Revolution Money To Launch Payment, Credit-Card Service - InformationWeek

InformationWeek is part of the Informa Tech Division of Informa PLC

This site is operated by a business or businesses owned by Informa PLC and all copyright resides with them.Informa PLC's registered office is 5 Howick Place, London SW1P 1WG. Registered in England and Wales. Number 8860726.

IoT
IoT
News

Revolution Money To Launch Payment, Credit-Card Service

Ted Leonis, chairman of Revolution Money, told the Web 2.0 Summit that the new service would combine online payments with a less expensive credit card interchange platform.

Revolution Money, an online payment service that will go up against EBay's popular PayPal, is scheduled to launch in November, executives said at the Web 2.0 Summit in San Francisco.

Ted Leonsis, chairman of Revolution Money, told attendees gathered Wednesday at the conference's opening general session that the new service would combine online payments with a less expensive credit card interchange platform. Revolution Money is a subsidiary of Revolution LLC, an investment company formed by Steve Case, AOL co-founder and former chairman and CEO.

The new venture, which is currently in pilot stage, will let users transfer money to individuals and online merchants at no charge through its Revolution MoneyExchange. In addition, the company will offer RevolutionCard, a credit card with an interchange fee of 0.5%, which is considerably less than the 1.9% charged to merchants by other cards. RevolutionCard would not carry the cardholder's name, and would use a personal identification number, or PIN, much like an ATM card.

Revolution Money's initial distribution platform will be AOL's instant messaging service AIM. A link to the new service will be available through the AIM client. Besides Case, Revolution's backers include Citigroup and Morgan Stanley.

During his keynote, Leonsis described the new company as "PayPal meets MasterCard without the high fees." Because of its lower charges, Revolution Money will be a better payment option for small Web transactions, such as for buying 99-cent tracks on online music services, Leonsis said.

The company also hopes to have links on social networks and other online communities, Leonsis said. "We want to become for social networks what PayPal is for EBay."

We welcome your comments on this topic on our social media channels, or [contact us directly] with questions about the site.
Comment  | 
Print  | 
More Insights
The State of Cloud Computing - Fall 2020
The State of Cloud Computing - Fall 2020
Download this report to compare how cloud usage and spending patterns have changed in 2020, and how respondents think they'll evolve over the next two years.
Slideshows
10 Ways to Transition Traditional IT Talent to Cloud Talent
Lisa Morgan, Freelance Writer,  11/23/2020
News
Top 10 Data and Analytics Trends for 2021
Jessica Davis, Senior Editor, Enterprise Apps,  11/13/2020
Commentary
Can Low Code Measure Up to Tomorrow's Programming Demands?
Joao-Pierre S. Ruth, Senior Writer,  11/16/2020
Register for InformationWeek Newsletters
Video
Current Issue
Why Chatbots Are So Popular Right Now
In this IT Trend Report, you will learn more about why chatbots are gaining traction within businesses, particularly while a pandemic is impacting the world.
White Papers
Slideshows
Twitter Feed
Sponsored Live Streaming Video
Everything You've Been Told About Mobility Is Wrong
Attend this video symposium with Sean Wisdom, Global Director of Mobility Solutions, and learn about how you can harness powerful new products to mobilize your business potential.
Sponsored Video
Flash Poll