NCR expands through separation into 2 companies

The ATM industry, typically a fairly conservative industry, has been experiencing major changes this year.

First, a major player,Diebold Nixdorf, announced this year that it was filing for Chapter 11 bankruptcy protection. It was able to put together a reorganization plan and has continued working with existing and new clients. Meanwhile, Hyosung rebranded to Hyosung Innovue, with the aim to deliver an innovative experience for ATMs, cash management and payments.

Lastly, NCR Corp. also made a big announcement that it would separate into two businesses, one to focus on retail, hospitality and digital banking and the other to handle ATMs. It recently announced the names of these two businesses: Voyix and Atleos. Both of these names have particular meanings for the industry at large.

To learn more about this announcement and what impact it will have on the ATM business, ATM Marketplace spoke with Scott Sykes, executive director of corporate communications, and Jennifer Personette, CMO of NCR Corp.

Q.What was the inspiration behind the names NCR Voyix and NCR Atleos?

Sykes: NCR Voyix is a nod to the ever-present vision, innovation and partnership that NCR offers its customers as we work with them in their voyage to succeed. NCR Voyix will leverage NCR's industry-leading software to continue transforming, connecting and running global retail, hospitality and digital banking technology platforms. In speaking with thousands of stakeholders to finalize each company's name, it became clear that "NCR" is a proven badge of experience and service that customers, industry analysts and employees encouraged NCR to retain. For the digital commerce company, the "Voyix" name demonstrates the concept of a voyage, which is how customers describe their journeys with NCR. The company is with them every step of the way, ever-present to unify technologies and guide customers toward their visions. The inclusion of "x" is purposeful — representing the actionable insights delivered to customers and the visual manifestation of the company's ability to "link" the digital and physical worlds.

The new name for the ATM business, NCR Atleos, reflects the strength of the NCR brand and our success in helping banks and retailers create best-in-class solutions, within and beyond the branch or across their map of expansive networks. This business will build on NCR's leadership in solutions that enable customers to meet global demand for ATM access while leveraging new ATM transaction types, including digital currency solutions, to drive market growth. As with NCR Voyix, constituents surveyed encouraged the company to retain the NCR name in some way. "Atleos," for an atlas or map, speaks to the company's focus on expanding transactions and access worldwide. "At" also nods to the company's past and present history with automated tellers, which combined with "eos," or the dawn of a new era, speaks to NCR's drive to scale ATM as a Service (ATMaaS), interactive tellers and future innovations.

NCR conducted a thorough naming process with global consultancy Interbrand that included surveys, research and the engagement of thousands of stakeholders including employees, customers, investors and industry analysts.

Q. What were the contributing factors that led to the decision to separate into two companies?

Sykes: It has become clear that NCR has the opportunity to unlock value for our shareholders by separating our digital commerce business and our ATM business. We have made significant strides over the past four years in creating a leading software-as-a-service business while continuing to strengthen and grow the ATM business. By creating two best-in-class independent companies, we should be able to accelerate the pace of transformation by enabling each to execute its own growth strategies and better capture the value-creation opportunities ahead.

Q.What type of products and services will Voyix offer?

Sykes: This is our digital commerce business which includes industry-leading software for transforming, connecting and running retail, restaurant and digital banking technology platforms.

Q. What kind of innovations are in the near future for Voyix and Atleos?

Sykes: The separation would create two strong companies at scale, each with distinctive business goals and capital structures and allocation, as well as increased flexibility to innovate. Each company can simplify its operations and focus on what it does best, and because they will have different growth profiles and economic models, separating them will also provide investors with greater transparency and a better ability to value each of the businesses. And, importantly, we believe this approach will put us in the best position to drive the most competitive products and solutions for our customers.

Q. What excites you the most about this move by NCR?

Personette: We took the responsibility of renaming a company with more than 130 years of history very seriously. The strength of both brands, which build on our existing positive brand value, is evident in the recent momentum of the business and customer feedback. I am also proud that we chose names through a process that included feedback from 12,000 employees who expressed their pride in NCR.