In order to reduce the cost of transaction banks have started out-sourcing and sharing of ATM services and this trend will gather momentum in near future. As this delivery channel gains mass acceptability and is user friendly, the bank can use it to cross-sell its as well as others’ products. For example, banks have already started dispensing railway tickets, movie tickets through their ATMs.
In future a bank’s ATM would function like a kiosk delivering more of non-cash transactions, thereby simultaneously reducing the fixed and operating cost of ATM. BIS Review 57/2003  1  Internet Banking-an emerging delivery channel-offers significant cost advantage to banks. A net-based transaction costs the bank only around Rs.