|
Newsletters
|
|
|
|
|
|
WirelessDevNet.com Press Release
X-Change Corporation Subsidiary AirGATE Develops Inmate Identification System
DALLAS-- Oct. 5, 2005 -- AirGATE Technologies, Inc., a wholly owned subsidiary of the X-Change Corporation (OTCBB:XCHC), has developed a prototype system using radio frequency identification (RFID) to authenticate inmate identification in an effort to verify usage of the often-abused prison phone system. At as little as $.01 per transaction, AirGATE could potentially realize over $4,000,000 in revenue in the first year of deployment.
The Company sees great potential for RFID in prison phone systems. According to Bureau of Justice statistics on June 30, 2004, 2,131,180 prisoners were held in Federal or State prisons or in local jails. Prisons extend telephone privileges to inmates as part of their overall correctional management. Telephone privileges are a supplemental means of maintaining community and family ties that will contribute to an inmate's personal development.
Inmates make over one million phone calls per day in correctional institutions. The majority of these calls are collect, although some institutions have begun using inmate issued debit cards against inmate accounts. In California, for example, a 15-minute collect call from prison costs the party at the receiving end about $90. Prison and telephone officials claim the high rates are due to the special security needs of prison phones, but state and local authorities also levy a hefty commission on top of phone company rates. In the average year, the California correctional system earns $26 million combined, from revenues generated by MCI and Verizon (Legal Affairs 2004).
Inmates are issued PIN numbers to validate identity when making phone calls to prevent misuse and fraud, however, inmates may forget their PIN numbers and use intimidation to steal PIN numbers and make unauthorized phone calls. This may result in lost revenue and scams, that enable the offending prisoner to make phone calls that are charged back to the victim's account. To secure the PIN number, some institutions use voice recognition imprints, restricted call lists or other surveillance techniques. RFID offers a cost effective alternative. A number of companies have begun providing RFID-enabled wristbands to prisons. These non-removable (except with special tools) wristbands help classify and track inmates and assist in medication distribution, tracking, and commissary use. They save time, money, and labor, while ensuring positive inmate identification.
AirGATE is developing a prototype RFID scanner that is located within the telephone that reads the inmate identification from the wristband. It can be used with or without a PIN, and is suitable for both collect and debit card calls. AirGATE will charge per call for authentication. The Company will work with wristband suppliers and suppliers of controlled phone system solutions. AirGATE expects to have the system deployable in the first quarter of 2006.
About AirGATE Technologies
AirGATE Technologies, Inc. is an early-stage company specializing in radio frequency identification (RFID) and wireless, intelligent, sensor technology. As a full-solution company, AirGATE Technologies handles business assessment, process and technology blending, solution architecture, technology selection, including proprietary AirGATE technology, and solution integration and support. The Company has, in an environment of technology cost compression, built a stable of technology partners that are best in class and span a wide range of solutions to support small, medium and large enterprises. Please visit www.AirGATEtech.com for more information.
About the X-Change Corporation
The X-Change Corporation is a company that was organized to seek merger or acquisition candidates. The Company intends to acquire interests in emerging opportunities that the Company believes will generate significant revenues and return a profit to shareholders. Please visit www.x-changecorp.com for further information.
|
|
|
