Revolution Money To Launch Payment, Credit-Card Service - InformationWeek
IoT
IoT
News
News
10/18/2007
09:16 AM
50%
50%
RELATED EVENTS
Faster, More Effective Response With Threat Intelligence & Orchestration Playboo
Aug 31, 2017
Finding ways to increase speed, accuracy, and efficiency when responding to threats should be the ...Read More>>

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."

Comment  | 
Print  | 
More Insights
Comments
Newest First  |  Oldest First  |  Threaded View
How Enterprises Are Attacking the IT Security Enterprise
How Enterprises Are Attacking the IT Security Enterprise
To learn more about what organizations are doing to tackle attacks and threats we surveyed a group of 300 IT and infosec professionals to find out what their biggest IT security challenges are and what they're doing to defend against today's threats. Download the report to see what they're saying.
Register for InformationWeek Newsletters
White Papers
Current Issue
IT Strategies to Conquer the Cloud
Chances are your organization is adopting cloud computing in one way or another -- or in multiple ways. Understanding the skills you need and how cloud affects IT operations and networking will help you adapt.
Video
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.
Flash Poll