Key Takeaways:
Big tech investment activity in fintech is declining. Big tech companies have participated in 10 fintech deals worth a total of $1.2B in 2022 so far — their slowest pace of deal activity in the space for years.
Big tech competition intensifies across digital wallets and e-commerce. Apple and Google are now in fierce competition for the digital wallet category. Both giants are eyeing a slice of the digital ID market, but Apple has a potential edge due to its partnership with the TSA. Meanwhile, Google and Meta are emerging as new e-commerce hubs, competing for Amazon’s market share.
Big tech is experimenting with a wide range of fintech offerings, but some are still finding their footing. Google canceled its banking initiative Plex before the rollout, leaving long waitlists behind. Similarly, Meta ended its crypto initiative Diem after 3 years. However, the companies are far from abandoning fintech — Google, for example, has put its focus back on digital enablement.
