BLAINE, Wash., March 10, 2016 (GLOBE NEWSWIRE) -- Mobetize Corp. (OTCQB:MPAY) Mobetize Corp., an emerging leader in the provision of mobile financial services (MFS) technology for the multi-billion dollar business to business (B2B) segment of the financial technology (Fintech) sector is pleased to provide this update for its shareholders and others interested in recent developments along with some background on our company.
Background – Business
Mobetize’s CEO, Ajay Hans, has worked within the telecom, banking and payments industry collectively for more than 20 years. Over the breath of that experience he recognized that telecom billing systems, and transactional processing between telecom operators was very similar to retail banking transactions. The apparent effect of that similarity being that telecoms and banks have been in the process of merging their respective services for years. The advent of MFS technology is now disrupting the banking sector and consumer demand is pushing towards further convergence. Mobetize is at the vanguard of this disruption on the path to becoming an important participant in the Fintech sector.
Our team of experts has focused on developing technology which enables and supports this convergence of telecoms and banks. Over the past two years Mobetize has developed and provided an MFS B2B hub for telecom operators and banks. During that process we created a sustainable ecosystem of financial service relationships that includes leading global banks, and money transmission operators expanding our reach to 150 countries with 170,000 payout channels, Visa™ and MasterCard™ offerings, more than 350 telecom carriers for air-time top ups, and mobile bill payment technology for 14,000 merchants such as telecoms, utilities and cable providers.
Mobetize has to date sold its software to four world class telecom operators (Pure Minutes/Impact Telecom/GotPrepaid/Costmaster Communications) who collectively service millions of subscribers. These clients alone represent a significant opportunity for millions of consumers to use our technology. We believe that our existing clients will continue to provide Mobetize with a reliable revenue stream that will grow over the years to come.
Furthermore, we have just started to impact the Fintech sector. On October 15, 2015, we entered into a consulting agreement and continue to work with Tata Communications Ltd. to develop its Mobile Money Enablement strategy and roadmap including marketing and customer onboarding strategies for their B2B Fintech model.
Mobetize’s CEO, Ajay Hans recently attended the annual Mobile World Congress in Barcelona, Spain jointly with representatives of Tata to showcase the product launch of its mobile money solution which is built on our technology platform in order to enhance Tata’s overall market positioning for MFS.
Meanwhile, Mobetize’s work with some of the most respected telecom operators in the world continues to support our goal of becoming a leading Fintech company by expanding our existing technology, cutting edge product innovation, pursuing aggressive sales and marketing tactics all geared to extend our reach to telecom carriers and enterprise customers globally.
Ongoing Development – Money Transfer Technology
The website www.businessinsider.com reported that in 2014 alone $583 billion dollars were transferred to various remittance receiving countries globally. The international money transfer market represents a huge opportunity for Mobetize. The most recent version of our technology was recently completed and is being tested internally by all of our Telecom clients. Version 2.0 enables our clients to update the existing bricks and mortar remittance model to a seamless MFS model. Telecoms and smaller banks, by enabling digital-first mobile and online channels to send money will be able to gain a foothold in this huge industry by bypassing expensive agent send networks, and lowering overhead in order to pass savings on to customers through lower fees. All the while our clients will be able to maintain vigorous financial compliance standards.
The adoption of Version 2.0 will represent additional revenue streams for Mobetize.
Disruption of Banking – Mobetize Technology
In a report published by the Economist Intelligence Unit titled: ‘The Disruption of Banking,’ over 100 senior bankers and 100 Fintech executives were interviewed to ascertain the likely landscape for the retail banking industry over the next five years. When bankers were asked how Fintech may disrupt the banking industry, more than 90% of bankers believed that Fintech firms will have a significant impact on the future landscape of banking, with more than a third believing that Fintech will win an equal share or even dominate the market.
Mobetize today is part of this disruption. We have already entered into strategic discussions with a North American bank and a bank ATM Network comprised of 150+ banks that could potentially integrate our MFS hub into their bank client ecosystem. This is an industry first move that would impact millions of bank customers. The purpose of these discussions is the logical evolutionary next step to fulfill our vision to become a leading technology company resolute on the convergence of banking and telecom services. For example, imagine for a moment, a mobile lending service delivered by a bank integrated to our MSF hub. The business can now offer their mobile lending services to telecom customers to buy the latest mobile device. The Mobetize B2B Fintech hub would be the central platform connecting the parties and clearing the transactions. The eventual transformation of a mobile lending service could extend to insurance, mortgages and much more. This technology transformation represents a huge disruption to traditional retail banking.
Mobetize is at the forefront of a major transformation in financial services that requires banks and telecoms to engage customers embedded in mobile and social ecosystems to use MFS for the gambit of financial services. Our target is to orchestrate high volume financial transactions on our network by converging banks and telecoms. As Mobetize grows, we will expand our financial partner ecosystem, look for strategic partnerships to enhance distribution and innovate our solutions to future proof our market positioning. We expect to have many new opportunities across North America, Europe and the UAE which is a major source of money origination into emerging markets such as India. The opportunities for MFS in emerging markets are enormous as governments are increasingly committed to financial inclusion throughout all strata of a given population. Mobetize shall continue to strive to be a dominant player in Fintech and a thought leader that will help shape the global mobile money industry with innovative technology solutions.
Mobetize’s CEO, Ajay Hans stated that ‘we thank our shareholders for their support and look forward to communicating our progress in real time as Mobetize strives to build shareholder value while making its mark on the Fintech sector”.
About Mobetize Corp.
Mobetize Corp. (OTCQB:MPAY) is an emerging Fintech Company that has developed a global B2B Fintech hub and financial services marketplace. Mobetize converges telecom and banking to simplify the delivery of mobile money services to leading telecommunications companies and financial institutions. Mobetize ensures end-to-end integration for services such as prepaid air-time top ups, international money transfers, P2P transfers, Visa™/MasterCard™ programs and bill payments on mobile devices. Mobetize seamlessly integrates and white labels their secure mobile money platform for their customers who then offer the services to millions of users. The Mobetize technology helps the telecom and banking industries to increase their revenues, decrease customer service costs and increase loyalty to existing offerings. For more information, visit http://www.mobetize.com
Forward Looking Statements
This press release includes statements that are not historical in nature and may be characterized as "forward-looking statements," including those related to future financial and operating results, benefits, and synergies of the combined companies, statements concerning Mobetize's outlook, pricing trends, and forces within the industry, the completion dates of capital projects, expected sales growth, cost reduction strategies, and their results, long-term goals of Mobetize and other statements of expectations, beliefs, future plans and strategies, anticipated events or trends, and similar expressions concerning matters that are not historical facts. All predictions as to future results contain a measure of uncertainty and, accordingly, actual results could differ materially. Among the factors which could cause a difference are: changes in the general economy; changes in demand for Mobetize's products or in the cost and availability of its raw materials; the actions of its competitors; the success of our customers; technological change; changes in employee relations; government regulations; litigation, including its inherent uncertainty; difficulties in plant operations and materials; transportation, environmental matters; and other unforeseen circumstances. A number of these factors are discussed in Mobetize's previous filings with the Securities and Exchange Commission. Mobetize disclaims any intention or obligation to update any forward-looking statements as a result of developments occurring after the date of this press release.
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