Wallet has yet to find traction in mobile commerce
Google has been a big name in the mobile commerce space, but not necessarily a well-loved name. The company’s Wallet platform, which exists to facilitate mobile payments, has been the recipient of harsh criticism since its launch. The early days of Google Wallet were plagued by serious security issues that drove many consumers to other mobile commerce platforms. While these issues were ultimately resolved, Wallet experienced other hardships that made it unpopular with consumers, with companies like Verizon refusing to support the mobile commerce platform for various reasons.
Google continues to invest in Wallet platform
Google may have a strong interest in mobile commerce, but the company has not been able to find any significant traction in this sector. Google has invested more than $300 million into the Wallet platform, which also includes the acquisition of companies that had specialized in application development and mobile commerce. The company has also devoted more than 100 developers to focus solely on the Wallet platform. Despite this support, the Wallet has only seen 10 million downloads worldwide, a very low number in the mobile space.
Wallet fails to enthrall consumers
One of the reasons that Google Wallet has not become the dominating force in the mobile commerce space has to do with U.S. telecommunications companies. Few of these companies are interested in supporting the Wallet due to the other alternatives that are available. Lack of support means less exposure with consumers, which means that fewer people even know that Google Wallet exists. In the case of Verizon, AT&T, and T-Mobile, these companies have teamed together to launch their own mobile commerce platform called Isis, which has thus far proven to be somewhat more popular than the Wallet despite a very limited release.
Google may abandon Wallet platform, eventually
The Google Wallet was once considered by Google to be the key to mobile commerce success, but the platform has become a serious money sink for the company. It is uncertain how long Google will continue to devote money to the Wallet platform, but the company has not yet shown any signs of abandoning its mobile commerce endeavors.