On Monday, Fiserv – a recognized provider of transaction and technology services for financial institutions – stepped up to the plate on mobile payments. And the company doesn’t seem intimidated in the least by Square and PayPal.
According to the inside knowledge gained by Bloomberg, Fiserv is about to unveil a black attachment called SpotPay that lets iPhones and iPads accept credit and debit cards.
The company, which has 16,000 clients, will also enable it’s offering to deposit checks into bank accounts.
Fiserv’s entry further increases competition in the micro- merchant processing market, set to reach $1 billion in 2016, up from $30 million last year, according to researcher Aite Group LLC. Square, PayPal and VeriFone Systems Inc. (PAY) are among companies that already offer merchants similar attachments. Groupon Inc. (GRPN), the daily coupon website, is testing an attachment as well, Bloomberg reported in May.
“We just see the success the Square product has had out there, and many of our clients have expressed an interest,” Rahul Gupta, group president of digital channels at Fiserv, tells Bloomberg. “We view it as an extension of the banking relationship.”