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Print 19 comment(s) - last by dmce.. on Feb 9 at 7:03 AM

Google's GBuy online payment system has its crosshairs directly on PayPal; eBay closely watches

Much like Microsoft and Windows, Google's platform is the Web. Not that Google owns the Web, but it's presence cannot be denied nor defined. In fact, Google's global usage has become so popular lately that Google has made countless enemies in what seems like an overnight event.

The latest company to be on high alert from a Google threat is PayPal, one of the world's most popular online payment and peer-to-peer transaction services. PayPal, which has been operating for over 7 years, has enjoyed phenomenal growth in business with very few rivalries. Its services were so widely used that eBay purchased PayPal in 2002. Most eBay users now even state in their online terms of sales that they will only accept payments via PayPal.

This is where Google has just the right mix to be able to challenge PayPal. Google has search, it has ads, it has presence, it has Froogle. In fact, it has all the necessary ingredients to pose such a big threat to PayPal that Jeff Jordan, PayPal's president, requested PayPal and eBay employees to monitor and watch for any news of Google's development of a service it calls GBuy.

What has Google's competitor's worried is the fact that once GBuy launches, it is entirely possible to put in a search query for a product you're looking for, press search, and have Google deliver the results -- traditional by current standards. But unlike what's available today, it is easy for Google to put an option to pay for the item  you're looking for immediately, if you have a GMail account. No vendor would have to ever see your credit card information. All payments are done seamlessly. Vendors already advertise heavily on Google. It only makes sense that you can pay for product you see in the ad.

Currently, Google is a much bigger brand name than PayPal. In fact, Google ranks as one of the top recognized brand name in the world. PayPal on the other hand, is finding that signing on new merchants is slightly difficult. This is because many people view PayPal's brand to be much weaker than that of Visa or MasterCard. According to the Wall Street Journal:

Sucharita Mulpuru, an analyst at Forrester Research, says some retailers are leery of associating themselves with a brand that is so closely intertwined with eBay's online-flea-market roots. In part because of that heritage, PayPal "doesn't feel like a sophisticated financial system like a Visa or MasterCard" to many retailers, says Ms. Mulpuru.

Having a platform has become a key strategic leverage for many companies. Microsoft, Intel, NVIDIA, and now AMD all know this. Right now, it is possible for Google to setup a "platform" in which all of its services operate in a coherent manner that will allow any Google users -- search, GMail, or otherwise -- to quickly and immediately pay for purchases.

Google's brand is strong. Users around the globe trust the brand and the service. Google also has a huge potential in tapping the growing Internet-aware population of China. For merchants already doing business with Google or are looking to develop new net business, Google's user base is clearly becoming the biggest potential pool of customers in the world.


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hmm...
By Furen on 2/7/2006 5:10:32 AM , Rating: 2
I wonder how long "GPay" will be on beta for...




RE: hmm...
By Donegrim on 2/7/2006 6:32:49 AM , Rating: 2
Gpay beta disclaimer.. if we loose all your money, well, it's in beta, you take the risk. Thats the kind of competition paypal needs to be scared of.


RE: hmm...
By Furen on 2/7/2006 6:53:30 AM , Rating: 4
That doesn't sound too different from PayPal's modus operandi.


RE: hmm...
By oTAL on 2/7/2006 9:34:55 AM , Rating: 2
Argh.... I hate to feel like a G-Fan Boy but I can't wait for this.... Google seems to make our life easier with every service and always offer way more than expected... When I use PayPal I feel ripped of, and I always pray for no trouble, since their support horror stories are all around the web (although I have no complaints cause I never needed it).


RE: hmm...
By creathir on 2/7/2006 11:08:58 AM , Rating: 2
Yup, you're a G-Fan boy.....

- Creathir


Big Brother
By djcameron on 2/7/2006 9:54:37 AM , Rating: 3
Yeah. I don't think so. Everyone freaked out over the Microsoft Passport feature out of fear that Microsoft would have too much information about them. Now we have Google that will have your browsing habits, purchasing habits, email accounts, personal information, and your credit card numbers. Does this not scare you?




RE: Big Brother
By CBone on 2/7/2006 10:59:17 AM , Rating: 2
Microsoft has the image of being totally corporate and willing to give your info out or use it for shady purposes. Google is like the guy at the pub that happen to be a billionaire and buys rounds pretty frequently. Everybody likes that guy.


RE: Big Brother
By creathir on 2/7/2006 11:12:11 AM , Rating: 4
That is your percieved image...
They are just like every other company out there... for profit. Sure they buy everyone a round of beers, but afterwards expect you to buy their product. These two guys are not something to look up to... They claim to be these idealistic guys, (such as the environment and what not) but then they turn around and buy a 767... It's not alright for the rest of the world to pollute... but they are allowed to... because they are Google... Give me a break...
- Creathir


RE: Big Brother
By dmce on 2/7/2006 11:21:47 AM , Rating: 2
CBone still indicates a point that is no doubt felt by many others, even those who dislike MS through some default instinct that oozes from the web and has no real basis.

Google up until recently has been a kind of online special friend to all, spreading joy and pleasure.


Google > Paypal
By Howard on 2/7/2006 10:47:07 AM , Rating: 2
I don't know how disputes will be resolved but I think dispute resolution will be way better than with Paypal.

Fvck Paypal.




RE: Google > Paypal
By CBone on 2/7/2006 10:56:45 AM , Rating: 2
Couldn't be worse.


RE: Google > Paypal
By jskirwin on 2/7/2006 1:29:42 PM , Rating: 2
I hate paypal too, but I also am no fan of Google after their stunt with China.

A pox on both their houses...


RE: Google > Paypal
By Kaddict on 2/7/2006 6:09:18 PM , Rating: 2
Bah. China asked something stupid. Google gave China something stupid. Google is not responsible for what it sounds like.


i don't know anymore
By semo on 2/7/2006 11:31:19 AM , Rating: 2
what's good technology, what is bad technology, what is cynical and what is helpful

just accidentally nuke us all russia+america i don't care anymore




RE: i don't know anymore
By jskirwin on 2/7/2006 1:28:36 PM , Rating: 3
Sounds like somebody needs a nap.

Or librax.


Google$oft?
By bldckstark on 2/7/2006 12:25:13 PM , Rating: 3
All I have to say about Google is this. When Microsoft started their screaming tear through the market onto 90+% of desktops it was because they were better than the alternatives. Everybody loved Microsoft then. Think about it. They made everything easier on a computer. A "normal" person could use a computer without having to memorize gobs of DOS commands. Google may not take over the world, but this is how it starts.

I wonder when Google will change their name to DATAdyne. PD0 style.

When they come out with that future search program I heard about I'll be impressed. At some point Google will tap into so much information that the only direction left to grow will be into future data. You've just searched into ---
The Twilight Zone. 8*]




RE: Google$oft?
By dmce on 2/9/2006 7:03:29 AM , Rating: 2
:) made me laugh.

At the end of the day, the more popular something is the more chance there is of (groups of) people not liking an aspect. People who dont like something tend to be heard. Pity.


Competition is good....
By breethon on 2/7/2006 6:07:23 PM , Rating: 2
I don't know about you, but i think it is ridiculous to have all the fees. I know you need to make money, but come on. It seems like a double dip (ebay fee plus big paypal fee?).....I hope that Gpay undercuts paypal...maybe I would start selling on Ebay again......




RE: Competition is good....
By Kaddict on 2/7/2006 6:11:48 PM , Rating: 2
Terribly true. Competition makes everything better and cheaper, so, come on GPay!


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