Cubic Corp. (NYSE: CUB) received a $394 million contract to provide the fare collection system for the San Francisco Bay Area’s transit providers, announcing the win on Sept. 27. Cubic, which has run the system since 2009, will provide so-called Clipper cards to people who ride with the region’s 22 bus, subway, rail and ferry operators.
The San Diego company said it plans to roll out new technology — which includes a mobile payment component — in phases over five years. Cubic will then operate the system for 10 years, beginning in 2022. Cubic’s cloud services partner is Microsoft, which will provide financial, analytic and customer management software.
Cubic said it plans to deliver a range of new features to Bay Area commuters including an integrated mobile app that will let customers access real-time information, reload their accounts, plan trips and tap their phones as virtual Clipper cards through fare gates and on buses in much the same way as mobile payments can be made at retailers.
Kearny Mesa-based Cubic is on a winning streak. It recently pulled in major fare system contracts in New York, Boston, Los Angeles, Miami, Washington D.C. and Brisbane, Australia.
Cubic, which reported $1.49 billion in revenue last year, operates two lines of business. In addition to offering fare-collection equipment and services to transportation departments, Cubic is a defense contractor.