Tony McGrath
02 June 2011
Search engine giant Google recently announced a new online application that may make it easier for consumers and businesses to make payments through websites with an online payment gateway.
The new service, called an "online wallet", will enable users to control payments from a central account that can be used for ecommerce, mcommerce and in-store payments alike.
Developed in conjunction with MasterCard, FirstData, Citi and Sprint, the Google Wallet will incorporate near field communication technology similar to that found in electronic smartcards.
Like contactless-enabled credit and debit cards, the wallet will be usable at in-store locations. However, instead of tapping a smartcard against a contactless card reader, a user will tap his or her phone, which will be connected to the online wallet application.
Stephanie Tilenius, vice president of commerce and payments for Google, said the company has "joined with leaders in the industry to build the next generation of mobile commerce."
According to a recent Practical Ecommerce report, the Google Wallet - and similar services in the pipeline from other companies - is likely to have a profound effect on the ecommerce sector.
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