JPMorgan has announced that it is winding down the Mobility Payments Solutions platform it acquired from Volkswagen AG, concluding the business cannot be made profitable.

The platform, formerly known as VW Pay, was designed to support payments across the mobility sector, including in‑vehicle transactions for fuel, parking and charging, as well as car purchases and subscriptions. Volkswagen launched the unit in 2017, while JPMorgan took a majority stake in 2021 to expand the service and explore new markets using connected‑vehicle technology.

Bloomberg reported the bank communicated the decision to staff in recent weeks, with the business to be wound down in the coming months and roles affected in Luxembourg and Munich.

Luxembourg union Aleba said 33 jobs will be cut as the country’s payments subsidiary shuts. In a statement, Aleba said the bank cited “performance and profitability” for the closure. The union added it had agreed extra‑legal compensation “fairer and more advantageous than that provided for by law,” including allowances linked to age and seniority, a family allowance for dependent children and a dedicated training budget.

“More than two‑thirds of employees had less than five years’ service,” Aleba said, noting that “by law, these individuals would have left empty‑handed,” making it “essential to secure decent severance terms.”

Company accounts show JPMorgan Mobility Payments Solutions handled total transaction volume of €222.6 million in 2024, up from €180.9 million in 2023, but posted a loss after tax of €28.8 million in 2024 following a €24.2 million loss in 2023.

Management attributed the results primarily to investment in product and technology capabilities and increased headcount. Cash at bank declined from €31.7 million to €14.7 million over the same period, while balance sheet total fell from €47.1 million to €31.6 million. The shareholder provided fresh capital of €31 million on 2 April 2025, according to the accounts, before the group decided to cease operations.

This is the latest instance of JPMorgan ending technology projects that failed to gain traction, following the shutdown of the Chase Pay app announced in 2019 after the bank found fewer than 1 per cent of merchants accepted the wallet.

Volkswagen’s payments arm operated in 32 countries when JPMorgan acquired its stake. While the bank will close the platform, it will continue providing services to mobility clients.

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