If you are passionate about technology and finance, headlines like “Amazon wants to offer banking services”, “Facebook makes its own […]
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If you are passionate about technology and finance, headlines like “Amazon wants to offer banking services”, “Facebook makes its own bank” or “Google intends to become a bank” should not be new indeed. The fact is that it is increasingly evident how the next “disruptive” revolution in the payment services sector will be carried out directly by stars-and-stripes tech giants.
Payment solutions offer will increase
Google, Apple, Facebook, Amazon and Microsoft, in particular, are already major investors in the payments sector. Infact, each of these companies have already introduced offers and features with a high disruptive potential for individual parts of the traditional banking sector. Further offers and functionalities will certainly be developed by them in an attempt to build their own ecosystem.
We still trust traditional banks
What is still unclear is whether these groups, which at the end of 2016 were sitting on more than 400 billion dollars in liquidity looking for a purpose, will want to become an integrated bank in all respects and whether or not the general public, who still have a lot trust in traditional banks, will be willing to become their customers. In the end, according to many, the answer could be a middle ground.
The battle for the future of banking
Google and other US high-tech giants, despite having the means, do not seem to be interested in revolutionizing and completely disrupting traditional banking. However, they are ready to take advantage of the possibility of offering more efficient and cheaper solutions to specific user needs. So it’s not so much the banks that should be worried but rather bank workers currently employed in jobs with low added value. As for investors, the expansion in the financial sector could mean further growth in turnover and profits for high-tech giants.