Since I believe that the advent of bitcoin has now made PayPal irrelevant, this will be my last interview for a PayPal study. In April 2011, I was interviewed by Dann Anthony Maurno of Blueshift Research for a strategy piece that he was compiling on PayPal. Below is my excerpt from that study, "PayPal a Mobile Payment Leader But Competition is Fierce". I discussed bitcoin as a mobile digital currency as well as the recent BitcoinJ, a java bitcoin client from Google.
Blueshift Research's Sept. 22, 2010, report on PayPal found the company still dominating the alternative payment market with 84 million active users. (PayPal now claims 94 million active accounts and 9 million merchants in more than 190 countries.) Mobile payments are in their infancy, but consumer interest and potential PayPal competitors are fueling mobile payment pilot projects. PayPal is in a position to capitalize on the adoption and growth of the smartphone/mobile payment segment and has identified mobile payments and non-U.S. markets as its future growth areas.
In this next study, Blueshift assessed whether PayPal can navigate the numerous competitors emerging in the mobile payment market to remain a leader in the alternative payment industry. Blueshift employed its pattern mining approach to establish and interview sources in seven independent silos:
1) Application developers (3)
2) PayPal competitors (3)
3) NFC manufacturers (3)
4) Industry experts (6)
5) Merchants (3)
6) Consumers (2)
7) Secondary sources focused on the mobile payments industry (4)
For further reading:
"Google Android Market the Only Source of Bitcoin Mobile Apps", Todd Ogasawara, SocialTimes, May 19, 2011
"Google releases open source Bitcoin client", Rodney Gedda, TechWorld, March 21, 2011