For instance, Apple Computer’s iTunes service sold over 10 million songs at 99 cents each in its first five months of operation.

But in this sector, digital goods merchants lose a substantial share of the transaction value to various existing interchange fees when the individual purchase price is under $10. The reality is that credit card and debit card systems are geared to handling individual transactions with values higher than $10. Furthermore, credit cards are not available to buyers under 18 years of age - a big part of the digital content market.


Magex solves the problem by letting the merchant or financial services provider develop a stored-value account that accepts regular top-up payments from a debit card, credit card, or bank account, but then implements the more efficient Magex payment transaction for the individual digital content purchases.