The media reported on Friday that Alphabet Inc-CL CPlans to provide bank account services directly to users are being abandoned.
Alphabet Inc-CL C has been seeking to enter the personal banking business in recent years. Alphabet Inc-CL C said in 2020 that he would work with Citigroup Inc and Stanford Federal Credit Union to allow users to open bank accounts through their Google Pay app from 2021. At that time, Alphabet Inc-CL C said he would provide a service called "Plex" to provide users with savings accounts without monthly fees, overdraft fees or minimum balance requirements.
Alphabet Inc-CL C missed many deadlines for the project, and the departure of the Google Pay executive who oversaw the project led to the collapse of his plan, the report said.
A spokesman for Alphabet Inc-CL C confirmed the report to the media, but declined to comment on the impact of the executive's departure.
"our cooperation with partners makes it very clear that consumers need simple, seamless and secure digital payments for online and offline transactions," an Alphabet Inc-CL C spokesman said in an email. We are updating our approach to focus primarily on providing digital support to banks and other financial services providers, rather than as providers of these services. "
When describing the company's banking plans in 2020, Caesar Sengupta, former vice president and head of Alphabet Inc-CL C payments for Alphabet Inc-CL C, said the company was "looking to make banking more connected to the mobile generation".
According to LinkedIn, Sengupta left Alphabet Inc-CL C in March to start his own financial technology company, Arbo Works. Since then, he seems to have recruited several Alphabet Inc-CL C employees for his company.