SMobile Systems Offers Security for Mobile Banking Transactions

By Contributor Wireless and Mobile News on September 29, 2008 12:32 PM

SMobile Systems ( www.smobilesystems.com), the leading developer of mobile security solutions, now offers Secure Mobile Banking and Trading (SMBT) endpoint security solution for financial institutions and consumers.

As more and more banks offer their customers mobile banking services, the global threat for data compromise and virus attack increases, putting these transactions and customer money at significant risk. Industry visionaries predict the services to be among the most popular applications for mobile phones.

"Banking transactions will commoditize quickly. This has been the case in other channels such as the teller, the ATM and online banking," said Stessa Cohen, research director, banking industry advisory services, Gartner, Inc. "In fact, given the speed of change on the mobile device, this commoditization will likely be faster for mobile banking. Already, many if not all the vendors in the U.S. market offer similar sets of transaction functionality."

According to Javelin Strategy & Research, 27 million U.S. adults participated in mobile banking activities in 2008 and in 2009 that number will grow to 47 million. This number will account for an exponential growth in vulnerability of key personal and business data through mobile deposits, payments, transfers, and other services. A different study from In-Stat, suggests that the use of mobile phones as digital wallets will be responsible for billions of dollars in commerce and reach widespread consumer acceptance by 2012.

"Mobile banking offers users a great convenience but what is frightening is the blind faith in the security of user devices and wireless networks," said Rick Roscitt, chief executive officer, SMobile Systems. "In order to remain a leader in mobile security we have made it our business to be nimble and respond quickly to the needs of the market."

By implementing SMobile's Secure Mobile Banking and Trading endpoint security solution on smartphones and mobile handsets, mobile trading and banking will be protected from malware and external attacks by protecting the most vulnerable aspect of the transaction: the mobile device itself. Consumers will benefit directly by ensuring the privacy and integrity of their mobile banking and trading transactions, thus mitigating the risk of identity theft and the unauthorized transfer of money from their accounts. Financial institutions will not only be able to protect themselves from considerable monetary liability, but also use the added security benefits as a competitive differentiator against less secure mobile banking and trading solutions.

Daniel V. Hoffman, chief technology officer, SMobile Systems reminds mobile bankers of the company's vigilance in saying, "Our Global Threat Center monitors and keeps us apprised of all dangers to mobile phones, but increased connectivity and the transfer of sensitive data inherent in mobile banking will open users and corporate networks to a whole new array of attacks that can secretly capture usernames, passwords, account information and device identification information, then upload this information to hackers; this is a tremendous threat and endpoint security is the only means to protect against these attacks that exist today."