VENDTEK SYSTEMS INC V.VSI

GETNET deal

[dqma]

GETNET used to be the bigger incombent competitor against Vendtek. How did it become all of a sudden a partner and customer? I think as emerging market transforms into a more credit based financial system, prepaid products are not as lucrative for GETNET as before so payment processors like GETNET is exiting this segment and more into credit card processing, whic is experiencing explosive growth.  The whole prepaid market is shrinking in brazil. Still positive for Vendtek  as they are looking for the other bigger players to divest prepaid processing and use their services instead, if they can prove they can be cheaper. But my bet is that margin per transaction is lower with the GETNET deal vs going alone.

[TheRock07]

The prepaid market in Brazil has grown at a cgw of 8.97 % over the past 4 years, fuelled by a rapidy growing middle class with an average at of just 34 years. The outlook for prepaids is forecast to accelerate due to these demographic trends. In Brazil, the government uses prepaid to pay welfare benefits through the Bolsa Familia social services programme to 12 million households. The segment is

[SleuthDog]

If the government is already issuing prepaid cards, and gov't are generally the last to adopt any new technology, what does that say about the competitive landscape and second about the battle ahead for Vendtek in that market?

[itsnotme1]

Remember we're dealing with money here, if the regular Joe isn't comfortable or familiar with the technology he won't use it. If the Gov't is using it ......it must be safe and ok to use. Gov't adds credibility to the whole concept. As far as the share price - we have some strong hands holding but sure would like to see more buyers.