Groups | Search | Server Info | Keyboard shortcuts | Login | Register [http] [https] [nntp] [nntps]

Groups > comp.mobile.android > #33588

Re: Phone tap and go

Show all headers | View raw

F Murtz wrote:

> What does google get  from Android bank tap and go, and what is apple 
> wanting for its offering(there is some sort of argument with Apple and a 
> bunch of Australian banks).

Additional sales of the Android OS since users of low-end smartphones
would have to upgrade to high-end smartphones to have the hardware
needed for the RFC technology (the radio that lets your smartphone
communication is point-of-sale terminals).  The majority of smartphones
do not have NFC hardware.

Android generates $31B in revenue and $22B profit to Google since 2008
(according to Oracle Corp, http://preview.tinyurl.com/j4tm93v,
1-Jan-2016).  Obviously they want to prolong those sales by providing
gimmick features to enlarge their feature set.  They want to increase
sales by having features that require low-end smartphone users to buy
another Android smartphone that does have NFC hardware.  Most of the
forementioned revenue was generated at Google's Play store.  Google has
LOTS of money to throw around.  They paid $1B to Apple to keep Google as
the default search engine for iOS Safari
(http://preview.tinyurl.com/h8bbnmf)

Android Pay is nearly identical to Apply Pay.  So far, and that is only
so far, Google is not taking a cut of transactions handled through
Android Pay.  See:

http://www.technobuffalo.com/2015/06/07/google-reportedly-wont-take-a-cut-from-android-pay-transactions/

Well, that is for the moment.  By offering similar services for free, I
suspect they want to undermine Apple Pay, get more users and merchants
moved over to Android Pay, and then come up later with a subscription or
fee schedule or worse to shove ads in their app to generate revenue.  

James Bond "Live and Let Die" (1973)
Kananga: "Sell" heroin ... for money?!
Bond:    My apologies. I'm sure you'll simply give it away.
Kananga: Excellent, Mr Bond. That's precisely what I intend to do. Two 
         tons of it, to be exact.  When entering into a fiercely 
         competitive field, one finds it advisable to give away free 
         samples. Man or woman, black or white. I don't discriminate.
Bond:    Two tons of heroin with a street value well over a billion 
         dollars nationally distributed free? That should make a certain 
         group of families rather angry, wouldn't you say?
Kananga: Angry? Why, my dear Mr Bond, it'll positively drive them out of 
         their minds.
Bond:    And subsequently out of the business. Quite ingenious. A sort 
         of junkies' welfare system.
Kananga: Merely until the number of addicts in the country has doubled, 
         shall we say? Then I will market that acreage you blundered 
         into the other day. That heroin will be very expensive indeed, 
         leaving myself and the phone company the only two going 
         monopolies in this nation for years to come.

Google seems more than cash capable of undercutting Apple to give away
their Android Pay service ... for awhile and probably long enough to
steal away a huge chunk Apple Pay's revenues.  As has been proven time
and time again, including Microsoft with Windows 10, give it away free
and there will plenty of suckers.

The software industry is rife with freebies that get yanked away once
the volunteer users have sufficiently load tested a product and it gets
stable enough to become a commercially revenue-generating commodity.
However, also remember Google is also well known for conducting
experiments that they abandon after 3 to 5 years.  If Google cannot
break Apple's back to steal away the NFC technology then they'll just
terminate the experiment, and everyone that came to rely on Android Pay
is screwed.

Also, in the techbuffalo article mentioned above, Google might find
trying to extract a free (from users or merchants) rather increasingly
difficult since Visa and Mastercard added their tokenization services
(which Google likes to pretend is their feature to protect your
transactions when using Android Pay).  Apple has their own proprietary
tokenization process and why they can charge a fee.  If you were a
merchant, would you continue paying the extra free to Apple or would you
switch to a bank providing Visa or MasterCard merchant services so you
eliminate doling out a fee by embarcing Android Pay transactions?

If Google cannot upset Apple in the NFC market, oh gee, guess we get to
see ads in the app.  What a surprise ... not!  Pretty hard to find any
free apps that aren't riddled with ads.  Some but not many.

Back to comp.mobile.android | Previous | Next — Previous in thread | Next in thread | Find similar | Unroll thread

Thread

Phone tap and go F Murtz <haggisz@hotmail.com> - 2016-08-22 01:42 +1000
  Re: Phone tap and go VanguardLH <V@nguard.LH> - 2016-08-21 12:14 -0500
    Re: Phone tap and go nospam <nospam@nospam.invalid> - 2016-08-21 13:37 -0400
    Re: Phone tap and go F Murtz <haggisz@hotmail.com> - 2016-08-22 15:00 +1000
      Re: Phone tap and go Chris <ithinkiam@gmail.com> - 2016-08-22 08:10 +0000
  Re: Phone tap and go Whiskers <catwheezel@operamail.com> - 2016-08-21 21:12 +0100
    Re: Phone tap and go nospam <nospam@nospam.invalid> - 2016-08-21 16:39 -0400
    Re: Phone tap and go Chris in Makati <mail@nospam.com> - 2016-08-22 11:15 +0800

csiph-web