PayPal is f’ked
Mind you, they’ve been f’king their customers over for the past 10 years or so (The high %age, charges, etc…). Now they get a taste of their own medicine.
Mind you again, GBuy could be evil too. We’ll have to see whether people trust Google with their credit card (they probably will, zealots!).
I don’t necessarily think this is all bad news for PayPal. First of all, they teamed up with Yahoo recently, so that’s probably going to help them. Second, you can pretty much assume that they’re not going to allow eBay sellers to accept GBuy as a payment processor. And I would say that eBay transactions are PayPal’s bread and butter, so at least that part is safe for them.
A bit of competition certainly won’t be a bad thing. Paypal have had a monopoly for far too long, as anyone who has been hammered by their charges will testify to.
The danger will be a lack of competition between GBuy and Paypal, where they carve up the market between them without becoming more competitive. See Visa, Mastercard and Switch/Maestro.