According to latest reports, Google is planning to acquire mobile payments company Softcard. Softcard is a company that allows people to use their mobile devices to make payments for things they buy. Acquiring this could only be for one reason and that’s because Google wants to go head to head with the rest of the tech giants who are offering mobile payments services.
Currently, Apple, Amazon, PayPal and Square are few of the biggest companies that are offering mobile payments services. Softcard is the result of a joint venture between AT&T, Verizon and T-Mobile and according to the reports its estimated price is less than $100 million.
Both Softcard and Google have declined to comment on the situation. A Google spokesperson said,
We don’t have a comment, background, deep background, off-the-record steer, nod, wink or any other verbal or nonverbal response to these sorts of rumors,”
Introducing mobile payments on their devices has been a favorite of the companies who wanted to allow people to make payments for their devices and services with ease and without any additional effort. Mobile payments have been a successful service so far for any tech giant who introduced it. Apple, which introduced Apple Pay as their mobile payments medium, claimed that during the first 72 hours of Apple Pay debut, more than 1 million credit cards were used on the service.
From some time, Softcard is struggling to catch up with the rest of the companies offer mobile payments. In order to reduce the cost, it has already cut more than 60 jobs last week. Sealing this deal off with Google will mean that Softcard will have access to more resources and a potential better opportunity at flourishing and making a name for itself.