Dutch telecoms group KPN and Dutch bank ABN AMRO have decided to
abandon Money Planet, a joint venture which intended to offer
on-line financial services in Europe. The companies say the return
on their investment would be too slow.
KPN and ABN AMRO said in a statement that although financial
services are and will remain an important theme on the internet,
the specific service they had in mind, offering on-line products
and services from various parties, cannot provide the required
return on their investment quickly enough.
KPN and ABN AMRO announced the creation of Money Planet on 18th
July 2000, although it did not launch. Since then, changed market
conditions made the parties reconsider their plans.
FT.com reports that Lloyds TSB also recently scrapped plans for
a stand-alone internet bank, as did Allied Irish Banks and the
Swiss bank Vontobel.
