[hylaride]

That makes no sense. The rest of the world also had the existing systems and moved on relatively quickly.

The issue is that the US banking system is highly fragmented, making universal change difficult. Most other countries have fewer, larger banks (which does introduce other problems that regulation has to be active with), but it means that they can gather together and agree on standards far quicker. Most other countries also have more active regulation pushing universal standards than the US historically did.

[AdamN]

The US credit card system is not highly fragmented - there are just 3 big players and maybe 2 smaller players. There are tons of banks but that's not an issue for chip and pin. Anyway Europe also has a fragmented bank landscape.