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IndustryUpdate

and helping them optimize performance, pricing and HSM market to surpass $5.03 billion by 2032
growth strategies, the consultancy added. TSG President
Mike Strawhecker called it a milestone in delivering The hardware security modules (HSM) market, valued
best-in-class benchmarking software. In addition, non- at $1.41 billion in 2023, is projected to reach $5.03 bil-
subscribers can create an account and explore its fea- lion by 2032, growing at a 15.2 percent CAGR. Growth
tures. is driven by rising cybersecurity threats, regulatory
compliance and increasing digital transactions. USB-
RESEARCH based HSMs dominate, while cloud-based HSMs are
the fastest-growing segment, researchers noted, adding
that payment processing leads in applications, while IoT
BPC report explores next-gen digital acquiring security is rapidly expanding. Researchers also found
that North America remains the largest market, while
BPC released its latest report, Next-Generation Acquiring: Asia-Pacific is experiencing the highest growth; key
A New Reality of the Digital-Ready Future, highlighting players include Thales, IBM and AWS, with innovations
key trends reshaping the acquiring industry. With a in quantum security and cloud-based encryption driv-
projected 30 percent increase in merchants accepting ing further adoption.
electronic payments by 2028, the report emphasizes the
shift to acquiring-as-a-service for cost efficiency and Retail, restaurant sales accelerate in February
compliance. It explores regulatory impacts from DORA
and PSD3, rising fraud risks and the growth of cross- Fiserv reported that its Small Business Index for February
border e-commerce. BPC’s Senior Vice President Peter 2025 remained steady at 147, unchanged from January.
Theunis stresses the need for acquirers to modernize Pete Dhore, Fiserv’s chief data officer, highlighted
with cloud-native systems to stay competitive in the growth in restaurants, furniture, auto parts, clothing
evolving payments landscape. and healthcare. Small business sales grew 2.1 percent
year-over-year, while transactions rose 4 percent. Retail
FIs playing catch-up following EU's DORA demand stayed strong, with general merchandise (+7.3
percent) and clothing (+3.7 percent) leading growth.
Clear Junction reported that nearly half of financial Restaurants saw increased foot traffic but lower spend-
institutions were unprepared for the Digital Operational ing per transaction while North Dakota, Georgia and
Resilience Act (DORA) when it took effect in January South Carolina posted the highest annual sales growth.
2025. A poll of 170 industry executives found 86 percent The Index tracks real transaction data from 2 million
remain non-compliant, with third-party vendor over- U.S. small businesses.
sight being a major challenge. DORA mandates strict
cybersecurity and risk management for financial firms, PARTNERSHIPS
but many struggle with its complexities, researchers
found. Clear Junction’s Teresa Cameron emphasized
that compliance strengthens resilience and competitive BlueStar, iONLINE team up on IoT solutions
positioning. Firms must act swiftly, conducting gap
analyses and enforcing vendor compliance to mitigate BlueStar Inc., a distributor of digital identification,
risks and regulatory penalties, Clear Junction noted. mobility and security technology, partnered with iON-
LINE Connected Networks to expand its IoT connectiv-
FPC finds digital assets can ity offerings. Through this agreement, BlueStar’s part-
advance financial inclusion ners can access iONLINE’s enterprise-grade connectiv-
ity platform, spanning 220 countries and 700+ network
The U.S. Faster Payments Council released a new report, carriers. This enables secure, scalable IoT deployments
Digital Assets and Digital Ledger Technology: A Pathway to across industries, the partners noted. BlueStar’s Jim
Financial Inclusiveness, which explores how digital assets Hilton emphasized the need for robust connectivity
and DLT can improve financial access. Developed by solutions, while iONLINE’s CEO, David Farquharson,
the FPC Financial Inclusion and Digital Assets Work highlighted the partnership’s role in simplifying global
Groups, the report examines design, liquidity, cash IoT connectivity, making device deployment easier for
access, security and interoperability challenges while businesses worldwide.
highlighting solutions for affordable, inclusive financial
services. Work Group Chairs Anthony Serio and Bo Genesys, MagTek strengthen payment security
Berg emphasized the need for collaboration to harness
digital assets responsibly. The full report is available in MagTek and Genesys Technologies launched CryptoTap
the FPC’s Faster Payments Knowledge Center at https:// Plus with AES-256 encryption, the highest level of
fasterpaymentscouncil.org. commercial encryption, enhancing security in self-ser-
vice payment solutions, MagTek stated. The upgrade
integrates MagTek's Reader Management System to
remotely update DynaProx secure card readers, ensur-
ing seamless encrypted transactions via Magensa Cloud

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