In Pictures: CurrentC's Bumpy Ride

Published May 1, 2015 10:21 AM

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Updated October 20, 2016 10:33 AM

1 Min Read

The CurrentC application (app) is displayed on an Apple Inc. iPhone 5s in this arranged photograph in Washington, D.C., U.S., on Thursday, Oct. 30, 2014. CurrentC, the retailer-backed mobile-payment system touted as an alternative to Apple Inc.'s platform, was hacked during a test of the technology, resulting in some e-mail addresses being stolen. Photographer: Andrew Harrer/Bloomberg

Andrew Harrer/Bloomberg

The Merchant Customer Exchange, backed by Walmart, Target and other mega-retailers, now operates in a market where Apple changed the ground rules. Though the initiative has yet to formally launch its CurrentC mobile wallet, MCX has already been forced to adapt many times. (Image: Bloomberg News)

Rain falls on the Target Corp. logo displayed outside of a store in Peru, Illinois, U.S., on Thursday, Feb. 7, 2013. Target Corp. led U.S. retailers to the biggest monthly same-store sales gain in more than a year as shoppers snapped up discounted merchandise chains were clearing out after the holidays. Photographer: Daniel Acker/Bloomberg

Daniel Acker/Bloomberg

Original Vision

When it formed in 2012, the group's original mission was to keep retailers in control of consumer data and relationships. It also aimed to lower the cost of accepting payments by asking consumers to link their bank accounts rather than fund all purchases through cards. (Images: Bloomberg News, Wawa)

Exclusive Relationship

Early on, MCX asked its partners to stay exclusive to its technology. Over time, this requirement proved unviable. (Image: iStock)

'Rock Star' CEO

MCX scored a significant win with the 2013 hiring of Dekkers Davidson as CEO. Davdison, a former Barclaycard US exec, was described by observers as a "rock star" of the mobile payments world. (Image: iStock)

The CurrentC application (app) is demonstrated on an Apple Inc. iPhone 5s for this arranged photograph in Washington, D.C., U.S., on Thursday, Oct. 30, 2014. CurrentC, the retailer-backed mobile-payment system touted as an alternative to Apple Inc.'s platform, was hacked during a test of the technology, resulting in some e-mail addresses being stolen. Photographer: Andrew Harrer/Bloomberg

Andrew Harrer/Bloomberg

Building a Brand

In September 2014, just weeks before Apple revealed Apple Pay to the world, MCX chose a name for its mobile wallet: CurrentC. The branding and logo were finally in place, but the actual wallet was still not ready for launch. (Image: Bloomberg News)

War on Apple

MCX merchants' loyalties were put to the test when Apple Pay came to market. CVS and Rite Aid sided with MCX by taking the heavy-handed approach of blocking all Near Field Communication payments. The silver lining of this move was it brought mainstream media attention to MCX and CurrentC. (Image: Bloomberg News)

A logo sits on the PayPal company stand, a unit of Ebay Inc., during the Apps World Multi-Platform Developer Show in London, U.K., on Wednesday, Oct. 23, 2013. Retail sales of Internet-connected wearable devices, including watches and eyeglasses, will reach $19 billion by 2018, compared with $1.4 billion this year, Juniper Research said in an Oct. 15 report. Photographer: Chris Ratcliffe/Bloomberg

Chris Ratcliffe/Bloomberg

PayPal Plucks Paydiant

In March, PayPal entered an agreement to buy Paydiant, one of the technology providers MCX relied upon for the development of its own mobile wallet. This move put one of MCX's key partners in the house of one of its key rivals. (Image: Bloomberg News)

p-7ChristmasEveShopping--The checkout lines were busy on Christmas Eve at the Best Buy store in Corpus Christi, Texas on Dec. 24, 2006. Eddie Seal/Bloomberg News

Eddie Seal

Best Buy's Big Move

Best Buy decided back in 2011 that it didn't care for NFC payments, and its later allegiance to MCX further affirmed this strategy. But following the launch of Apple Pay, the mega-retailer had a change of heart, and now expects to accept Apple Pay NFC payments in its stores by the fall of 2015. However, Best Buy still remains an MCX participant. (Image: Bloomberg News)

Davidson Departs

A day after the Best Buy move came to light, MCX announced that CEO Dekkers Davidson left the organization. (Image: iStock)

Next Step

It is very likely that other MCX retailers will follow Best Buy's example and sign on with Apple Pay, but that doesn't spell doom for MCX. The merchant group may not be able to overthrow Apple Pay when it finally launches the CurrentC wallet, but it could still forge ahead with technology that emphasizes loyalty and rewards which are conspicuously absent from the current version of Apple's offering. (Image: iStock)

A Crowded Market

But more competitors are on the horizon for MCX, Apple and Google Wallet. Nacha is developing an open standard for bank and credit union mobile wallets, and American Express' new Plenti platform echoes MCX's approach with a narrower focus on loyalty. (Image: iStock)