724 Solutions, CheckFree to collaborate on wireless bill presentment solution

An agreement between Internet infrastructure software developer 724 Solutions Inc. (Toronto) and Checkfree Corp (Atlanta, GA) should make electronic billing and payment available quickly to financial institutions' customers that use both CheckFree and the 724 Solutions Financial Services Platform (FSP). These financial institutions will soon be able to enable their customers to receive and pay bills—such as telephone, utility, home loan, cable, credit card, and insurance bills—on various wireless Internet-enabled devices.

The development and co-marketing agreement marries the strengths of CheckFree's market and technology leadership in electronic billing presentment and payment (EBPP) with 724 Solutions' wireless financial services offering. The companies will enable financial institutions to embrace a service that adds value to billers, businesses, and consumers. Currently, financial institutions that are offering, or planning to offer, 724 Solutions' wireless solution have a worldwide customer base of approximately 166 million customer relationships. Today, CheckFree offers electronic billing and payment services from more than 150 Web sites, including banks, brokerage firms, credit unions, and portals.

Wireless EBP is expected to be available for delivery to customers in the third quarter of calendar 2000. The EBP-enabled solution can be hosted by 724 Solutions or by the financial institution themselves. The alliance between CheckFree and 724 Solutions is aimed at tapping into the convergence of wireless applications and online financial services solutions. By 2004, 70% of new wireless phones and 40% of new PDAs will use wireless technology for direct access to Web content and enterprise networks, according to a February 2000 GartnerGroup report.

Meanwhile, by 2004, 21 million households (or 33% of all wired households) will be paying their bills electronically, while 2 billion consumer bills, which represents 13% of all U.S. bills, will be presented and paid electronically, according to a September 1999 Forrester Research report.

Edited by Ellen Jensen