Google Expected To Reveal Its Mobile Payments Service on Thursday

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Google Inc. has finally decided to unleash its mobile payment system on Thursday, which will allow all the consumers to have the facility of paying through their mobiles at checkout instead of using any kind of cards. Reuters informed on Tuesday that the internet giant leader has decided to collaborate with MasterCard Inc., which is the world's second-largest credit and debit card processing network down to Visa, to launch this new system. Both MasterCard and Citigroup Inc. will be the right hands of Google Inc. in the development of this new system, revealed Wall Street Journal back in March.

Further Wall Street Journal reported that the initial retail partners of the system include Macy's Inc., American Eagle Outfitters Inc. and Subway, which makes it suspicious whether this project will be released nationwide or only in the New York City at first. Google has openly invited the media to "partner event" hosted this Thursday in New York, where it is reportedly going to demonstrate its "latest innovations." This new mobile payments system of Google will run on the Android operated devices of Sprint Nextel Corp, as informed by Bloomberg on Tuesday.

Google Gets Sued by eBay and PayPal for Its New Mobile Payment System

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Both eBay and its online payment partner, PayPal Inc., collaboratively sued Google Inc. and its two executives, on Thursday. The lawsuit claims that these executives stole trade secrets and confidential information of Paypal and eBay, related to mobile payment systems, and illegally passed it on to Google. The alleged executives of Google are Osama Bedier and Stephanie Tilenius, who are both former employees of PayPal and eBay, and are also responsible for this new launch of Google on Thursday. This new service of Google’s mobile payment system is launched in collaboration with MasterCard, Citigroup and Sprint.

The lawsuit points out that this battle of launching a better and early mobile payment system is between all the companies, which are attempting to have most of the predicted opportunity of $1 trillion turnover in mobile payments. The idea is to present mobile phones as a digital personal wallet. The filings of eBay mention that Bedier worked has been working at PayPal for nine years, specifically as the V.P. of ‘mobile and new ventures,’ he was hired by Google very recently on 24^th of January, 2011. Meanwhile, Tilenius was employed at eBay from 2001 to October 2009 and even served as a consultant afterwards till March 2010. The lawsuit points out Tilenius also joined Google just last year in February 2010 as V.P. of e-commerce.

Visa Announces To Soon Launch Its Digital Wallet for U.S. Banks

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The world’s largest payment system, Visa Inc., is now announcing its new venture as it discloses that it will soon be launching a digital wallet, which will immensely facilitate the users will making online payments. Moreover it will also make it very easier for the cellphone users to make payments, rather than using their traditional cards. It was announced on Wednesday that Visa Inc. will be collaborating with sever major banks of not only the U.S. but also international banks in this new project. Some of the initial partners, already on board with this digital wallet project, are named to be US Bancorp, PNC Financial Services, Regions Financial, BB&T Corp, Toronto Dominion's TD Bank and the U.S. arm of Barclays PLC.

This "digital wallet" will have the facility to store the credit and debit card account information of the customers of any bank, both for Visa cards and other cards. Visa said that the users can then use this wallet for making payments in online stores or on other stores too. Further, it will be adviced to all merchants to have a "one-click" button on their websites for the potential customers to use the Visa digital wallets easily and make the transactions quickly. It said that users will be able to buy things after just that one-click rather than entering all the sophisticated information manually each time they make an online purchase.

Wireless Carriers Realize the Mobile Payment System May Have Less Scope and Consider Other Options Meanwhile

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Wall Street Journal has now announced that the alliance of all main U.S. wireless carriers including AT&T Inc., Verizon Wireless and T-Mobile USA, is no longer gearing up to form a separate new network for payments method for transactions made by their customers through the cellphones. WSJ quotes that the hindrance in the job is actually because it is too easier said than done and requires a lot of worthy time to actually create a new separate network for payment, two very reliable people related to the project explained.

This previously announced joint business enterprise was called as Isis, which was originally scheduled in a way to take direct hold of the market share, which the telecom industry is providing to the Visa Inc and MasterCard Inc.  All the main wireless carriers were collaboratively going to set up their own directly controlled payments network, which would have been made been customized for collecting fees each transaction of their customers’ mobile phones.