Amazon, eBay grab a piece of mobile payment pie
Payment processing services are hitting it big this holiday season as more shoppers choose mobile retail apps over the hassle of going to a freestanding store. In fact, GigaOm reports that the transaction volume of payments processor Braintree jumped 164 percent from the previous year. Right now eBay execs are probably pretty happy they snapped up the company for $800 million earlier this year.
Now PayPal, whose parent company is eBay, confirms it has purchased mobile app company StackMob for an undisclosed amount. Internet Retailer speculates, "The acquisition could help PayPal, eBay's online payments service that's starting to move into physical retail stores, increase its presence in mobile commerce apps and enhance its mobile payments offerings, including in-store mobile payments. The deal could help StackMob clients more easily accept mobile payments within their apps."
When not busy with drones, Amazon has been quietly bulking up its mobile payment processing system with the recent purchase of GoPago, so it seems that a race is afoot. It will take a while for a clear winner to emerge, if there even is one. With online retail sales forecast to reach $370 billion by 2017, it appears there's enough room for everyone in the payment processing business to grab a big piece of the pie.
- read about the StackMob acquisition.
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