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Here’s Why China’s Alipay Is Teaming Up With France’s Ingenico

The Alibaba Group headquarters.The Alibaba Group headquarters.
The Alibaba Group headquarters.Photograph by Hong Wu — Getty Images

Alipay, the online payments platform run by Alibaba (BABA) spin-out Ant Financial, is teaming up with Ingenico (INGIY), the French payments processor.

The partnership is partly aimed at Chinese tourists visiting Europe—Alipay will be embedded into Ingenico’s in-store payment gateway, so the Alipay app will work in European stores featuring the terminals.

Ingenico’s terminals already accept payments via apps such as Apple (AAPL) Pay and Android (GOOG) Pay.

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Meanwhile, Ingenico will also use the partnership to offer Chinese merchants its payment-processing services.

The companies already had a degree of cooperation, with Ingenico processing Alipay users’ cross-border online transactions for airlines such as Etihad and Air France.

Ant Financial claims Alipay has 450 million active users in China, and the two companies reckon around 10 million Chinese people arrive in Europe each year.

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Ant has been busily striking partnerships in recent months.

A deal with Uber allows Chinese tourists to easily pay for rides around the world, while a deal with Samsung makes it easier for owners of the Korean firm’s smartphones to make payments with Alipay.