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The example of smart "sneakers" (or "running shoes" as they're known to anyone who actually runs) is yet another IoT payment solution looking for a problem. For one thing, depending on how much you run, shoes typically last several months or maybe a year or more. The effort of adding auto-ordering and payment capability to the shoes is simply not worth the saving of time. For another, choosing a new pair of running shoes is part of the fun of being a runner - why do you think manufacturers bring out new models so frequently? Having a chip simply re-order the same model of shoe would reduce the enjoyment of the sport. I suggest Visa spend more time considering the big picture of what consumers actually want and how they behave, rather than using gee-whiz technology for its own sake.

Umm ... there is "a competitive procurement process" already in place. VocaLink have processing contracts with the various schemes, and those contracts periodically come up for renewal. The PSR needs to address the deeper issue of why the renewal is always awarded to VocaLink and never to alternative bidders.

Let's hope that 3-D Secure 2.0 is compatible with PSD2 Secure Customer Authentication requirements, because the current version doesn't seem to be!

There's an interview here with Michael Miebach, Mastercard’s Chief Product Officer, that aligns with my predictions. For example he highlights: 

…capability to leverage Fast ACH technology for digital debit payments through its Zapp mobile payments app…

and says:  

 VocaLink will provide Mastercard with a complementary set of technology will enable it to participate in a much broader range of payment flows. “And it will allow us to continue to grow our services business across their customer base and their payment flows and vice versa for their services business”

While the high street banks were in control of Vocalink there was little incentive for them to make access to the clearings easier, because they derive a revenue stream from smaller banks that connect indirectly (via the member banks). The limited technical performance of those indirect connections meant that smaller banks could not offer the same quality of service that member banks can.

Mastercard do not have any such conflict of interest. Their revenues will depend on the number of banks connected and the volume of payments made, so they will have an incentive to get more banks on board with high speed connections and innovative services to encourage customers to make more electronic transactions.

The Mastercard acquisition could provide a shot in the arm for access to clearings, innovation and hence competition.

Bloomberg says "The Consumer Rights Act rules mean all customers who lost out will automatically become part of the claim." Sounds like the next PPI - "Did you use a MasterCard credit card between 1992 and 2008? You could be entitled to a refund ..." 

This re-iterates my blog which was published 3 months ago. I made many of the same points, and even introduced the name Masterlink!

"15% of mobile apps have APIs in them" says Jeremy. What on earth does that mean? All mobile apps make use of the rich set of APIs offered by HTML5 and/or the handset's operating system, and most mobile apps communicate with back-end servers via APIs of one sort or another. I'd love to know where the 15% figure came from, and how it's relevant to PSD2!

Worldpay took the opposite route when RBS sold them off in 2010. They decided to build a new technology platform to go live in October 2013 and yet in April 2016 the new platform's still not live. IT projects can over-run irrespective of the technology being used, and on-time delivery is not the same thing as success.

I assume that for W&G, "like for like replacement" was seen as an easier, quicker and lower risk strategy than migrating to a new platform. But even if it had been delivered on time, the project would still have failed to deliver a great customer experience, a platform for the future, or even a reliable service - and that failure should have been foreseen before the project was even initiated. Sacrificing key project benefits in a vain attempt to meet a deadline that ends up slipping anyway is madness. 

This could solve some of the problems associated with deferred net settlement for the forthcoming Dutch Instant Payments scheme. Blockchain settlement of interbank obligations using Central Bank Digital Currency provides a much more elegant solution than a central settlement agent with restricted operating hours.