Target, Other U.S. Breaches May Spur Security Spending
Reuters, By Ross Kerber
A rash of data breaches at
big U.S. retailers may accelerate spending on high-tech payment cards, a
MasterCard Inc executive and other industry specialists said on Monday, as
companies look to keep the faith of their customers.
and their banks face a deadline set by payment networks Visa Inc and MasterCard
of October 2015 to accept new payment cards that store information on computer
chips rather than on traditional magnetic stripes. The multibillion-dollar
safety upgrade has many companies dragging their feet, and analysts estimated
only 60 percent of U.S. sales terminals would meet the schedule.
Now the loss of
customer data reported at Target Corp, Neiman Marcus and other stores since
December could move companies to the new standard more quickly, said Carolyn
Balfany, head of U.S. product delivery for MasterCard in a telephone interview
on Monday. Read more.