Sunday, March 18, 2018
  • share this

Facebook to test mobile payments service

/ 07:57 AM August 16, 2013

Photo shows a sign seen at Facebook headquarters in Menlo Park, California. AP PHOTO

NEW YORK – Facebook plans to test a mobile payments service that lets users make purchases inside mobile applications using payment information they have added to their account on the social network.

Facebook Inc. said Thursday that it is working on a “very small test” and the company says there is no set schedule for making the service available to users. The service would use payment information that shoppers store on Facebook to automatically complete checkout forms of certain mobile apps. Then, the app would process the purchase.

Spokeswoman Tera Randall said in an e-mailed statement that Facebook has a “great relationship with PayPal, and this product is simply to test how we can help our app partners provide a more simple commerce experience.”


The test, she added, won’t involve moving payment processing “away from an app’s current payments provider, such as PayPal.”

Nonetheless, shares of PayPal’s owner, eBay Inc. declined on news of the potential competition. The stock closed down $1.05, or 1.9 percent, at $53.18.

Facebook’s stock closed down 9 cents at $36.56.

Forrester Research analyst Denee Carrington thinks Facebook will face a challenge in offering mobile payments even though the company has been building up its database of users’ credit cards.

“Consumers want safe, seamless and convenient mobile payments and there are a growing number of competitors that consumers trust more — such as PayPal, Visa ( and others,” Carrington said in an e-mailed statement.

News of the test was reported earlier by AllThingsD.

Don't miss out on the latest news and information.
View comments

Subscribe to INQUIRER PLUS to get access to The Philippine Daily Inquirer & other 70+ titles, share up to 5 gadgets, listen to the news, download as early as 4am & share articles on social media. Call 896 6000.

TAGS: Facebook, Internet, Online, Paypal, Social network, technology
For feedback, complaints, or inquiries, contact us.

UN defends green, IP activists on ‘terror list’

March 19, 2018 05:21 AM


Army search in mosque stirs protest

March 19, 2018 05:18 AM


Miascor also losing Cebu airport; 600 workers hit

March 19, 2018 05:17 AM


E. Visayas main airport gets upgrade

March 19, 2018 05:16 AM

© Copyright 1997-2018 | All Rights Reserved