Car IQ Teams Up with Visa to Enable In-Vehicle Payments
Car IQ has announced a strategic partnership with Visa, aiming to facilitate direct transactions between vehicles and merchants within the Visa network. This collaboration will enable consumers to make payments for various services such as fuel, tolls, parking, insurance, and vehicle maintenance using the Car IQ Pay vehicle wallet.
By leveraging the Car IQ Pay wallet, vehicles will have their own payment accounts, eliminating the need for physical cards. Payments can be seamlessly made directly to merchants, streamlining the transaction process. Car IQ and Visa anticipate that their joint efforts will capture a significant portion of the connected vehicle payment market, which is projected to reach $600 billion by 2030.
Sterling Pratz, CEO of Car IQ, expressed enthusiasm about the collaboration, stating that it will expedite the adoption of vehicle payments and integrate them seamlessly into the fleet experience today, and eventually into the consumer experience. Pratz also emphasized that the vehicle wallet not only enables banks and merchants to trust payments from vehicles but also from any other Internet of Things (IoT) device over the Visa network.
The partnership capitalizes on Car IQ’s Know Your Machine technology, which verifies a machine’s identity to enable secure transactions with merchants. Pratz highlighted that while the initial focus is on vehicle payments, the Car IQ platform has the capacity to easily support payment capabilities for any IoT device. He added that interest is already being expressed for connected smart city applications, and he believes the connected home will be the next frontier. Pratz envisions a future where individuals can directly link their cars, home appliances, and more to their bank accounts for seamless transactions.
The collaboration between Car IQ and Visa holds significant potential for advancing in-vehicle payment solutions, paving the way for enhanced convenience and efficiency in the evolving landscape of connected vehicles and IoT devices.
