming quarter.

This type of product innovation is an indication of the excellent business development and technical team we have assembled here in Miami. With this talent, we expect to lead the industry for years to come.

I would like to extend my thanks to Alternet's personnel and that of our subsidiaries for the hard work during this important year, and to our shareholders for their continued support.

Sincerely,

Henryk Dabrowski
Alternet CEO

About Alternet Systems Inc.
Alternet Systems Inc. (OTCQB: ALYI), a US corporation headquartered in Miami, Florida, is an investment holding company focused on the complimentary, high-growth markets of cyber-security and mobile financial services. Through its subsidiaries, Alternet captures and converts the extraordinary growth and opportunities surrounding the explosion of mobile phones worldwide. Its cyber-security subsidiary, International Mobile Security (IMS), provides mobile and digital security solutions to law enforcement agencies. Alternet's mobile financial services subsidiary, Utiba Americas, is a joint venture with Utiba Pte, the leading developer of mobile payment software solutions. Utiba Americas is deploying mobile financial services solutions for mobile network operators, financial institutions and third party payment service providers throughout the Americas region. More information about Alternet and its subsidiaries can be found at www.alternetsystems.com and by following the company on Twitter www.twitter.com/alternetsystems.

"SAFE HARBOR STATEMENT" UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995
Certain statements in this news release may contain forward-looking information within the meaning of Rule 175 under the Securities Act of 1933 and Rule 3b-6 under the Securities Exchange Act of 1934, and are subject to the safe harbor created by those rules. All statements, other than statements of fact, included in this release, including, without limitation, statements regarding potential future plans and objectives of the Company, are forward-looking statements that involve risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements.

Media Contact at Alternet:
Erin Clancy
VP Marketing
Email Contact

Investor Relations Contact at Alternet:
Investor Relations
Email Contact
1-888-823-8494

More Stories By Marketwired .

Copyright © 2009 Marketwired. All rights reserved. All the news releases provided by Marketwired are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving in a public database, redistributing via a computer network or in a printed form.

@ThingsExpo Stories
“In the past year we've seen a lot of stabilization of WebRTC. You can now use it in production with a far greater degree of certainty. A lot of the real developments in the past year have been in things like the data channel, which will enable a whole new type of application," explained Peter Dunkley, Technical Director at Acision, in this SYS-CON.tv interview at @ThingsExpo, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
SYS-CON Events announced today that IDenticard will exhibit at SYS-CON's 16th International Cloud Expo®, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. IDenticard™ is the security division of Brady Corp (NYSE: BRC), a $1.5 billion manufacturer of identification products. We have small-company values with the strength and stability of a major corporation. IDenticard offers local sales, support and service to our customers across the United States and Canada. Our partner network encompasses some 300 of the world's leading systems integrators and security s...
The BPM world is going through some evolution or changes where traditional business process management solutions really have nowhere to go in terms of development of the road map. In this demo at 15th Cloud Expo, Kyle Hansen, Director of Professional Services at AgilePoint, shows AgilePoint’s unique approach to dealing with this market circumstance by developing a rapid application composition or development framework.
The major cloud platforms defy a simple, side-by-side analysis. Each of the major IaaS public-cloud platforms offers their own unique strengths and functionality. Options for on-site private cloud are diverse as well, and must be designed and deployed while taking existing legacy architecture and infrastructure into account. Then the reality is that most enterprises are embarking on a hybrid cloud strategy and programs. In this Power Panel at 15th Cloud Expo (http://www.CloudComputingExpo.com), moderated by Ashar Baig, Research Director, Cloud, at Gigaom Research, Nate Gordon, Director of T...
"BSQUARE is in the business of selling software solutions for smart connected devices. It's obvious that IoT has moved from being a technology to being a fundamental part of business, and in the last 18 months people have said let's figure out how to do it and let's put some focus on it, " explained Dave Wagstaff, VP & Chief Architect, at BSQUARE Corporation, in this SYS-CON.tv interview at @ThingsExpo, held Nov 4-6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
SYS-CON Events announced today that Windstream, a leading provider of advanced network and cloud communications, has been named “Silver Sponsor” of SYS-CON's 16th International Cloud Expo®, which will take place on June 9–11, 2015, at the Javits Center in New York, NY. Windstream (Nasdaq: WIN), a FORTUNE 500 and S&P 500 company, is a leading provider of advanced network communications, including cloud computing and managed services, to businesses nationwide. The company also offers broadband, phone and digital TV services to consumers primarily in rural areas.
The Internet of Things is not new. Historically, smart businesses have used its basic concept of leveraging data to drive better decision making and have capitalized on those insights to realize additional revenue opportunities. So, what has changed to make the Internet of Things one of the hottest topics in tech? In his session at @ThingsExpo, Chris Gray, Director, Embedded and Internet of Things, discussed the underlying factors that are driving the economics of intelligent systems. Discover how hardware commoditization, the ubiquitous nature of connectivity, and the emergence of Big Data a...

ARMONK, N.Y., Nov. 20, 2014 /PRNewswire/ --  IBM (NYSE: IBM) today announced that it is bringing a greater level of control, security and flexibility to cloud-based application development and delivery with a single-tenant version of Bluemix, IBM's platform-as-a-service. The new platform enables developers to build ap...

DevOps Summit 2015 New York, co-located with the 16th International Cloud Expo - to be held June 9-11, 2015, at the Javits Center in New York City, NY - announces that it is now accepting Keynote Proposals. The widespread success of cloud computing is driving the DevOps revolution in enterprise IT. Now as never before, development teams must communicate and collaborate in a dynamic, 24/7/365 environment. There is no time to wait for long development cycles that produce software that is obsolete at launch. DevOps may be disruptive, but it is essential.
"People are a lot more knowledgeable about APIs now. There are two types of people who work with APIs - IT people who want to use APIs for something internal and the product managers who want to do something outside APIs for people to connect to them," explained Roberto Medrano, Executive Vice President at SOA Software, in this SYS-CON.tv interview at Cloud Expo, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
Nigeria has the largest economy in Africa, at more than US$500 billion, and ranks 23rd in the world. A recent re-evaluation of Nigeria's true economic size doubled the previous estimate, and brought it well ahead of South Africa, which is a member (unlike Nigeria) of the G20 club for political as well as economic reasons. Nigeria's economy can be said to be quite diverse from one point of view, but heavily dependent on oil and gas at the same time. Oil and natural gas account for about 15% of Nigera's overall economy, but traditionally represent more than 90% of the country's exports and as...
The Internet of Things is a misnomer. That implies that everything is on the Internet, and that simply should not be - especially for things that are blurring the line between medical devices that stimulate like a pacemaker and quantified self-sensors like a pedometer or pulse tracker. The mesh of things that we manage must be segmented into zones of trust for sensing data, transmitting data, receiving command and control administrative changes, and peer-to-peer mesh messaging. In his session at @ThingsExpo, Ryan Bagnulo, Solution Architect / Software Engineer at SOA Software, focused on desi...
"At our booth we are showing how to provide trust in the Internet of Things. Trust is where everything starts to become secure and trustworthy. Now with the scaling of the Internet of Things it becomes an interesting question – I've heard numbers from 200 billion devices next year up to a trillion in the next 10 to 15 years," explained Johannes Lintzen, Vice President of Sales at Utimaco, in this SYS-CON.tv interview at @ThingsExpo, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
"For over 25 years we have been working with a lot of enterprise customers and we have seen how companies create applications. And now that we have moved to cloud computing, mobile, social and the Internet of Things, we see that the market needs a new way of creating applications," stated Jesse Shiah, CEO, President and Co-Founder of AgilePoint Inc., in this SYS-CON.tv interview at 15th Cloud Expo, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
SYS-CON Events announced today that Gridstore™, the leader in hyper-converged infrastructure purpose-built to optimize Microsoft workloads, will exhibit at SYS-CON's 16th International Cloud Expo®, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. Gridstore™ is the leader in hyper-converged infrastructure purpose-built for Microsoft workloads and designed to accelerate applications in virtualized environments. Gridstore’s hyper-converged infrastructure is the industry’s first all flash version of HyperConverged Appliances that include both compute and storag...
Today’s enterprise is being driven by disruptive competitive and human capital requirements to provide enterprise application access through not only desktops, but also mobile devices. To retrofit existing programs across all these devices using traditional programming methods is very costly and time consuming – often prohibitively so. In his session at @ThingsExpo, Jesse Shiah, CEO, President, and Co-Founder of AgilePoint Inc., discussed how you can create applications that run on all mobile devices as well as laptops and desktops using a visual drag-and-drop application – and eForms-buildi...
We certainly live in interesting technological times. And no more interesting than the current competing IoT standards for connectivity. Various standards bodies, approaches, and ecosystems are vying for mindshare and positioning for a competitive edge. It is clear that when the dust settles, we will have new protocols, evolved protocols, that will change the way we interact with devices and infrastructure. We will also have evolved web protocols, like HTTP/2, that will be changing the very core of our infrastructures. At the same time, we have old approaches made new again like micro-services...
Code Halos - aka "digital fingerprints" - are the key organizing principle to understand a) how dumb things become smart and b) how to monetize this dynamic. In his session at @ThingsExpo, Robert Brown, AVP, Center for the Future of Work at Cognizant Technology Solutions, outlined research, analysis and recommendations from his recently published book on this phenomena on the way leading edge organizations like GE and Disney are unlocking the Internet of Things opportunity and what steps your organization should be taking to position itself for the next platform of digital competition.
The 3rd International Internet of @ThingsExpo, co-located with the 16th International Cloud Expo - to be held June 9-11, 2015, at the Javits Center in New York City, NY - announces that its Call for Papers is now open. The Internet of Things (IoT) is the biggest idea since the creation of the Worldwide Web more than 20 years ago.
As the Internet of Things unfolds, mobile and wearable devices are blurring the line between physical and digital, integrating ever more closely with our interests, our routines, our daily lives. Contextual computing and smart, sensor-equipped spaces bring the potential to walk through a world that recognizes us and responds accordingly. We become continuous transmitters and receivers of data. In his session at @ThingsExpo, Andrew Bolwell, Director of Innovation for HP's Printing and Personal Systems Group, discussed how key attributes of mobile technology – touch input, sensors, social, and ...