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Sunday, March 25, 2012

App Makers Forced To Use Google’s Payment Service

Search engine Google was noticed giving its app and mobile game developers a kind of chinese burn until those use its Google Wallet payment service.

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In fact, the developers don’t like using Google Wallet because it’s more costly if compared to other payment services. However, it seems that the search engine introduced its new marketing strategy: it has been speaking softly while carrying a large stick to encourage the adoption of Google Wallet.

In fact, the example of Apple proved that the use of an integrated payment system has been one of the factors leading to success. Now it looks like Google is making attempts to repeat Apple’s experiment in a bid to squeeze the maximum revenue from its Android OS.

The search giant has been warning a number of developers during recent months that in the event that they continued using other payment services like PayPal, Zong and Boku, Google would remove their works from Android Market.

Press reports show that the app developers have been moaning that the search giant is claiming that it is going to simplify consumer payments, in a hope that applications-buying will increase and offset their higher costs. However, Google Wallet is known for charging a higher cut per transaction in comparison to its competitors on the market. Meanwhile, the very fact that Google is threatening developers to use its own payment service might anger all anti-trust watchdogs that are watching the situation on the market. They may be very surprised with one of the emails sent to developers in late summer 2011, where Google warned that those had one month to comply, otherwise their applications would be “suspended” from Android Market. 

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