GPay to go up against Ebay
This posting is funny but Paypal doesn’t see any humor in this. Paypal’s president Jeff Jordan has sent all his employees scouring for information regarding GPay and WSJ’s article on GBuy vs Paypal is sparse on any details about Google’s stance save for one quote from Eric Schmidt claiming he does not intend to compete.
But compete they will and in true Google fashion too. They will likely find a small niche, test the grounds and start scaling and innovating on the payment platform. GPay/GBuy will most likely be used by the millions of webmasters running adsense on their site so they can manage their payments online much like EBay buyers/sellers do with Paypal. Subsequently, Google will introduce some killer APIs to engage the web dev community who will move in and start integrating GPay systems into their websites (and even existing OpenSource web apps). Once the wedge is in place, why not allow these developers to transfer money between to one another? And once money is being transferred, why just limit it to webmasters? In terms of scale, Google is well above average and even sets the standard. They will start off with something simple and scale it over a the next few months or years.
Google’s silence and their denial should not be taken to mean that they will not take up on Paypal. It’s inevitable and its an obvious move into the online payments market. This will also put Google in a good position to initiate efforts into Micropayments.
This will be interesting because I for one don’t like Paypal controlling the market and dictating ridiculous withdrawal and transaction fee. In Canada email money transfers are the norm and they are practically free). It would be nice to have the U.S. banks do the same.