IDC forecast on payment strategies and tech spending

digital payment and technologyIDC has revealed forecast on the worldwide payment strategies.

In 2018, financial institutions will allocate $6 billion to internal resources to handle transforming their payment systems.

In 2019, P2P transactions worth a total of $6 trillion will be made worldwide using mobile devices.

DLT-based networks will be launched within the next 24 months in 25 percent of global transaction banks — in particular, to facilitate kyc, accelerate supply chain finance, and drive SME lending — but blockchain payment systems will not be a priority area.

In 2018, more than $150 billion will be spent through IoT and connected devices.

By 2021, 75 percent of enterprise point-of-sale vendors will have begun significantly re-architecting their solutions to meet rising expectations for current omni-channel capabilities and customer experience expectations.

Despite the lack of an equivalent regulation to PSD2, by 2021, 90 percent of non-European banks will have moved in a similar direction to European banks in terms of sharing data via APIs, but they will have done so for competitive reasons rather than regulatory ones.

Corporate banks will invest 15–20 percent more in big data/analytics in 2018 than in 2017 — $2.2 billion in total — in their efforts to move from a transactional to a data-as-a-service business model, offering real-time and predictive analytics on fraud, compliance, and scenario modeling.

By 2019, 70 percent of standalone mobile payment players globally will no longer exist in their current form; through natural evolution, mergers, and acquisitions, mobile payment players that are showing promise today will have transformed into full-fledged financial services ecosystems.

By 2021, all major payment service providers will interact with digital identity marketplaces used by consumers and businesses to self-govern private data sharing and use, allowing data to be uploaded for payment companies to access via a subscription model.

In 2020, 25 percent of card-issuing banks will use micro-location for enhanced security through a combination of nfc and beacons to satisfy mutlifactor requirements to secure payments, such as at PoS and P2B.

Related News

Latest News

Latest News