So, you want to be a platform?

Everyone wants to be a platform these days. And they are popping up faster than I can keep track of them. Facebook became a platform, enabling application developers to develop on top of Facebook. Next came the iPhone. Salesforce.com offered Force.com as a platform. Twitter became a platform. A few weeks back PayPal became a platform. AmEx bought Revolution Money last week, based in part on the notion that Revolution Money would become a platform for application developers. Google Wave is a platform. This week, LinkedIn is a platform. To top it all off, today AlcaLu announced it wants to be a platform. I could go on; this is madness.

This trend is not the exclusive domain of established players. It seems two out of…

So, you want to be a platform?

Reactions to AmEx’s acquisition of Revolution Money

Karen Webster of Market Platform Dynamics asked me to share some quick reactions on the announced acquisition of Revolution Money by AmEx this morning. As a result, my thoughts are cross-posted on PYMNTS.com. Karen asked me to address the following questions/issues:

What was your initial reaction to the news?

My initial reaction was that AmEx move to purchase Revolution is a direct reaction to two big moves PayPal has made in recent months. First, last November, PayPal announced the acquisition of BillMeLater. If the incumbents needed a signal that alternative payments were ready for prime-time, PayPal/BillMeLater provided it. AmEx’ acquisition of Revolution Money only solidifies the trend and highlights how controlling the payment instrument is as important as controlling the back-end. Related to this, it is clear that AmEx wants to buoy it’s at-risk issuer-side revenue streams with…

Reactions to AmEx’s acquisition of Revolution Money