Key facts
- HSBC is closing its international payments app Zing after only one year.
- The fintech venture incurred losses totaling $162 million.
- Zing was launched in January 2024 with the goal of disrupting the international payments market.
- The app aimed to complement HSBC's Global Money experience and attract non-HSBC users.
- HSBC cited strategic simplification and changing priorities for the closure.
- Zing's technology platform will be integrated into HSBC.
HSBC has announced the closure of its international payments app, Zing, just one year after its launch, citing a strategic review and changing priorities. The fintech venture, which represented a significant investment of $150 million, incurred losses of $162 million due to its struggle to gain commercial traction and compete effectively with established players like Wise and Revolut.
Launched in January 2024, Zing aimed to disrupt the international payments market and complement HSBC's Global Money experience, targeting both existing international wealth and personal banking clients and seeking to attract new customers. Despite a strong technical execution, evidenced by a 4.8-star app store rating, the app failed to achieve impressive traction.
The closure is part of a broader cost-cutting and efficiency initiative under new HSBC boss Georges Elhedery, who has been focusing on exiting non-core business lines and sharpening the bank's focus on the Asian market. This move follows another setback for HSBC's fintech expansion, with a $35 million investment in digital banking venture Monese also being written off.
While large banks often struggle with innovation and competing against agile fintechs, HSBC's attempt with Zing was acknowledged as an ambitious and strategic effort to adapt to the evolving digital financial landscape. The bank plans to integrate Zing's underlying technology platform into HSBC's existing operations.