Apple and Goldman Sachs Forge Fintech Partnership, Googles Attempts Fall Flat, Consolidation Looms in Face of Regulatory Crackdown
- Apple and Goldman Sachs have formed a symbiotic partnership to launch a high yield savings account for Apple Card holders
- The account, which offers 4.15% returns with no minimums or lock-ups, is fronted by Goldman Sachs Bank USA, a state-chartered FDIC insured financial institution
- Google has also tried to enter the consumer finance market in the past but had difficulty with their rollout process
- The banking industry could become less important from a marketing standpoint and more useful for tech companies as an infrastructure behind their sexier offerings
- There will likely be consolidation in the fintech market over the next five to ten years
- Regulators are cracking down on these relationships to ensure that they’re being watched closely.