The big news for today: Google Checkout. There is an official announcement about the service on the Google Blog, complete with a 2 minute video touting Google Checkout features. This service has been expected for quite awhile (remember the rumors about Google Wallet?) and has been widely seen as competition for PayPal.
I think Google might finally be learning some lessons from Microsoft. First, they need add new services that generate non-ad based revenue. With a stock price of over $400 per share I expect to see more and more pressure applied to Google to generate A LOT MORE MONEY as time goes on. Second, leveraging new services with what you already have. Integrating the service with AdWords will provide a way for Checkout to grow. Not only grow, but grow in a way that others (PayPal) will be unlikely to duplicate, at least not easily. Third, many people still trust Google, so now is the time to strike before a major reputation dip hits. There are are of course plenty of people who have been distrustful of Google for quite awhile, but I think the “main stream web user” still gets a mostly warm fuzzy feeling when using Google services.
If Google really has learned some of these lessons, expect the integration march to continue. How about sending payments via Gmail, Google Talk, or SMS? Scheduling payments via Google Calendar? Twisting this around a bit, how about getting Checkout credits instead of a check for your Google AdSense account?
There is a reason that PayPal has been making features similar to these available, because Google can come in and do it without having to partner with anyone else.
This might be another example of Google coming into an existing field late in the game, but doing it so much better than everyone else that they quickly become the dominant player. Then again, Google has launched so many so-so services over the last 18 months that may do nothing more than live on life support.
One reply on “Google Checkout”
I checked out “Google-checkout”.
The overall process seems to be very easy but exactly that makes this solution very vulnerable. During checkout there was no security question to make sure that I’m indeed the owner of the Google account or the associated Credit Cards in that account. Of course I used my username and password but because there are so many Google sites, using the same username and password, it is very easy to loose your login information on a hijacking page as you might not check the url for Ad-Words or Gmail every time you log on as those services never had the possibility to shop with your Credit Card.
Now because you have one account and login information for all it is quite possible that hackers will try to get your login information from any Google service out there! Even worth is the fact that the hacker can change the password without any problem. The owner of the account might not even get any information about the password change as the e-mail is sent to the according and hijacked Gmail account.
Because of this HUGE security risk I would not recommend using Google checkout!
Please checkout the http://www.thebilliondollarpatent.com as s-registration solution that Google should have implemented in their service to make it solid and secure. This solution is requiring a third credential called TAN to make sure that ONLY the owner of that account is able to shop online even in case the account is hijacked.
I hope that everybody is aware of the security issue with Google checkout and will inform Google of a better solution!
Thanks and be safe;-)))!!