-WSJ
As if Amazon needed another industry to invade, the online giant is now in talks with big banks including JPMorgan Chase about building a checking-account-like product the e-commerce company could offer its customers, according to people familiar with the matter.
Although the effort is still in the early stages and might not even come to fruition, it answers a question that bank executives have been asking with increasing worry: When will Amazon show up on their turf? The talks with the financial firms center on a product that would appeal to younger customers and people without bank accounts.
Offering a product that is similar to an own-branded bank account could help reduce fees Amazon pays to financial companies and provide it with valuable data on customers’ income and spending habits.
With millions of customers, troves of data, access to cheap capital and seemingly unlimited leeway from its investors to enter new businesses, Amazon is a fearsome competitor. Its more-than-$700 billion market value eclipses the combined value of JPMorgan and Bank of America, the two biggest U.S. banks.
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