eBay Bans Sellers from Using Google Checkout
July 7, 2006 1 Comment
It appears that eBay has now prohibited sellers from accepting Google Checkout. From the Accepted Payments Policy:
Payment Services permitted on eBay: Allpay.net, Bidpay, Canadian Tire Money, cash2india, CertaPay, Checkfree.com, hyperwallet,com, Moneybookers.com, Ozpay.biz, Payko.com, Paymate.com.au, Propay.com, XOOM
Payment Services not permitted on eBay: AlertPay.com, anypay.com, AuctionChex.com, AuctionPix.com, BillPay.ie, ecount.com, cardserviceinternational.com, CCAvenue, ecount, e-gold, eHotPay.com, ePassporte.com, EuroGiro, FastCash.com, Google Checkout, gcash, GearPay, Goldmoney.com, graphcard.com, greenzap.com, ikobo.com, Liberty Dollars, Moneygram.com, neteller.com, Netpay.com, Nochex.com, paychest.com, payingfast.com, paypay, Postepay, Qchex.com, rupay.com, scripophily.com, sendmoneyorder.com, stamps, Stormpay, wmtransfer.com, xcoin.com
It also adds: As described in our safe buying guide, eBay strongly encourages sellers to offer payments through PayPal – PayPal is not only convenient to use, but it also offers buyers and sellers industry leading protection against fraud, chargebacks and theft of financial data. Merchants with their own merchant credit card processing account, and those who use a third-party credit card processor, may also offer their buyers the option of paying directly with a credit card online (including through third party checkout) or by phone.
Never mind that eBay owns PayPal, or that PayPal has a long storied history of not doing what's in the best interest of the customer (disclaimer: LQ had a major PayPal issue that was well documented at the time. Due to the popularity of LQ, I was able to remedy the situation in the end, but I can say first hand that their customer server was appalling and the experience disconcerting). Now, that's not to say that Google Checkout won't have its problems. We'll have to wait and see on that. But with many years of paying AdSense customers under it's belt it seems odd that Google as a company doesn't stack up favorably against Payko.com (whom is directly tied to PayPal, BTW) or Canadian Tire Money. Now, I can see why eBay as a company may feel threatened by the prospect of Google being able to eventually tie together GTalk, Google Checkout, Froogle, AdSense and Base. It could be a serious threat to eBay's business. But you have to think that this would constitute using a monopoly in one area to unduly influence another area. I'd be surprised if either something doesn't give or a lawsuit isn't filed in the very near future on this one. eBay obviously wants to take advantage of the network effect as much as the can, but this may have crossed the line.
Google, GOOG, eBay, PayPal, Checkout