Pano Logic Shutdown Shows Little Impact on CUs
The out-of-the-blue October closure of Pano Logic, a Redwood City, Calif.-based provider of virtual end user systems, shocked its clients, which included at least three credit unions–the $3.4 billion Redstone Federal Credit Union of Huntsville, Ala.; the $701 million Vantage Credit Union of Bridgeton, Mo.; and the $1.35 billion Central Florida Educators Federal Credit Union of Lake Mary, Fla.
Three months after the vendor’s sudden shuttering, Credit Union Times asked Vantage CU how the incident has affected its operations. The credit union’s response? Not much. Toby Ragaini, vice president of technovation for Vantage CU, and Dean Parkinson, director of operations, said they’ve continued to use the Pano System for VDI (a set of devices used to deploy virtual desktops throughout an organization) since the company’s demise and praised the value of the system to this day.
Depending on how mission-critical its product is, the sudden death of a vendor can cause anything from a catastrophe to a mild inconvenience for credit union clients, Hodgins said. In the case of a vanishing technology vendor, Hodgins suggests credit unions talk to their regulators about alternative products and reach out to the vendor’s other former credit union clients. He also said it’s a good idea for credit unions to obtain a vendor’s software codes so they have the option of hiring someone to run it for them.
“Usually, you’re talking about getting temporary support until someone else buys and runs it,” he said. “Depending on the product, it can kill you in a week, or it can be a nonissue.”