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        had  not  seen  any  material  adverse  changes  to  its   In our payments ecosystem, when a member
        operations or business, nor had it seen any cyberattacks   gets hurt, we are all impacted. We have stood
        perpetrated from PAX devices anywhere in the world. The
        company affirmed it would continue to serve partners     together against supply chain challenges and
        and customers to the best of its ability, using high product   natural and economic disasters. Why stop
        standards.                                               now, when one of our leading manufacturers
                                                                                 is under attack?
        "The Company notes the KrebsOnSecurity Article
        did  not provide particulars of  any  such 'reports,'"  PAX
        representatives wrote. "It only referred to a second hand
        hearsay quote from the 'source' of the writer that referred   loyalty programs and telemetry data that reference a
        to other unnamed sources that 'there is tech proof of the   central processing unit’s memory usage and software
        way that the terminals were used  in  attack  ops.'" PAX   update histories, they added.
        noted these are unsubstantiated allegations.
                                                                "Therefore, depending on how consumer businesses (where
        Get the facts right                                     the Group’s payment terminals are typically deployed) are
                                                                operated and the configuration of communication of the
        It may not be clear to payments industry outsiders, but POS   applications with host, 'data packets' or 'network packets'
        terminals have come a long way from auth and settlement.   sizes can vary and be larger than what basic payment data
        To my earlier point, there is more to POS terminals and   would involve," wrote PAX Technology engineers.
        their underpinning technologies than meets the eye. PAX
        acknowledged this in its Oct. 29 statement, by attempting   Until more facts come to light, all I am saying is give PAX
        to explain the inner workings of their terminals.       a chance.

        Large data packets transmitted from PAX devices may
        look suspicious to an untrained eye, but today's terminals   Dale S. Laszig, senior staff writer at The Green Sheet  and managing
        transmit more than just payment data, PAX engineers     director at DSL Direct LLC, is a payments industry journalist and content
        explained. Terminals may also indicate geolocation,     strategist. Connect  via  email dale@dsldirectllc.com,  LinkedIn  www.
                                                                linkedin.com/in/dalelaszig/ and Twitter @DSLdirect.
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