- Google is requiring app developers for the Android Market, now called Google Play, to use Google Wallet for payments in order to simplify transactions.
- The Google Wallet payment service charges more per transaction than other services like PayPal, Zong and Boku. The company hopes to compete with the seamless payment system Apple uses for its App Store.
- Developers have been told that their apps will be suspended from Google Play if they do not comply. From the start, Apple incorporated its own payment system for consistent payments for all content. When the Android Market debuted, it did not have a universal platform for payments.
- “The initiative is important for Google. While Android Market has been a hit in terms of the number of smartphones using the platform, there has not been a commensurate increase in purchase activity by users,” explains Reuters. “This is partly because the buying experience has been varied and confusing for users — reducing the chance that they will go through with a purchase, something known as conversion.”
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