Google readying PayPal rival

[bmattock]

News story - might have some relevence here, since so many of us buy rangefinders on eBoy and presumably use PayPal. Alternatives are nice.

http://www.pcpro.co.uk/news/73963/google-readying-paypal-rival.html

Monday 20th June 2005

Google readying PayPal rival 12:48PM
Google is to start an online payment service to rival PayPal, according to reports.
The New York Times (NYT) says it has heard from an online retailer claiming to have been approached by Google to participate in the scheme. It also claims another industry insider reported having heard of such a service under the moniker Google Wallet.

And at an investor conference on Friday the Wall Street Journal also reported the initiative came under discussion.

Google has also earlier filed documents with the SEC to establish the Google Payments Corporation.

Quite what the service in its final incarnation will look like, no-one, including Google, is willing to say. Online portals such as Amazon and Yahoo offer 'wallet' services that store credit card details safely in one place so that customers don't have to type them into each online shop they buy from. But the NYT's sources say the Google deal will be much closer to PayPal, which hooks accounts to credit cards so that users can pay individuals as well as merchants and can transfer money in and out.

Google currently makes its money from advertising within its hugely popular search service. Its Froogle service searches online stores for the best price on a given product, but its own payment service would be a significant step forward from that.

It has engaged heavily in building and finding out about its userbase, most notably in offering the free Gmail webmail service with 2GB of storage.

But should it successfuly establish Google Wallet as a popular way to pay with its users, it will be able to make money by charging fees for payments and other transactions in the same way PayPal does. It will also have to hook it into a service that requires such a payment method, such as eBay. But with eBay having bought PayPal two years ago, it is unlikely to be a ready customer.

Yet rumours around Google launching a classifieds service are already long in the tooth, so perhaps the company has already explored some way down that road.

Matt Whipp

Best Regards,

Bill Mattocks

 

[XAos]

Any alternative to paypal is nice. Bank routing numbers? I dont think so. Loss of chargeback rights ? Sorry. Zero interest debit system that you can only take money out of by spending? Bzzzt. Being taken over by ebay and sharing their view of seller's rights vs buyers rights doesn't help win them my adoration either.

 

[dmr]

Any alternative to paypal is nice. Bank routing numbers? I dont think so. Loss of chargeback rights ? Sorry. Zero interest debit system that you can only take money out of by spending? Bzzzt. Being taken over by ebay and sharing their view of seller's rights vs buyers rights doesn't help win them my adoration either.

I would also welcome an alternative. As I think I've said here before, I don't use Paypal because I think it's too risky. I've known two people who had major problems getting things straight, one which was a real head-banger frustration exercise.

Ironically I drive past the main Paypal building on my way in to work each day. 🙂

 

[laptoprob]

Very interesting. I generally like the Goggle approach. Like Gmail, a paying system with several advantages might be a great alternative to Paypal. Problem with Paypal is that it is a very large end therefore bureaucratic institute. But that is a threat to all possible paying systems or systems to come.
Interesting though!

Rob.

 

[JoeFriday]

I abhor Paypal (yet use it frequently, if very begrudgingly)... a reputable alternative for individuals to make payments online with credit cards is welcomed

my one concern is that Google is getting a bit too big.. do we really want to give one company control over so many aspects of our lives? having Microsoft determine what we can and can't do with our computers is bad enough.. having Google determine what we can do with our shopping, banking, what information we have access to, etc.. that's too much for me

maybe I'm just being paranoid

 

[doubs43]

Competition is GOOD! Perhaps a rival will move PayPal to tighten their act and be more responsive to their customer's concerns. If not - and Google does it right - PayPal may slide into obscurity. I guess the ball is now in their court and their destiny is in their own hands.

Walker

 

[bmattock]

Competition is GOOD! Perhaps a rival will move PayPal to tighten their act and be more responsive to their customer's concerns. If not - and Google does it right - PayPal may slide into obscurity. I guess the ball is now in their court and their destiny is in their own hands.

Walker

I agree with you, Walker. I use Paypal, but I grit my teeth when I do. Had an experience with a buyer complaining about something they bought, it was a horror show for me. I understand that Paypal has grown very, very, fast - and that may be the problem, victim of their own success. But competition has a way of forcing systems to be re-evaluated.

Best Regards,

Bill Mattocks