TOKYO -- ATM Japan will team up with China Minsheng Bank to monitor and service automated teller machines in the Chinese market, slashing repair times to provide more convenient access to banking.
The duo will form a joint venture in November, with ATM Japan putting up 40% of the 750 million yen ($6.13 million) in initial capital and China Minsheng the rest. The new company will begin monitoring in 2016 the network of 12,500 ATMs that China Minsheng operates in China -- far more than the 8,000 machines Bank of Tokyo-Mitsubishi UFJ runs in Japan.
The venture will start operating Chinese ATMs in 2017 with China Minsheng and other private-sector banks that come on board. It will work toward providing the same level of service that ATM Japan does in the Japanese market, including same-day repairs of malfunctioning machines.
The service will fill a conspicuous gap in the Chinese banking system. Stuck cards or jammed bills can now put ATMs out of commission for up to a week. Long repair times leave machines unable to reliably ease congestion at teller windows and ease the burden on bank personnel.