Welcome to WebProNews Breaking eBusiness and Search News
Advertise | Newsletter | Sitemap | News Feeds News Feed 
 WebProNews Search Part of the iEntry network iEntry inc. 

Yahoo: Banking Today, Payments Tomorrow?

David A. Utter
Staff Writer
Published: 2006-03-29

WebProNews RSS Feed


If Yahoo Japan's most recent attempt at starting a joint venture and taking a position in an online bank succeeds, it could be a testing ground for establishing an online payment service.

Everyone in Japan seems to want to take deposits from customers. Sony and 7-11 both own virtual banks in the country, Reuters reported, and the rumored arrangement between Yahoo Japan and SMFG would place Yahoo in the mix.

While Yahoo has confirmed talks with SMFG and Japan Net Bank have taken place, details have not been provided. Should these prove fruitful, SMFG's Sumitomo Mitsui Banking Corp and Yahoo Japan would form a joint venture in Japan Net Bank.

Though Yahoo would start with a minority share of 14 percent ownership in the joint venture, that would eventually rise to 50 percent. This will equate to a 30 percent position in Japan Net Bank held by Yahoo Japan, and should provide favorable benefits to Yahoo like reduced payment processing costs.

Owning a bank gives an enterprise control over the payment processing aspect of its business. Instead of paying a third party for processing credit card payments, a company bank does the work.

The world's biggest retailer, Wal-Mart, has long wanted to have an institutional bank as part of its business. That prospect has terrified the commercial banking industry, and Wal-Mart has not yet been able to accomplish this.

Perhaps Yahoo plans to use the expertise it gains in Japanese banking in the US. Ebay has PayPal, and Google has been developing its online payments system. Yahoo has similar needs for payment processing for its auctions and virtual storefronts that it hosts.

Maybe NetBank will receive a call from Terry Semel, seeking to open discussions about a venture similar to that of Yahoo Japan and SMFG. The purely online NetBank would benefit from the influx of business from Yahoo's users, while Yahoo would receive more favorable payment processing terms.

A joint venture should be simpler than writing a payment system from the ground up to compete with PayPal and Google Payments, too.

---
Tag:

Add to | DiggThis | Yahoo! My Web

Drag this to your Bookmarks.



Receive Our Daily Email of Breaking eBusiness News


About the Author:
David Utter is a staff writer for WebProNews covering technology and business.

WebProNews RSS Feed

More Top News Articles

Contact WebProNews
Advertisement





TOP NEWS

Targeted Information for Business
WebProNews is part of the iEntry network

Internet Business: Marketing: Small Business:
WebProNews MarketingNewz SmallBusinessNewz
WebProWorld AdvertisingDay PromoteNews
EcommNewz SalesNewz EntrepreneurNewz

Software: Search Engines: Web Design:
WebMasterFree Jayde B2B DesignNewz
NetworkingFiles SearchZA FlashNewz
SecurityConfig SearchNewz WebSiteNotes

Developer: IT Management: Security:
DevWebPro ITManagement SecurityProNews
DevNewz SysAdminNews SecurityConfig
TheDevWeb NetworkingFiles NetworkNewz

The iEntry Network consists of over 100 web publications reaching millions of Internet Professionals. Contact us to advertise.
eBUSINESS RESOURCES






 Advertise | Contact Us | Corporate | Newsletter | Sitemap | Submit an Article | News Feeds
 WebProNews is an iEntry, Inc. ® publication - $line) { echo $line ; } ?> All Rights Reserved
About WebProNews
WebProNews is the number one source for eBusiness News. Over 5 million eBusiness professionals read WebProNews and other iEntry business and tech publications.

WebProNews provides real-time coverage of internet business.

Free Email Newsletters:
WebProNews SearchNewz
WebProWorld DevWebPro
Marketing SecurityNews
Plus over 100 other newsletters!

Send me relevant info on products and services.


WebProWorld
Ten most recent posts.

NetworkingFiles
Featured Software

WebProNews in the News
View all recent mentions of WebProNews from around the world!

Recent Articles On ...
Google eBusiness
Yahoo Ask Jeeves
MSN Blogs
Search Engines Blogging
Affiliate Programs Marketing
eCommerce Advertising
eBay Sun Microsystems
AOL Adsense
Microsoft Adwords
Oracle IBM
Amazon Apple
SEM Mac
SEO iPod
Adsense XBox
PR Adobe



iEntry.com WebProWorld RSS Feed WebProWorld Contact WebProNews Print Version Email a friend Bookmark us