Description: Now the big credit card networks, looking for ways to increase their presence in mobile and online, are replicating that model. In the past year, Visa (V), MasterCard (MA), and American Express (AXP) have spent nearly $3 billion to buy Net-based payment processors.
Date: Nov 18, 2010
Want to skip the line at the ballpark? Download the iConcessionStand smartphone app. It lets sports fans order hot dogs and cold beer from their mobile phones and pay by transferring money from PayPal (EBAY) to a nearby food vendor. An alert pops up when the order’s ready.
PayPal, a unit of eBay (EBAY), earns about a three percent cut of the transaction, but the app wasn’t built by PayPal’s engineers. iConcessionStand is one of more than 1,000 apps devised by entrepreneurs using PayPal X, a software tool that lets programmers work PayPal’s payments-processing technology into their own products. These outside developers will generate $1 billion in transaction volume for PayPal this year. Click here for rest of story
Questions for discussion:
- Why is the demand for app programmers so large?
- Do you feel the growth of these programming skills will continue to grow?
- Why is mobile computing growing at such a fast rate?