26 July 2016
Find out more

AmEx invests in iZettle; O2 launches PINpad for mobile payments

23 October 2012  |  10156 views  |  0 iZettle1

Swedish start-up iZettle, which provides technology that turns mobile phones into payment terminals, has expanded its series b funding round with the addition of American Express.

The development sees AmEx become the second major card firm to join the round, following in the footsteps of MasterCard which signed on in June, along with Greylock Partners, Northzone, SEB Private Equity, and Series A investors Index Ventures and Creandum.

Werner Decker, SVP, merchant services Europe, AmEx, says: "The payments landscape is changing rapidly and we believe iZettle's solution will play an important role in helping to further enable commerce - especially in small merchant segments that have historically relied on cash - by delivering a smart and convenient way for small businesses to accept consumer payments."

IZettle has not revealed how much AmEx has invested to add to the initial round of EUR25 million but says the money will be used for product development and expansion into new markets.

The most immediate target is the UK, where the firm is already beta testing its technology ahead of a wider European roll out. In the Nordics, it claims to have increased the number of point-of-sale credit card terminals by more than 10% since the company began operations in Sweden last August, and expanded to Denmark, Finland and Norway in February this year.

However, while it may have secured the blessing of MasterCard and AmEx, iZettle has fallen foul of Visa. In July it was forced to stop processing Visa card transactions in Denmark, Finland and Norway over security concerns.

In the meantime, another dongle and app-based outfit Payleven has launched, building a keypad into its reader for PIN verification to meet Visa's standards. Another rival, mPowa is currently building its own keypad dongle and asking customers not to use its old swipe hardware.

And today, wireless carrier O2 launched a PINpad device, which works with Visa, MasterCard and Amex, connecting to a mobile phone via bluetooth for accepting payments via Android phone or tablet or BlackBerry smartphone. The company is also working on aversion for iPAD and iPhone.

The O2 PINpad costs £150 upfront or £15 per month for 12 months, with credit card transaction fees of 2.95% or £0.75 for debit cards.
KeywordsEFTPOS

Comments: (0)

Comment on this story (membership required)

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board: sign up now

Related stories

Square cuts New York taxi pilot short

Square cuts New York taxi pilot short

16 October 2012  |  8420 views  |  0 comments
Payleven launches chip and PIN-based Square clone

Payleven launches chip and PIN-based Square clone

03 October 2012  |  10941 views  |  0 comments | 1 linkedin
MPowa reports First National Bank deal; denies own claims on Visa acceptance

MPowa reports First National Bank deal; denies own claims on Visa acceptance

01 October 2012  |  13123 views  |  3 comments | 3 tweets
Payworks brings mobile commerce to Oktoberfest

Payworks brings mobile commerce to Oktoberfest

25 September 2012  |  5408 views  |  0 comments
Latest Square clone launches in Europe

Latest Square clone launches in Europe

24 August 2012  |  9298 views  |  0 comments
IZettle starts testing Android app with Samsung

IZettle starts testing Android app with Samsung

23 July 2012  |  8325 views  |  4 comments
MasterCard joins EUR25m iZettle funding round

MasterCard joins EUR25m iZettle funding round

15 June 2012  |  11737 views  |  10 comments
IZettle releases API for app developers

IZettle releases API for app developers

13 June 2012  |  6962 views  |  1 comments
Sweden's iZettle hires Barclaycard's Roberts ahead of UK launch

Sweden's iZettle hires Barclaycard's Roberts ahead of UK launch

27 February 2012  |  12899 views  |  4 comments
Sweden's Square hits App store

Sweden's Square hits App store

19 August 2011  |  13788 views  |  4 comments

Related company news

 

Related blogs

Create a blog about this story (membership required)
Visit www.abe-eba.euFind out moreVisit VocaLink.com

Who is commenting?

Top topics

Most viewed Most shared
MasterCard agrees £700m VocaLink acquisitionMasterCard agrees £700m VocaLink acqu...
9134 views 14 comments | 32 tweets | 37 linkedin
satelliteContactless Bitcoin startup Plutus Tap &am...
9116 views comments | 9 tweets | 4 linkedin
Apps crush internet for UK banking loginsApps crush internet for UK banking logins
7570 views comments | 18 tweets | 25 linkedin
Thomson Reuters and Imperial College form fintech and regtech research partnershipThomson Reuters and Imperial College form...
5858 views comments | 29 tweets | 16 linkedin
hands typing furiouslyHow machine learning can cut costs on tran...
5837 views 0 | 9 tweets | 2 linkedin

Featured job


Brussels (Belgium) or Paris (France)

Find your next job