ERF Wireless has announced that its ERF Enterprise Network Services subsidiary has successfully completed a three-year testing and certification process for delivery of wireless Internet service products (WISP) securely across a financial institution’s BranchNet system and the company’s US-BankNet infrastructure.
These advanced digital wireless products and services will be delivered under the brand name ‘WiNet’ by ERF Wireless. The company has also launched a sales initiative to offer financial institutions the opportunity to enter into a WiNet Systems Agreement and participate in a new revenue-sharing program that provides WiNet products and services to their commercial and residential banking customers.
ERF Wireless plans to operate and support its WiNet product offerings through its Wireless Bundled Services subsidiary and estimates its WiNet operations in Louisiana alone will generate more than $130 million in revenues over the next 10 years.
“A typical WiNet system deployed across a financial institution’s encrypted BranchNet structure is projected to generate about $1 million per year in revenues to ERF Wireless after a two-year ramp-up period,” explained John A. Burns, chairman and CEO of ERF Enterprise Network Services. “A WiNet System Agreement has a 10-year primary term with renewals extending it up to 25 years.”
“Through the WiNet innovative revenue-sharing agreement with ERF, financial institutions can significantly benefit from the development of a recurring fee-based revenue stream for many years to come by converting their private BranchNet system into a public network,” said Steven Omelan, a consultant with more than 40 years of combined experience in the banking and telecommunications industries. “With the ability to switch the investment in a communications system into a revenue-producing asset, this development can fundamentally change the way financial institutions look at their communications systems expense in the future.”