Twitter Stock Surges After MasterCard Executive Discusses Potential Partnership
Twitter’s investors appear to be optimistic following the comments from the MasterCard executive regarding his intention to partner with social media giants.
Since the MasterCard’s President of International Markets revealed to CNBC on April 4 that how social media companies can work together, Twitter’s stock price has jumped up around 7.6%.
We see companies like Facebook and Twitter occupying a really good space in social media and we are always over in Silicon Valley talking to those companies, said Ann Cairns, MasterCard’s President of International Markets, during an interview at the Money 2020 conference in Copenhagen.
“”I think the way we would work with them is just the way we work with the other tech giants, we would figure out what we can do together, where our network could play into their space and connect up. Obvious spaces are if they want to offer payments to their clients and if you think about somebody like Facebook, it would probably be something like a P2P (peer-to-peer) service,” she added.
Twitter and Facebook, both social media giants have been playing with the idea of payment services and currently have unrelated programs.
For example, while Facebook has started a peer-to-peer money transfer service, Twitter has added a “Buy Button” that allows companies to put into their Tweets.
None of these two companies have any official ties or agreement with MasterCard, Visa, or any other card companies at the moment.
Over the last few years, MasterCard has expanded its presence in the digital world and have partnered with a lot of technology companies.
MasterCard users can already use both Apple Pay and Android Pay, and both use the MasterCard “rails” or network, mentioned CNBC.
Regardless of the good intentions, Ann Cairns may find it difficult to strike a deal with Twitter, because its current CEO Jack Dorsey is also the CEO of MasterCard’s competing company Square.
If there would be any serious collaboration between Twitter and a payments company, Square would be in a much better position to leverage such aspects.