It is going to be a tough road for Walmart (ticker: WMT), to catch Amazon (ticker: AMZN). The latter can use profits from PRIME and AWS to subsidize investments that provide a competitive advantage in retail operations and elsewhere (think cashierless checkout). One way for Walmart to begin to remedy this situation would be to … Continue reading Walmart + PayPal = True Commerce
PayPal (tkr: PYPL) plans to acquire e-commerce rewards company Honey Science Corporation for approximately $4 billion. The deal is expected to close in Q1 2020 and is but another Fintech deal in a year rich with Fintech transactions. PayPal plans to leverage Honey, legacy PayPal and Venmo as a payments triangle of sorts. Honey of … Continue reading Mobile Commerce – PayPal to Acquire Honey for $4 Billion
Stripe - the payments API company that revolutionized ecommerce payments infrastructure - launches “Stripe Capital”, a commercial credit service that will lend to Stripe customers. Stripe Capital will have two key advantages over traditional Financial Institutions (“FIs”). First, Stripe is present at the point of sale, providing it insight into payments flow before the transaction … Continue reading Stripe Capital – The Latest Fintech Disruptor
Facebook imagines a future in which consumers will pay for online and offline services with its cryptocurrency - Libra. Our view is that Libra will eventually enjoy broad adoption. The cryptocurrency floodgates are open, it’s primarily a question as to how Libra and others will be regulated. Regulation boils down to the size of the … Continue reading Facebook Calibra and Libra.
Innovation is the Mother of Disruption Global Payments (tkr: GPN), and Total System Services/TSYS (tkr: TSS), agreed to combine in an all-stock transaction valued at approximately $21.5 billion. One could argue that Global Payments and TSYS needed to merge to better compete with recent payment mergers, in particular Fiserv and First Data. However, what's the … Continue reading More Payments M&A Is A Reaction to A Shifting Landscape
We've tested a number of the P2P apps over the past several weeks and believe Venmo has the best-in-class user experience. A software executive warned me many years ago: "Don't underestimate the power of the GUI" ("GUI": Graphical User Interface). Venmo's near frictionless user experience combined with Facebook's social features give the application a "leg … Continue reading Social Payments or P2P on Steroids
We sifted through TSYS' recent 2018 U.S. Consumer Payments Study and extracted the highlights. You may view the slides below in PDF form by clicking HERE. To read the full report click HERE. Reach us with any questions at firstname.lastname@example.org
When speaking or writing about Apple we have spent much of the past 18 months beating up on the iPhone. Yesterday's "Apple Event" didn't engender confidence in the firm's content strategy. Anchored by a curated, walled garden approach, Apple's strategy seems mired in the early 2000's at a time when young people have migrated to … Continue reading Apple’s Strategy – The Good, The Bad & The RetroPremium
FIS to Acquire Worldpay for approximately $43 Billion (enterprise value). This deal comes on the heels of the recently announced Fiserv acquisition of First Data. The FinTech M&A spree is approximately two years old at this juncture. So what gives? We went through this exercise a couple of weeks ago with a buyside friend. While … Continue reading The FinTech Consolidation Wave Continues. Incumbents Fear the Mobile Wallet.
JPM has the largest technology budget of any FI having invested approximately $11 billion in technology during 2018 with approximately $5 billion allocated toward new technology investments. This investment level is substantially larger than the new product development/ R&D investment levels of certain well known Fintech players. However, the numbers do not tell a complete … Continue reading JP Morgan vs. Fintech ThreatsPremium