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eBay Bans Google Checkout

By - July 06, 2006

EBay just changed its policy to exclude Google Checkout from its accepted payment options, keeping PayPal in clearer pastures. eBay Strategies, lists the ins and outs: “In reality it’s a credit card gateway (and the same one eBay spends millions with as the top google AdWords user) and credit cards are specifically allowed along with gateways (verisign/cybersource/authorize.net, etc.)”

Definitely a hamper on that big IF of Checkout’s success that Om talks about, on the potential it could play in Google market development towards a pay-for-performance or cost-per-action system.

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10 thoughts on “eBay Bans Google Checkout

  1. Ole Eichhorn says:

    When I was with PayPal in 2001 one of our biggest fears was that eBay would do this to us; at that time they had a significant stake in Billpoint, then PayPal’s biggest competitor. Perhaps antitrust concerns kept them from doing so, perhaps they didn’t think PayPal could really get traction against the “house brand”, or perhaps they felt PayPal would self-destruct due to fraud, but they didn’t do it.

    Later they tried to buy PayPal, still later they folded Billpoint, and still later they did buy PayPal after the public market set the valuation :)

    I guess they’ve learned. It will be interesting to see Google’s response. The biggest market by far for person-to-person payments online is auction settlements, and eBay is THE auction market, even more than in 2001 when Yahoo and Amazon were also auction players. Unless Google finds another way to get scale – such as Video sales, maybe? – Checkout will never get enough traction to be interesting.

  2. StewMeat says:

    eBay vs google?

    I got my money on google.

  3. John Haigh says:

    After reading “The Paypal Wars”, I’m not at all surprised by eBay’s response to Google Checkout. It really makes them look bad. Things are heating up between the two companies, and I believe that eBay is going to “checkout” if they do not change their business practices. Every merchant I have chatted with has had issues with eBay and or PayPal. PayPal was a great company before being acquired by eBay. eBay treats you like a number, and the people are responding by lowering their numbers in monetary terms, as well as raising the value of Google because they genuinely are trying to improve things and help their customers. If they come from a place of genuine help, they know that they’ll be financially rewarded. Meg Whitman should be ousted and replaced with a more progressive CEO.

  4. av says:

    Melanie:

    Your post was looks hurriedly put together and just gave a series of links. Folks who read John’s blog are generally looking for a little more analysis than Om or Ebay’s opinions. Hopefully, you will try to maintain that quality.

    -av

  5. Gordon says:

    av:

    Your comment was looks hurriedly put together. Folks who read comments are generally looking for something more than just bashing Melanie’s posts. Hopefully you will try harder in the future.

    -gordon

  6. Ted says:

    Perhaps Gordon was passed over for the job that Melanie snagged and now he trucks with added hostility. If that’s so I refuse to fault him. Melanie should thank her stars I didn’t have the wherewithal to put a resume together, though. Just sayin’…

    Her job description isn’t to be the next John Battelle and I believe that was clearly stated.

  7. Ted says:

    Whoops. I meant ‘av’ and not Gordon. Semi-anonymous burn on me. Apologies to all involved. Have nice weekend.

  8. Keith Cash says:

    I agree with StewMeat; Google has become a giant corporation kinda but not like microsoft.

    Google by a nose.

  9. Billiger says:

    Its always interesting watching two big players fighting each other.

  10. Tom says:

    I expect to see google create GBay someday.
    I will cancel my eBay account in 1 second. Thank you, Tom

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