21 December 2014

Google Wallet suffers further setbacks as key execs jump ship

20 March 2012  |  10970 views  |  2 google wallet

Shunned by telcos and banks alike, Google's effort to break into the mobile payments market is suffering further strife with the departure of its founding engineer, Jonathan Wall, and its product lead, Marc Freed-Finnegan, to set up their own payments start-up.

Wall and Freed-Finnigan left Google earlier this month to start work on a new stealth operation, dubbed tappmo. Pitched as a "disruptive innovator" on the company's holding Web page, tappmo promises to create "a next-generation commerce network" to fuel the mobile shopping revolution.

Wall's and Freed-Finnigan's departures come two months after Google's head of consumer payments Vikas Gupta quit the firm in January. Gupta joined Google after it acquired the company he founded and led, Jambool, operator of virtual currency platform Social Gold, for over $50 million in 2010.

After suffering a number of security set-backs in recent months, Google's ambitions to lead the race to bring mobile payments to the high street appear to be fading fast, with the mobile carrrier consortium Isis outgunning Google in operator, terminal and bank support. The Internet search giant has so far signed up only one secondary carrier Sprint and has failed to convince more banks to join Citi in support of the platform.
KeywordsPEOPLE

Comments: (2)

A Finextra member | 21 March, 2012, 07:05

What we now see is a mobile payment bubble being inflated. Compare with the dot-com bubble in 1998 - 2000 and the similiarities are stunning. How many unique mob payments initiatives exist today? All expect to get the consumers to step over the learning treshold and in most cases, deposit monies from their current account into apropritary "mobile payments" account held by the service provider...  in order to pay with the mobile phone instead of with legacy means... with their universal debit card directly connected to the current account. Can it be easier to insert your card in a payment terminal and key in 4 digit pin? Or pay for e commerce using card? What more than tech hype can mobile payments offer?

Be the first to give this comment the thumbs up 0 thumb ups! (Log in to thumb up)
Ketharaman Swaminathan - GTM360 Marketing Solutions - Pune | 21 March, 2012, 16:21

If this is the situation with giants like Google / Google Wallet and Nokia / Nokia Money, I fear for the hundreds of startups in this space. On second thoughts, maybe the market for mobile payments is only big enough for startups.

But Finextra Member raises a very valid point about how many people would feel comfortable about moving their money from their bank account to a startup's proprietary account. I would - about $20 at a time. Not sure how many startups can survive with such measly amounts.

Be the first to give this comment the thumbs up 0 thumb ups! (Log in to thumb up)
Comment on this story (membership required)
Log in to receive notifications when someone posts a comment

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board, sign up now.

Related blogs

Create a blog about this story (membership required)

Related stories

05 March, 2012
27 February, 2012
09 February, 2012
27 January, 2012
15 December, 2011
12 October, 2011
23 June, 2011
26 May, 2011

Related company news

 

Featured job

to $175k base, double OTE, benefits
New York City, NY (USA)

Find your next job