The eBay, PayPal, and Google Fight Club - Exchange of Punches
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UPDATE: According to Online Media Daily, Catherine England, a spokeswoman for eBay, said simply that the company won't accept Google Checkout because the newly launched system is largely untested in the marketplace.
"One of those criteria for inclusion is having a proven track record for service, and we just don't have that information yet with Google Checkout," England said. She added that eBay might allow the service in the future.
But Google said the service had undergone thorough testing. "Billing and payments have historically been a core part of Google's advertising programs and online services. Google Checkout is a natural extension of this history," a spokeswoman for the search giant said in an e-mail. "We rigorously tested the service with external merchants before launching and have used this same service to process Google Video, Google Earth, Google Base, and Google Store transactions for months."
The penalties on eBay for using a non-accepted service are severe, including listing cancellation, forfeiture of listing fees, limits on accounts, loss of PowerSeller status, and even account suspension. This is a big, virtual slap in the face for Google. Read it for yourself here on eBay’s Policy Page.
What’s interesting about this is that Google Checkout is a payment gateway, such as Authorize.net or LinkPoint, and credit cards are indeed permitted on eBay. So is this the first step in eBay flexing its Safe Harbor muscles in weeding out the alternative payments to PayPal, such as credit card payments, in general? Or is it more of a spiteful move on eBay’s part in order to show Google who’s really boss?
A blogger, Ty Tribble, made an interesting point on the PowerSellerKing blog. He talks about the hypocrisy in the Google Checkout-eBay Policy scenario. “It's ironic they would do this here, and in the same breath go to Congress and fight the Net Neutrality battle. You can't fight for an open Internet one day and then implement policies that close the walled garden the next.”
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