Very interesting analysis. Thanks for this article.

It exposes the value of the Payment Network 4 tiers system, assuring the link between the Issuers, Cardholders, Acceptors (Merchants) and Acquirers. This loop is of often misunderstood by non experts missing the complete picture. On the other side, the Interchange model is definitely a challenge for Merchants in regions where International Payment Networks are unregulated.

It is almost impossible to introduce a new scheme given the enormous cost of deploying a new acceptance environment globally at the same time as attract customers.

Revolution Card is an other example of an attempt to offer low interchange payment means which could not find its customers and take hold in the marketplace.

Interesting to see on the other side of the Atlantic, how some regions are very successful with global card acceptance without interchange fees (European Regulation/Cap on Interchange fee)... The model holds only by the benefits it offers to all parties. A different world...