> Stripe’s new partnership with Amazon. com Inc., the largest and most sought-after customer on the internet. Over the past couple of weeks, Stripe began handling a large, though undisclosed, portion of Amazon’s transactions.
Lots of questions about why Amazon would do something like that. Is it so they have a backup in case their systems go down? Or was Stripe actually able to get better rates than Amazon was, so this will save them money?
Or was Stripe actually able to get better
rates than Amazon was ...
Since Stripe is an ISO with FDMS, they will always have higher fees than a relationship with an "on-the-rails" bank for merchants with volume anywhere near Amazon.
IMHO, a more likely scenario is that Amazon is looking to acquire Stripe, take over the ISO relationships with their merchants, and leverage from there.