According to the Android Developers Blog, Google has now enabled PayPal as a payment option for customers across the world, including the United States and Canada, for app and other digital purchases.
While this is a welcome new addition to Google Wallet’s functionality, there is one small catch that will irritate some customers. In Google Play’s support site, you can see the following:
PayPal can’t be used to purchase devices or accessories on Google Play or for other purchases that use Google Wallet outside of the Play Store.
If you wanted to buy your next Nexus device with PayPal, you’ll have to keep waiting. Otherwise, you can blow your entire PayPal balance on apps, games, movies, books, and music to your heart’s desire.
Additionally, Google has spread carrier billing and Google Play gift card support to several new countries. Meanwhile, they have allowed developers from several new countries to sell apps through Google Play – indeed, there are many places where users can buy apps, but developers can’t sell them.
While Google Wallet and PayPal are, to some extent, rivals, it made sense for Google to make this move. Where it really counts, like in-store transactions and hardware purchases, Google still makes their customers choose Google Wallet or other non-PayPal choices. I have to wonder, though, if PayPal will ever feel compelled to process Google Wallet payments.