Fiserv

Multiple reinforcing moats: 1) High switching costs in core account processing and digital banking (long contracts, deep workflow integration) that make rip‑and‑replace costly and risky for banks. 2) Network advantages across STAR and Accel debit networks and the MoneyPass ATM network provide efficient scale and economics difficult for new entrants to replicate. 3) Distribution through financial institutions and alliances drives efficient customer acquisition and retention. 4) Merchant platform breadth (Clover for SMB, Carat for enterprise) increases share of wallet.

Risks: Merchant acquiring is more contestable than bank tech, and Clover’s 2025 growth slowdown highlights competition from modern ISVs and specialists; regulation (real‑time payments/open banking), and disintermediation by alternative rails could gradually erode take‑rates if not offset by value‑added services.

Overall, we still view the composite moat as strong and durable over a decade.