Google launches NFC payment service, eBay sues alleging theft

Posted:
in General Discussion edited January 2014
After Google unveiled the Google Wallet Near Field Communication mobile payment service on Thursday, eBay and subsidiary PayPal filed a lawsuit alleging the project's team lead stole trade secrets to create the service.



Mountain View, Calif.-based Google showed off the new mobile payment Android app at an event in New York City Thursday. Google Wallet utilizes virtual cards, such as a Google Prepaid Card, to 'tap to pay' via NFC technology.



CitiBank will participate as an early partner, as the service will support all Citi MasterCards at launch. Google Prepaid Cards can be topped up with any existing credit card. Eventually, the service will support loyalty cards, gift cards, receipts, boarding passes, tickets and even keys.



Google Wallet will launch first on the flagship Nexus S 4G on the Sprint network. Android boss Andy Rubin said last year that the Nexus S, which was co-developed by Google and Samsung, was "the lead device for the Gingerbread/Android 2.3 release."



MacNN reports that, within hours of the Google Wallet launch, eBay sued the search giant for allegedly using the company's trade secrets to build the technology. According to the complaint, Google Wallet project lead Osama Bedier was poached away from PayPal in the middle of negotiating a deal between the two companies.



"At the very point when the companies were negotiating and finalizing the Android-PayPal deal, Bedier was interviewing for a job at Google -- without informing PayPal of this conflicting position," eBay and PayPal said. Bedier allegedly brought to Google proprietary technical knowledge from PayPal, as well as knowledge of "major retailers," and tried to poach PayPal employees while at Google.



The lawsuit also alleges that former eBay executive Stephanie Tilenius breached a consulting contract with the company by joining Google as its VP of commerce a month before it finished.



As a competing virtual payment solution, Google Wallet resembles PayPal in several aspects. Google has yet to respond to the accusations. If the two companies are unable to reach a settlement and the lawsuit holds up in court, it could threaten the fledgling service.



Apple is expected to join the fray with its own NFC payment solution. Reports differ on whether the iPhone maker will add NFC functionality to its next generation smartphone. Earlier this month, one Wall Street research firm claimed Apple will not add a Radio Frequency Identification chip, while rumors swirled earlier in the year that Apple would include an NFC chip for an e-wallet service in the next-generation iPhone.



In April, Apple was awarded a patent for an RFID tag reader embedded within a touch panel to save space. According to analyst Brian White of Ticonderoga Securities, Apple is planning to utilize NFC with a "unique twist" beyond just e-wallet functionality.



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Comments

  • Reply 1 of 58
    gotwakegotwake Posts: 111member
    What?!? Google using other people's ideas? No way!!
  • Reply 2 of 58
    Way!



    Evil genius.....

    Anyhow, Google Checkout with NFC? Meh.



    Seems to me the person in question is to blame as they didn't announce it. That lead guy and the other VP.
  • Reply 3 of 58
    malaxmalax Posts: 1,598member
    Time to update the various "who is suing whom" diagrams to toss eBay in the mix. WTG eBay! And how long before Apple gets involved?



    http://gizmodo.com/5656913/whos-suin...obile-industry

    http://www.guardian.co.uk/technology...patent-lawsuit
  • Reply 4 of 58
    tzeshantzeshan Posts: 2,007member
    It always has been like this.
  • Reply 5 of 58
    Quote:
    Originally Posted by AppleInsider View Post


    After Google unveiled the Google Wallet Near Field Communication mobile payment service on Thursday, eBay and subsidiary PayPal filed a lawsuit alleging the project's team lead stole trade secrets to create the service.



    Mountain View, Calif.-based Google showed off the new mobile payment Android app at an event in New York City Thursday. Google Wallet utilizes virtual cards, such as a Google Prepaid Card, to 'tap to pay' via NFC technology.



    CitiBank will participate as an early partner, as the service will support all Citi MasterCards at launch. Google Prepaid Cards can be topped up with any existing credit card. Eventually, the service will support loyalty cards, gift cards, receipts, boarding passes, tickets and even keys.



    Google Wallet will launch first on the flagship Nexus S 4G on the Sprint network. Android boss Andy Rubin said last year that the Nexus S, which was co-developed by Google and Samsung, was "the lead device for the Gingerbread/Android 2.3 release."



    MacNN reports that, within hours of the Google Wallet launch, eBay sued the search giant for allegedly using the company's trade secrets to build the technology. According to the complaint, Google Wallet project lead Osama Bedier was poached away from PayPal in the middle of negotiating a deal between the two companies.



    "At the very point when the companies were negotiating and finalizing the Android-PayPal deal, Bedier was interviewing for a job at Google -- without informing PayPal of this conflicting position," eBay and PayPal said. Bedier allegedly brought to Google proprietary technical knowledge from PayPal, as well as knowledge of "major retailers," and tried to poach PayPal employees while at Google.



    The lawsuit also alleges that former eBay executive Stephanie Tilenius breached a consulting contract with the company by joining Google as its VP of commerce a month before it finished.



    As a competing virtual payment solution, Google Wallet resembles PayPal in several aspects. Google has yet to respond to the accusations. If the two companies are unable to reach a settlement and the lawsuit holds up in court, it could threaten the fledgling service.



    Apple is expected to join the fray with its own NFC payment solution. Reports differ on whether the iPhone maker will add NFC functionality to its next generation smartphone. Earlier this month, one Wall Street research firm claimed Apple will not add a Radio Frequency Identification chip, while rumors swirled earlier in the year that Apple would include an NFC chip for an e-wallet service in the next-generation iPhone.



    In April, Apple was awarded a patent for an RFID tag reader embedded within a touch panel to save space. According to analyst Brian White of Ticonderoga Securities, Apple is planning to utilize NFC with a "unique twist" beyond just e-wallet functionality.





    there is NO way this is theft. IF ebay/paypal think they are the first get a fracking grip. they have had this system in Japan for years now. people load money in th esame way to their phone and use it for purchasing at stores and vending machines also Ebay sucks anyways their corperate structure is built on how to screw everyone else.
  • Reply 6 of 58
    They stole copyrighted books. They stole android OS. They stole id's. They stole iPhone functionalities. That's what they do! And the financial institutions, like citi, well, they sleep with whoever they can. Google and the big banks are right at home with each other.
  • Reply 7 of 58
    l008coml008com Posts: 163member
    I way aways be against paypal/ebay, by default. Go Google!
  • Reply 8 of 58
    big kcbig kc Posts: 122member
    Dude's name is 'Osama'?? Priceless!
  • Reply 9 of 58
    charlitunacharlituna Posts: 7,215member
    Quote:
    Originally Posted by racer162 View Post


    there is NO way this is theft. IF ebay/paypal think they are the first get a fracking grip.



    They aren't claiming they were first. THey are claiming that Google hired key personnel from ebay and paypal who had knowledge of deals in the works etc and used that knowledge to benefit Google while perhaps at the same time hurting the other companies.



    Which is tacky and a legal no-no
  • Reply 10 of 58
    steven n.steven n. Posts: 1,123member
    Quote:
    Originally Posted by racer162 View Post


    there is NO way this is theft. IF ebay/paypal think they are the first get a fracking grip. they have had this system in Japan for years now. people load money in th esame way to their phone and use it for purchasing at stores and vending machines also Ebay sucks anyways their corperate structure is built on how to screw everyone else.



    They have had airplanes for years as well.



    http://www.justice.gov/criminal/cybe...anchCharge.htm



    If true, these things can stop the service dead in its tracks.
  • Reply 11 of 58
    patranuspatranus Posts: 366member
    *shocked*
  • Reply 12 of 58
    magicjmagicj Posts: 406member
    Quote:
    Originally Posted by AppleInsider View Post


    According to analyst Brian White of Ticonderoga Securities, Apple is planning to utilize NFC with a "unique twist" beyond just e-wallet functionality.



    My sources tell me it will also make mounds and mounds of Julian Fries.
  • Reply 13 of 58
    secruosersecruoser Posts: 17member
    Every engineer in the world should collaborate together and build the best for humanity, not competing and suing each other like it would benefit anyone at all.
  • Reply 14 of 58
    matrix07matrix07 Posts: 1,993member
    Google stole again! Yeah!!!!!
  • Reply 15 of 58
    myapplelovemyapplelove Posts: 1,515member
    Quote:
    Originally Posted by Secruoser View Post


    Every engineer in the world should collaborate together and build the best for humanity, not competing and suing each other like it would benefit anyone at all.



    yeah and if you find a workable model of how to do this on a global scale give me a ring, we might have to wait a few millennia though for us to evolve to this.
  • Reply 16 of 58
    secruosersecruoser Posts: 17member
    Quote:
    Originally Posted by myapplelove View Post


    yeah and if you find a workable model of how to do this on a global scale give me a ring, we might have to wait a few millennia though for us to evolve to this.



    The solution is available, and any idea to make the world a better place is radical and is usually attacked by mainstream culture.



    http://www.thevenusproject.com/
  • Reply 17 of 58
    applesauce007applesauce007 Posts: 1,621member
    Quote:
    Originally Posted by racer162 View Post


    there is NO way this is theft. IF ebay/paypal think they are the first get a fracking grip. they have had this system in Japan for years now. people load money in th esame way to their phone and use it for purchasing at stores and vending machines also Ebay sucks anyways their corperate structure is built on how to screw everyone else.



    It's not a matter of being first. The allegations are simple and straight forward.



    1. Stephanie Tilenius breached her contractual obligations by hiring Osama Bedier.



    2. Osama Bedier misappropriated PayPal technology and knowledge of negotiations with banks.



    Lawsuit -> http://www.ebayinc.com/assets/pdf/fa...PayPal_DOC.pdf



    If these allegations are proven true, Stephanie, Osama and Google have a serious problem.



    Time will tell.
  • Reply 18 of 58
    magicjmagicj Posts: 406member
    Quote:
    Originally Posted by Secruoser View Post


    The solution is available, and any idea to make the world a better place is radical and is usually attacked by mainstream culture.



    http://www.thevenusproject.com/



    Rendering 3D models in Vue is going to end world hunger?
  • Reply 19 of 58
    secruosersecruoser Posts: 17member
    Quote:
    Originally Posted by magicj View Post


    Rendering 3D models in Vue is going to end world hunger?



    There's a lot of reading materials to explain the whole process in the website. You stopped at the 3D models.
  • Reply 20 of 58
    shoozzshoozz Posts: 26member
    Google is taking shortcuts to maintain their presence instead of investing in R&D, who does that sound like?
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