Abstract

This IDC Perspective looks at the recent trend in M&A among companies in the payments industry. In the past 18 months, a new trend has emerged bringing together bank-based and merchant-based payment technology companies in previously uncommon ways. The deals have been driven by a range of global industry drivers, including scale and efficiency, emerging competition, emerging real-time payment networks, and the growing globalization of payments. As economies emerge from the COVID-19 crisis, the industry will take a fresh look at these business combinations and additional consolidation is likely.

According to Aaron Press, research director, Worldwide Payment Strategies at IDC, "The recent wave of M&A among companies brings to light the fact that bank, corporate, and merchant payments have considerable overlap and that, in many cases, it makes sense to bring these traditionally separate markets together."

Coverage