Late last month, Global Payments Inc. announced it will embed its Netspend prepaid card into Amazon Web Services. The Atlanta-headquartered firm made these announcements during a conference the company held to share its second-quarter results.
Another noteworthy highlight was its plans to buy all of Spain’s Caixabank payments businesses under the firm’s Bankia unit. With this move, the company intends to make a global impact in what it considers a flourishing Spanish market, according to executives.
Global Payments CEO: PayPal’s Moves Won’t Change Our Plans One Bit
Furthermore, the team from Global Payments Inc. seemed less bothered by the cut-throat competition in the acquiring space from a newly-motivated PayPal Holdings Inc. In their defense, Global’s May-initiated $830-million takeover deal with real-estate transaction processor Zego Inc. has already been sealed. Plus, a separate agreement to buy PayOne, the acquiring wing for Austria-based Worldline S.A., is yet to close later in the year.
In the meantime, Global Payments Inc. boasted a strong Q2 for both its issuing and acquiring wings to rise above the challenges brought along by Covid 19. “Instead of hampering our strategy, the global crisis inspired further share gains,” says Jeff Sloan, the firm’s CEO.
Global Payments Inc. believes extending Netspend’s issuing convenience to Amazon Web Services will make the service available in global markets and make it easier for fintechs and neobanks to jump on board.
Last year, Global entered a deal to engineer cloud-based issuer capabilities with Amazon Web Services. Up until now, the payment firm has penned 20 proposal letters with AWS, an improvement from four at the beginning of 2021, according to Sloan.
Netspend is yet another product of Global’s M&A efforts. In essence, it came as part of its 2019 $21.5-billion takeover of Total System Services Inc.
Global Payments Inc. is determined to make a global statement, but their journey up won’t be a smooth sail with capable competitors like PayPal getting more aggressive.
Nevertheless, despite PayPal’s latest moves to rethink its pricing and introduce Zettle (its POS tech) to the US, Global Payments boss maintains that his company will continue its plans.
“PayPal is a market leader, but their course doesn’t change our plan one bit,” says Sloan.
Author Bio: Payment industry guru Taylor Cole is a passionate payments expert who understands the world of Global payments. He also writes non-fiction, on subjects ranging from personal finance to stocks to Cryptopay. He enjoys eating pie with ice cream on his backyard porch, as should all right-thinking people.