Is Google launching a payment management service like PayPal? The Wall Street Journal Online edition has reported so. See this Reuters story, "Google plans pay service to rival PayPal-WSJ"

A link to the free version of the WSJ article (thanks Carl)

From John Battelle's SearchBlog:
"Google Inc. this year plans to offer an electronic-payment service that could help the Internet-search company diversify its revenue and may heighten competition with eBay Inc.'s PayPal unit, according to people familiar with the matter."

Search Engine Watch ala Gary Price:
"I did a bit of research (love that deep web (-:) after reading the article and discovered that two months ago Google filed the paperwork with the California Secretary of State and formed the Google Payment Corporation."

If Google does launch a payment service it would be a formidable competitor to eBay's PayPal.

Update: Apparently PayPal has announced a new tool as part of its payment service.
"Online payment service PayPal launched a new tool, which gives merchants the option of allowing consumers to complete credit card transactions on the merchants' own Web sites. The tool will preempt the need, and annoyance, of being redirected to PayPal's own site."
Via Aaron's SEO Book blog.

Google Payment Corporation, PayPal, payment, service, eBay, Google