Monitise

Monitise was a British financial-technology company focused on mobile banking, mobile payments, digital commerce, and related software for banks, card networks, and other financial institutions. Founded in 2003 by Alistair Lukies and Steven Atkinson, the company emerged during the early development of mobile financial services, when banks and payment networks were looking for secure ways to let consumers check balances, receive alerts, transfer money, and make payments through mobile phones. The company initially developed its business in the United Kingdom. In 2006 it became part of Morse plc, a technology-services group, while continuing to build a mobile banking and payments platform. That year Monitise announced a joint venture with LINK, the United Kingdom's ATM network operator. The resulting MONILINK service was launched by HSBC and First Direct in October 2006 and gave customers mobile access to services such as balance enquiries and mini-statements. This helped establish Monitise as a technology supplier working behind the consumer-facing services of established financial institutions. Monitise separated from Morse in 2007 and joined the London Stock Exchange's Alternative Investment Market. The demerger raised £21.4 million through a share placing. Following the listing, Monitise pursued international expansion through partnerships and joint ventures rather than relying only on direct consumer branding. In 2007 it formed Monitise Americas with Metavante Corporation, seeking to provide a common mobile banking and payments experience across financial institutions and mobile carriers in North America. It also developed relationships with Visa, Visa Europe, HSBC, The Co-operative Bank, IBM, and MasterCard. Its strategic proposition broadened over time. The company supplied mobile banking capabilities under the Bank Anywhere concept, person-to-person and account-to-account payment functionality under Pay Anyone, and mobile commerce and offers capabilities associated with Buy Anything. Monitise also acquired businesses to strengthen its geographic and technical reach. Clairmail expanded its United States mobile banking presence; Grapple Mobile added mobile product design and innovation capabilities; Pozitron provided a Turkish mobile technology platform; and the acquisition of Markco Media added retailer offers and the MyVoucherCodes brand to the company's commerce activities. During 2014 Monitise attempted to move toward a more scalable, cloud-delivered and subscription-oriented model. It entered expanded arrangements with IBM involving data, analytics, machine learning, hosting, development, integration, and the commercial delivery of Monitise technology. The transition was intended to reduce the operational burden of maintaining a large global delivery organization and to improve the ability to serve financial institutions across markets. It also involved the transfer of parts of the United Kingdom development and integration operation to IBM and a workforce reduction of more than 20 percent. Although the arrangements were presented as a route to longer-term scalability, the transition affected short-term revenue and added execution pressure. Monitise's financial performance subsequently deteriorated. Revenue declined in 2015, while management changes and the unsuccessful effort to sell its voucher business compounded concerns about the company's strategy and execution. The business reported heavy losses in 2016, and its share price fell sharply over the preceding two years. After a period in which the company had carried a market value above £1 billion, its market capitalization had fallen to approximately £66 million by May 2016, according to contemporaneous reporting summarized in the company's Wikipedia article. Monitise was acquired by the United States financial-technology provider Fiserv on 1 September 2017, bringing the standalone listed company to an end.

Monitise was established in 2003 by Alistair Lukies and Steven Atkinson, a technical architect and former Vodafone location-services executive. It was created to address the emerging need for mobile access to banking and payments, initially concentrating on technology supplied to established financial institutions rather than on building a consumer bank of its own. In 2006 Monitise became part of Morse plc. During that period it developed a broader mobile banking, payments, and commerce ecosystem. It also announced a joint venture with LINK, the United Kingdom's ATM network provider. HSBC and First Direct subsequently launched MONILINK in October 2006. The service allowed customers to use mobile phones for functions including balance checks and mini-statements, providing an early example of Monitise's white-label infrastructure model. Monitise demerged from Morse in June 2007 and listed on the London Stock Exchange's AIM market. The separation raised £21.4 million in new share proceeds. The independent company then sought international scale through alliances, acquisitions, and platform licensing. In September 2007 it created Monitise Americas with Metavante Corporation, targeting North American banks and payment providers with a mobile experience designed to work across different financial institutions and mobile carriers. The company expanded its relationships with card networks during the following years. In 2009 it announced a global alliance with Visa International to support mobile payments, money transfers, transaction alerts, and marketing offers. In 2011 it entered a partnership with Visa Europe to develop and supply mobile payment services for member banks and financial institutions. The same year it established a technology and research-and-development hub in Cardiff, Wales. Monitise was also recognized in Deloitte's UK Technology Fast 50 rankings in 2011, 2012, and 2013. A series of acquisitions and partnerships broadened the company from mobile banking into digital commerce. In March 2012 it acquired Clairmail, a United States provider of mobile banking solutions. In 2013 it extended its Visa Europe partnership, acquired Grapple Mobile, and renamed that design and innovation operation Monitise Create. It also announced a relationship with IBM's Smarter Commerce initiative. In 2014 Monitise acquired Pozitron in Istanbul and the retailer-offer and discount network associated with Markco Media and MyVoucherCodes. These transactions supported the company's Bank Anywhere, Pay Anyone, and Buy Anything product groupings. Monitise also attempted to change its delivery model. Agreements announced with IBM in 2014 covered data, analytics, machine learning, customer-experience capabilities, cloud hosting, development, integration, and sales. IBM was expected to host and help commercialize Monitise technology as a cloud-delivered service, initially for financial services and potentially for other sectors. Parts of Monitise's UK development and integration business, including some contractors, moved to IBM, while Monitise retained its customer contracts, intellectual property, and commercial commitments. The restructuring reduced the global workforce by more than 20 percent and was intended to support a subscription-based model and better operating leverage. The transition proved difficult. In 2015 Monitise reported that revenue had fallen 6 percent to £89.7 million, compared with £95.1 million in the prior financial year. Elizabeth Buse left the chief executive role and the board in September 2015, and Lee Cameron succeeded her. In 2016 the company reported heavy losses. Its share price fell 96 percent over the two years to that point, while its market capitalization declined from more than £1 billion at the beginning of 2014 to approximately £66 million by May 2016. The failed attempt to sell the voucher business and continuing management turnover added to the company's difficulties. Fiserv acquired Monitise on 1 September 2017. The transaction ended Monitise's independent corporate and listed-market history. Its legacy was as an early specialist in the infrastructure behind mobile banking and payments, helping banks, card networks, and other institutions introduce mobile financial services before such functions became standard features of mainstream banking applications.

• 2017

  Acquisition by Fiserv

  [1]Monitiseen.wikipedia.org

  Fiserv acquires Monitise on 1 September, ending its independent existence.

• 2015

  Revenue decline and chief executive succession

  [1]Monitiseen.wikipedia.org

  Revenue falls to £89.7 million and Elizabeth Buse is succeeded as chief executive by Lee Cameron.

• 2014

  Expansion through acquisitions and IBM agreements

  [1]Monitiseen.wikipedia.org

  Monitise acquires Pozitron and Markco Media's offers business, reaches a commercial agreement with MasterCard, and expands its cloud and analytics relationship with IBM.

• 2012

  Clairmail acquisition

  [1]Monitiseen.wikipedia.org

  Monitise acquires Clairmail to expand its mobile banking technology presence in the United States.

• 2009

  Global Visa alliance

  [1]Monitiseen.wikipedia.org

  Monitise announces a global alliance with Visa International for mobile financial services.

• 2007

  Demerger and AIM listing

  [1]Monitiseen.wikipedia.org

  Monitise separates from Morse and lists on the London Stock Exchange's AIM market, raising £21.4 million through a share issue.

• 2006

  Morse relationship and MONILINK launch

  [1]Monitiseen.wikipedia.org

  Monitise becomes part of Morse plc, announces a joint venture with LINK, and supports the HSBC and First Direct launch of MONILINK.

• 2003

  Monitise is founded

  [1]Monitiseen.wikipedia.org

  Alistair Lukies and Steven Atkinson establish Monitise as a mobile banking and payments technology company.

A business-to-business fintech platform provider that enabled banks, payment networks, and other financial institutions to offer mobile banking, payments, and commerce services under their own brands.

• Mobile banking service · 2006

  MONILINK

  A mobile banking service developed with LINK and launched by HSBC and First Direct in 2006. MONILINK gave customers access to basic banking functions through mobile phones, including balance enquiries and mini-statements. It represented Monitise's early model of providing infrastructure and service technology to established financial institutions.

• Mobile banking platform

  Bank Anywhere

  A Monitise product area centered on mobile access to banking services. It was designed as a white-label capability that financial institutions could use to provide account information, transaction visibility, alerts, and related services through mobile channels.

• Mobile payments and money transfer

  Pay Anyone

  A product grouping for mobile payment and person-to-person money-transfer functions. The offering formed part of Monitise's broader platform strategy for enabling banks and payment partners to deliver account-to-account payments and other digital transactions through mobile devices.

• Mobile commerce

  Buy Anything

  A mobile-commerce product area combining payment capabilities with retailer offers, discounts, and related content. The acquisition of Markco Media and the MyVoucherCodes network was intended to strengthen this part of Monitise's proposition.

• Mobile design and innovation services · 2013

  Monitise Create

  The name used for the mobile innovation and design operation acquired through Grapple Mobile. It supported the creation and user-experience design of mobile financial products and services.

• 2017

  Sell the company to FiservM&A

  Background

  After heavy losses, a major share-price decline, and strategic and management difficulties, Monitise was no longer operating as a strong independent listed company.

  Action taken

  Fiserv acquired Monitise on 1 September 2017.

  Aftermath

  The acquisition ended Monitise's independent corporate and listed status.

  Source

• 2014

  Shift toward IBM-supported cloud deliveryStrategy

  Background

  Monitise wanted to scale its technology more efficiently and move toward a subscription-oriented software model for financial institutions and potentially other sectors.

  Action taken

  The company expanded its IBM relationship to include cloud hosting, development, integration, analytics, machine learning, and commercial distribution. Parts of the UK development and integration operation moved to IBM, while Monitise retained customer contracts and intellectual property.

  Aftermath

  The plan was intended to reduce costs and improve scalability, but the transition affected short-term revenue and was followed by continuing financial and management difficulties.

  Source

• 2014

  Acquire mobile-commerce offers assetsM&A

  Background

  Monitise sought to expand beyond banking and payments into mobile commerce and retailer engagement.

  Action taken

  The company acquired Markco Media's retailer offers, content, and discount network, including MyVoucherCodes.

  Aftermath

  The transaction augmented the Buy Anything proposition, although the voucher business was later associated with an unsuccessful sale attempt during Monitise's decline.

  Source

• 2007

  Separate from Morse and pursue an independent listingStrategy

  Background

  Monitise had operated within Morse plc while developing its mobile banking and payments business. The company sought capital and strategic independence to expand its platform and partnerships.

  Action taken

  Monitise demerged from Morse and listed on the London Stock Exchange's AIM market, raising £21.4 million through a share placing.

  Aftermath

  The listing gave Monitise an independent public-market identity and funding base for international expansion.

  Share-placing proceeds. £21.4 million raised (June 2007)

  Source

1. 1Monitiseen.wikipedia.org