JPMorgan is winding down the payments business it acquired from Volkswagen in 2021, as it has determined that profitability is unattainable, reports Bloomberg.
Founded in 2017, Volkswagen’s Luxembourg-based entity operated across 32 countries, providing services such as car purchases and leasing, in-vehicle payments, fuel and electric vehicle charging, subscription services, insurance, and in-vehicle entertainment.
JPMorgan purchased a 75% stake in this business, known as Mobility Payments Solution, aiming to capitalize on the anticipated growth of the in-car payments market. However, the bank has now decided to close the operation, leading to the loss of 33 jobs in Luxembourg.