Next in Google’s Quest for Consumer Dominance: Banking

www.wsj.com

Google has (re)entered the financial services game, this time with a checking account product. Codenamed Cache, unlike a lot of other players in the space who have also entered the space, Google’s approach seems designed to make allies, rather than enemies, in both camps. The financial institutions’ brands, not Google’s, will be front-and-center on the accounts, and Google will leave the financial plumbing and compliance to the banks—activities it couldn’t do without a license anyway. Banks (and everyone, really) are nervous that datasets across Google can be leveraged to drive more in depth value for customers that will eventually lead Google to circumvent the banks entirely. The reality is Google can probably just use the transaction data and their AI/ML models to do some cool stuff for customers. I don't see them trying to get their own licenses and go full end to end. Why would they when they can have banks do the dirty work for them?

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