October 18, 2017
Apparently, close to 1.5K. That is how many FinTech startups are operating in the payments segment – one of the most represented and well-funded segments in FinTech (along with lending). Let’s see why.
There are two main levels of competition in FinTech – the first one for survival (which happens within FinTech), and the next one for cross-niche leadership (in the ‘real world’, where grownups like Amazon and Apple operate).
The first one is pretty trivial; the vast majority of FinTech startups around the world are competing for capital, traction, and an extended runway before the next round. More importantly, on that level, the only competition that matters is with fellow startups. Whether there are 1.5K FinTech startups building some sort of a payments solution, or there are 5K doing the same, only a handful have a resemblance of a chance in an intensely competitive market.