Impact Analysis

The launch of Zippay will significantly intensify competition within the Irish financial sector. Traditional banks stand to regain market share, especially among younger demographics who prioritize digital convenience, potentially improving customer retention. For Revolut, Zippay poses a direct challenge to its continued growth and dominance, necessitating a response in product offerings or pricing. Irish consumers will benefit from increased choice, potentially leading to enhanced services and more competitive pricing. Nexi's role as the technology provider further solidifies its position in the European payment landscape. The broader fintech sector in Ireland could see a surge in innovation as players strive to differentiate themselves in a more competitive environment.

Timeline

2015: Revolut enters the Irish market, beginning its rapid ascent.
June 2022: "Synch Payments," the banks' initial attempt at a joint mobile payment service, receives approval.
2022: Revolut secures its banking license in Ireland, further cementing its presence.
2023: "Synch Payments" is abandoned after an investment of €17 million, highlighting the difficulties of standalone fintech ventures for traditional banks.
Early 2026: Zippay is slated for launch, integrated into AIB, Bank of Ireland, and PTSB's existing mobile applications.

Different Perspectives

Irish Banks: According to BPFI chief executive Brian Hayes, Zippay was developed in direct response to "customer feedback and demand" for faster and more convenient payment options. This reflects a strategic pivot to meet evolving consumer expectations and stem customer migration to fintech platforms.
Fintech Sector: While Revolut holds a strong market position with 73% adult penetration, the direct competition from Zippay will force it to innovate further, potentially leading to new features or more aggressive pricing strategies to retain its customer base.
Regulatory Bodies: Ireland's Central Bank has actively engaged with the fintech sector through initiatives like its Innovation Hub and Innovation Sandbox Programme, indicating a supportive yet watchful eye on new developments to ensure fair competition and consumer protection.

What You Need to Know

Zippay is a new instant mobile payment service from AIB, Bank of Ireland, and PTSB.
It is scheduled to launch in early 2026.
The service will be integrated directly into the banks' existing mobile apps, not as a standalone application.
Key features include sending, requesting, and splitting payments using mobile numbers.
Daily transfer limits are set at €1,000, with per-transaction request limits of €500.
Zippay is a direct competitor to Revolut, which has over 3 million customers in Ireland.
The service is powered by the Italian payment technology group, Nexi.