May 31, 2015
Mobetize Corp. is targeting customers of Western Union, MoneyGram and other money transmitter operators (MTOs) by enabling mobile and telecom operators to now offer an alternative low-cost money remittance service. Mobetize has completed its contracts, technology integrations and compliance globally to incorporate international remittance solutions and their networks with other financial services to be offered by new and existing telecom distribution partners. This offering is a key driver for telecom operator partners to launch mobile money solutions and mobile wallets for millions of current subscribers.
Mobetize is simplifying and digitizing the money transfer process for telecom customers in the US and Canada who regularly send money to their family members in places like Mexico, the Philippines and India. Telecom subscribers can now easily transfer funds securely via proven money remittance networks that operate in 150 countries, using 185,000 agent locations and connections with more than 600 banks to deliver funds.
The Mobetize vision is to be the go-to solution for telecom operators for mobile money services via its unique financial services aggregation platform. Unlike most MTOs and financial service providers, the Mobetize team has a unique mix of telecom billing, payments and financial services experts. Mobetize allows its telecom operators to brand the service, and pick and choose the financial services they want to offer to their customer base. The mobile money solution can be launched to customers through an application program interface (API) or as a stand-alone system.
In an official press release, CEO of Mobetize Corp. Ajay Hans said, "The ability to deliver money transfer remittances with global payout channels using the smartphone and online is a major milestone for Mobetize. This combined with our other financial services offerings will be the most compelling solution for telecom operators to launch mobile money services from a single platform. We see a huge opportunity from the rapid shift of bricks-and-mortar style remittances to online and mobile, and we plan to be a disruptive force."
The remittance market is an enormous business within the financial services space. The World Bank estimates that by 2016 over $700 billion will be sent overseas by family and friends and about $100 billion is now being sent just from the US and Canada alone annually. The core focus of Mobetize has been to ensure it has the technology, compliance and geographic footprint to enable the cash payout capabilities needed. This has been the strength of both Western Union and MoneyGram alike within their networks. Mobetize is now well-positioned to offer their network to telecom operators and messaging apps like Facebook (WhatsApp), Skype and others who are uniquely positioned to participate in leveraging this lucrative and disruptive technology model.