Google is taking a deeper dive into finance. A source says the search engine company will offer checking accounts to consumers sometime next year. The Alphabet unit will partner with Citigroup and a small credit union at Stanford University to make that happen.
The news comes one day after Facebook launched Facebook Pay, a service that allows users across its platforms to make payments without exiting the app. Google already offers a digital wallet called Google Pay.
They're just the latest moves by Silicon Valley heavyweights to move into a financial industry that is awash with rich user data.
Reuters banking reporter Imani Moise:
SOUNDBITE: REUTERS BANKING REPORTER IMANI MOISE (ENGLISH) SAYING:
"I think what they're really after is just insights into where consumers are really spending their money. Because you can survey consumers, you could see what they like on social media, but at the end of the day, what matters most to advertising clients is how they're spending their money."
Apple launched a credit card last summer in conjunction with Goldman Sachs. Facebook plans to launch a digital coin called "Libra."
But Facebook's crypotocurrency plans has raised concerns from global regulators, who are worried about how the tech titans will use their digital influence in the arenas of business and economic infrastructure. Google told the Wall Street Journal it will not sell the financial data of its checking account users.