1.16.19 Your morning briefing
The information you need to start your day, from PaymentsSource and around the Web:
Fiserv will acquire First Data in an all-stock deal with a value of about $22 billion that will combine two of the financial services industry's largest technology and processing companies. Fiserv shareholders will own almost 58 percent of the combined company, with First Data's shareholders holding the rest. The acquisition is expected to close in the second half of 2019.
The combined company will be called Fiserv; and current Fiserv President and CEO Jeffery Yabuki will be CEO and chairman. Current First Data Chairman and CEO Frank Bisignano will be president and chief operating officer.
Both companies have been adding new technology to adjust to the expansion of digital financial services that have threatened traditional business models for companies that service financial transactions. It's an environment that challenges these companies despite their considerable size, and has put pressure on companies such as Ingenico, which traditionally thrived in a plastic card-centered commerce system.
The growth of e-commerce and digital has helped relatively smaller companies that serve that model, such as Square and Stripe, and is forcing the larger established companies to team up and diversify to create larger umbrellas to add a larger and more automated menu of services to lure banks and merchants that no longer want multiple vendor relationships.
Sports ticketing is an important way way to build consumer habits that drive adoption of new payments technology, making PayPal's agreement with AXS a major deal for both parties.
PayPal will be the official digital payment provider for AXS, a Los Angeles-based data, ticketing and marketing company that has more than 200 sports teams, facilities, theaters, clubs and universities in the U.S. and Europe as clients.
The collaboration also boosts AXS Mobile ID, a digital ID ticketing platform which allows fans to enter venues via mobile devices without requiring paper or PDF tickets.
Canada's open banking committee has entered the consultation phase which could result in the adoption of PSD2-style regulations that facilitate the sharing of information between banks and third parties such as mobile payment apps.
The Canadian committee is soliciting input from Canadian companies and other parties on the benefits and challenges of open banking, with a focus on privacy, security and stability.
Another study and consultation later this year will cover implementation opportunities and challenge.
The bank is collaborating with Azbuka Vkusa, a Russian supermarket, to enable consumers to pay via finger biometrics.
The bank has upgraded 20 percent of its branches to register user biometric data, which qualifies Sberbank to participate in a Russian program to collect ID information for a unified identity system, reports Finextra.
The U.S. Faster Payments Council, which pushes cooperation to build faster processing, has named Kevin Christensen at acting executive director and interim board chair.
Christensen is a senior vice president at the Shazam debit network and was part of the group that formed the FPC.
The group in the coming months will focus on security, transparency and public awareness of near-real time processing and digital transactions.
More from PaymentsSource
Caper's AI shopping cart goes national to counter Amazon Go
Caper is expanding its AI-powered shopping cart nationally as Amazon looks to build a network of up to 3,000 cashierless Amazon Go stores.
Worldpay, Revel team up to battle fintechs
Revel Systems has entered into a non-equity strategic partnership with global payment processor Worldpay to create and deliver a more comprehensive set of payment solutions for Revel customers.
TD powers instant brokerage funding via Apple Pay, messaging
Investors in a hurry can instantly add funds to a TD Ameritrade account through Apple Pay using the brokerage’s new messaging chatbot.
Visa, designer Rebecca Minkoff launch small-biz women networking program
Visa is working with handbag designer Rebecca Minkoff to debut a global program to fuel networking among women business owners, while also connecting them to companies in the Visa ecosystem such as Square and Yelp.