Wells Fargo And Other Banks Join Forces To Tap $2T Payments App Market Against Apple Pay, PayPal

Wells Fargo & Co (NYSE:WFC), Bank Of America Corp (NYSE:BAC), JP Morgan Chase & Co (NYSE:JPM), and four other banks worked on a digital wallet linked to their debit and credit cards.
Early Warning Services LLC would manage the wallet that aimed to compete with Apple Inc (NASDAQ:AAPL) Apple Pay, and PayPal Holdings, Inc (NASDAQ:PYPL), CNBC reports.
EWS would launch the new wallet with Visa Inc (NYSE: V) and Mastercard Inc (NYSE:MA) debit and credit cards.
Bernstein analyst Harshita Rawat said it would take time for the new wallet to be a severe risk to incumbents like PayPal.
“It simply takes a very long time, a killer customer experience, and a compelling merchant value proposition to build the two-sided network effects in payments to achieve scale,” Rawat said.
Leading banks had a mixed earnings season, with several CEOs, including Bank of America’s Brian Moynihan, warning against a mild recession in the U.S.
The U.S. e-commerce payment market will likely grow to $ 1.97 trillion in 2028 from $875.20 billion in 2022 at a CAGR of 14.49%.
Price Action: PYPL shares traded higher by 0.37% at $79.43 on the last check Monday.
Photo by Christiann Koepke via unsplash