I asked chatgpt why paypal didnt go the visa route as old as it is as popular as networked as it was why they failed to innovate and this same management will fail to innovate in the trying times of rising opps
here is what chatgpt said on why pypl is not in the 200 billion plus club
P2P services like PayPal often partner with payment networks like Visa to provide additional payment options and enhance their functionality. There are a few reasons why they choose to collaborate with established networks rather than building their own from scratch:
1. Established Infrastructure: Networks like Visa have already established robust payment infrastructure, including connections with banks and financial institutions worldwide. By leveraging this existing infrastructure, P2P services can offer their users a wide range of payment options and reach a larger customer base.
2. Global Acceptance: Visa is widely accepted around the world, making it easier for P2P services to expand their reach and allow users to transact globally. Building a similar level of acceptance and trust would be time-consuming and costly for individual P2P platforms.
3. Security and Fraud Prevention: Visa invests significant resources in security measures and fraud prevention technologies. By partnering with Visa, P2P services can take advantage of these security features, providing users with a safer payment experience.
4. Regulatory Compliance: Visa and other payment networks have extensive experience navigating complex regulatory landscapes. By collaborating with established networks, P2P services can ensure compliance with various financial regulations and avoid potential legal issues.
While P2P services could theoretically build their own payment networks, partnering with existing networks like Visa allows them to focus on their core competencies and provide a better overall user experience.