google is making the news...again

Google is developing an online payment system, different from eBay’s PayPal system.

Eric Schmidt (CEO of Google) said that they were working on an online payment service, confirming press reports earlier in the week, which said the service was being developed under the codename ‘Google Wallet’.

However, Schmidt added that Google does not intend to offer a person-to-person stored-value payments system similar to that offered by PayPal.

PayPal allows consumers to make online payments by funding electronic accounts using their credit cards or checking accounts.

Schmidt told Reuters: “The payment services we are working on are a natural evolution of Google's existing online products and advertising programs, which today connect millions of consumers and advertisers."

There is no trace of such a technology in the patent they have released early this year. Really exciting to see what it will look like - google has proved to be very good at building features rich application easy to use. Waiting for the beta release ...