It seems like a lucrative area, it's similar, maybe even orthogonal, to what they already do, and I'd imagine they have the resources to do it.
At origin, they both picked very different target markets. Stripe = builders/devs. Square = small biz. With how wildly successful they are, they can now expand horizontally. Square is in fact trying to compete with stripe now, but they'll only capture a small market share. Stripe is sticky
Isn't it true that most money in payments is made from small business. Big companies can build a lot of the payments stack themselves, so they will negotiate hard and margins for such payments will be much lower. Also there are like two dozen payment gateway firms all around the world
The cash app I think is the real opportunity for square. They can potentially replace visa Mastercard once they have ubiquity of the cash app. Same for PayPal/Venmo. Processing card payments is pretty low margin business. Stripe does things like connect to bring more value.
What do you mean? Donโt they compete already?
Not that I know of. Square does POS payment processing for small whereas Stripe does online payments.
https://developer.squareup.com/docs