2.25.19 Your morning briefing

Register now

The information you need to start your day, from PaymentsSource and around the Web:

Mobile showroom
BMW and Daimler have been working together for more than a year on mobile technology projects, a collaboration that's gradually gaining a roadmap.

The automakers will launch several ventures in the near future, covering ordering and payments for car-sharing, ride hailing, parking, charging and multimodal transport services, reports CNBC. The services are designed to take on Uber, and will require a smooth connection to users' payment credentials to counter Uber's user experience.

To that end, BMW and Daimler will embed a single experience for booking and paying for rides and parking. The automakers will pursue additional partnerships or investment stakes in startups to extend the menu of services, CNBC reports.
Uber's maneuvers
Uber is close to a deal that will sell Uber Eats' Indian operation to Swiggy, a local food delivery service. In exchange, the ride sharing app will get a 10 percent stake in Swiggy, The Economic Times reports.

Swiggy has a $3.3 billion valuation, and recently raised about $1 billion to fund an expansion of its services and grocery range. Uber Eats is also expanding its services in the U.S., and is Starbucks' partner in the coffee chain's emerging delivery business.

Uber is also looking to avoid the expense of a bidding war for delivery and ride sharing apps in Asia, where companies with large valuations like Grab are also active, reports TechCrunch, noting Uber recently made a similar deal in which Uber turned over its delivery and transportation service in parts of Asia in exchange for a 27.5 percent stake in Grab.

On he phone
Sberbank has partnered with WebMoney Transfer to support real-time transfers from Sberbank's cards to WebMoney accounts via the recipient's phone number.

The bank, which is operated by the Russian government, said it intends to add other partners to extend its Zelle-style mobile P2P transfer system.

Sberbank has been a fast adoptor of several new payment and financial technology innovations, including cryptocurrency and e-commerce payments and fulfillment.

Partial clearing
Mastercard has formed a joint venture with Nets Union Clearing Corp. to offer clearing services in China, giving the card brand access to a part of China's payments market.

Mastercard owns 51 percent of the venture, reports Caixin, adding it will be valued at about $149 million. Mastercard and Visa have been trying to obtain regulatory approvals to handle domestic payments inside
China, though the efforts have been stalled due to frequent changes in regulations.

From the Web

IBM executive talks about cross-border payment announcement with Stellar
Altcoin Buzz | Sun February 24, 2019 - Jesse Lund, IBM’s VP for blockchain solutions, has shared some interesting news during the IBM Think 2019 Conference in San Francisco earlier this week. According to Lund, IBM is about to announce a new product which allows payments “from anywhere in the world to anywhere in the world.” Lund said.

Bitcoin.org co-owner calls out Jack Dorsey; predicts CashApp will push censorship
AmbCrypto | Fri February 22, 2019 - An important principle that contributed to the emergence and growth of the cryptocurrency market was its accessibility and the lack of a “bar on entry.” The absence of censorship and central authority attracted proponents to make the coin a mainstay in several Libertarian campaigns.

The US will not be cashless anytime soon
Forbes | Sun February 24, 2019 - Cash is still king in the U.S. As reported in USA Today, “the volume and value of U.S. currency in circulation have been on long-terms upward trajectories, reaching record-high levels, according to the Federal Reserve.” The Fed report advised: “Cash continues to be the most frequently used payment instrument, representing 30 percent of all transactions and 55 percent of transactions under $10. While online shopping continues to grow. 77 percent of payments were made in-person.”

More from PaymentSource

Startup tackles truck stops' EMV pain
Fuel payment options in the trucking industry have long relied on private-label cards from giants like Comdata and WEX, but a startup is hoping to break in by capitalizing on new payments technology and the looming gas-station EMV migration.

Lloyds cash-back program too little, too late, pro-cash lobby says
Lloyds is paying small merchants to offer cash back, but consumer groups are already casting the move as inadequate to address the decline of branches and ATMs in the U.K.

China's rural cashless push is a boon to Alipay and WeChat Pay
China's rapid urbanization is causing a payments technology gap between the city and country, leading the government to issue a plan to bring digital payments in small towns and rural areas, a move that should also boost volume for Ant and Tencent's payments businesses.

For reprint and licensing requests for this article, click here.