Seeing a giant like Google Inc (NASDAQ:GOOGL) concede defeat is perhaps as rare an occasion as sighting Halley’s comet. I mean the company is making drones and tablets for diagnosing and curing cancers. What could possibly be beyond their reach? On CNBC Re/code’s Kara Swisher discussed why Google Wallet is one such simple product that the company is not willing to reach out to anymore.
“[…] I think its failure of focus probably. Google Inc (NASDAQ:GOOGL) was doing a 109 other things and this was an area where they tried a variety of things in and again they had a lot of management turmoil here and it’s not in their core business […],” said Swisher.
Traction was a major factor, according to Swisher, that has led to Google Inc (NASDAQ:GOOGL) rolling back its product. She also explained further the upheavals that Google Wallet was facing in terms of management issues.
“[…] It is saying that no one is using the Google Wallet. That is what it is saying. I mean it is a product that didn’t get any traction and Google Inc (NASDAQ:GOOGL) has been trying a variety of executives and a variety of attempts and things like that, and they just haven’t been able to make any ground here, so they have given up,” remarked Swisher.
It is important to understand that this doesn’t mean that Google Inc (NASDAQ:GOOGL) is exiting the mobile payments market. The tech giant is much more shrewd than announcing a move like that, which would be similar to running down the edge of a cliff. The mobile payments market is too young for a move like that.
By mobile payments, I mean the NFC based payments and in app payments. These sort of transactions can still be carried out. However, online transactions involving digital products such as e-magazines etc. can no longer be completed using Google Wallet. PayPal will remain the uncrowned king in that sphere.
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