To address threats posed by Google, Apple and credit card companies
EBay will present a three-year plan for expanding its online payment service PayPal and to tackle threats the unit faces from Google and Apple.
PayPal is EBay’s fastest-growing business. The payment service is expected to generate more revenue than EBay’s e-commerce marketplace in coming years, the company said.
It added that the company will unveil its strategy for the mobile version of PayPal, the BillMeLater service, and its open-platform effort, at a meeting with analysts this weekend.
Both Apple and Google are both working towards embedding their devices with the near-field communications (NFC) technology that allows users to make contactless payments.
PayPal also faces competition from credit card companies such as MasterCard, Visa and American Express, which are aggressively buying Internet-based payment processors.
PayPal said it is banking on its focus and past record.
PayPal spokesman Anuj Nayar said, "PayPal clearly is a leader in payments — it’s all we do."
"There are a lot of new entrants in the payments market. Many of them have one or two of the capabilities that PayPal delivers. Nobody has all of them."
Meanwhile the revenue PayPal got from Facebook’s virtual goods sales is under threat. Facebook is promoting its Facebook Credits payment option that works with other payment services as well.