Google is considering adding PayPal functionality to its Android smartphone software in a bid to make it easier for people to buy applications, according to Bloomberg.
Citing three people familiar with the matter, Bloomberg says PayPal could be added as an option for Android Market, alongside credit cards and Google's own Checkout service, this year.
The move would help encourage app developers by providing them with another - more popular - way to charge for their products. Currently there are around 70,000 Android apps, compared to more than 225,000 for the iPhone, which already works with PayPal.
Google Checkout, like PayPal, enables people to store their details so they can make payments without having to enter their details every time but has far fewer users than the eBay unit, which claims 87 million active accounts.
Talks between Google and PayPal are ongoing and a deal is not certain, says Bloomberg.
Earlier this month, PayPal launched an upgraded version of its Android app, adding the bump technology that lets users tap two phones together to send money.
PayPal Said to Be in Talks With Google About Android - Bloomberg