Mar 14, 2010

What will happen to fintech companies that are not global?

In a recent interview, Ken Chenault said something else that got my attention, but is not really related to the main post I did on the interview.

"The economy is going to grow slower than it did before the downturn, even when we recover. That emphasizes the criticality for large companies to have a global presence. You can't have a dependence on a single market. We look at countries like China, Mexico, Brazil, Russia, India -- the reality is that those growth rates are still healthy."

Welcome is well positioned in this respect, as a global provider of loyalty/payment technology to banks, but there are still many financial technology suppliers whose customers are almost entirely in one or two countries. That's true of course for almost all small companies, but even some of the big US suppliers (Jack Henry, Metavante, ...) are entirely US based.

Obviously, I am building Taggo as a global provider from day 1, just as I did for Welcome.

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