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Visa's secure payment system is expanding to online shopping
Visa's move to protect your credit card numbers was apparently pretty popular. How do we know that? Well, it's coming to a bunch of places that aren't adorned with the Apple logo -- that's how. The company has announced that "other leading device manufacturers and technology companies" will adopt Visa Token Service this year. What's more, the company says it plans to use its secure payment system (one that doesn't any of your actual credit card info, but randomized data) on Visa Checkout transactions online as well. Even better? The outfit says that it expects some of the biggest online retailers to adopt VTS too. Oh, and banks and credit unions in the Latin America, the Pacific region of Asia and the United States are also supposed to come on board with the tech in 2015. If that means less worrying after the next inevitable data breach, hey alright! [Base image credit: OrphanJones/Flickr]
Xiaomi will tiptoe into the US by selling accessories, not phones
The world's most valuable startup (for now) is finally getting ready to sell stuff in the United States, just... maybe not the stuff you were expecting. At an intimate media gathering in San Francisco, Xiaomi global VP Hugo Barra revealed that the buzzy Chinese phone maker will start selling its low-cost fitness band (see above) and accessories like power banks and headphones to US customers through its Mi.com commerce site later this year. Here's the rub, though: Barra was quick to add that that neither the company's phones nor its tablets are making the leap into US waters just yet.
Move over daily deals, Groupon's getting into groceries
Groupon has always been pretty good for scoring cheap dinners and discounted skydiving lessons, but now that disseminator of daily deals wants to help you save money on your groceries too. Yes, really -- the company just launched a new app called Snap that promises to give you ardent shoppers money back when you buy certain products at the store. The formula is simple enough: once you're done your weekly jaunt to the local grocer, you use the app to snap a photo of your receipt for Groupon to chew on. Buy the right item and you claim some cash back that sits in a wallet of sorts until it hits the $20 threshold -- after that, Groupon cuts you a check and that'll soon land in your mailbox. If that sounds a little unlike the Groupon we all know and tolerate, well, you'd have a point. With so many players vying for recognition in the daily deals space, companies like Groupon have had to search to new ways of making money... even seemingly out-of-character ones like this and the home bulk shopping endeavor it kicked off earlier this year..
Alibaba IPO makes it worth $231 billion, more than Amazon and eBay combined
We'd heard that the US IPO for Chinese company Alibaba could be among the biggest ever, and it did not disappoint. Closing at a stock price of $93.89, it raised $21.8 billion for the company and is the biggest IPO in US history. According to Bloomberg, it could become the biggest ever (topping Agricultural Bank of China's $22 billion IPO in 2010) if underwriters make use of an option to buy more shares, which market observers expect they will. Now that Alibaba has joined the club of recent tech IPOs like Facebook and Twitter and it has cash to throw around, many wonder if it will start acquiring smaller companies the way its Silicon Valley rivals have lately. Despite being mostly unknown in the US Alibaba is massive in China, operating sales platforms described as similar to Amazon, eBay and Paypal, and Reuters says it controls more than 80 percent of online sales there. Jack Ma (pictured above) founded the company in his apartment in 1999 and is now China's richest man, personally worth some $18 billion as of market close, according to the Wall Street Journal. [Image credit: PETER PARKS/AFP/Getty Images]
Facebook's Buy button lets you purchase products directly from Page posts and ads
Facebook doesn't want you to ever leave Facebook -- not to look at photos, read the news or chat with friends -- and now you don't even have to leave to buy a product. The social giant's new Buy button (and associated e-commerce infrastructure) lets you make a purchase directly on the site. Once you click the button, which is currently being tested with select small business partners in the US, a pop-up will prompt you to confirm payment and shipping info, then complete the purchase, all without leaving Facebook. The tool is only available on select merchants' pages for the time being, including Modify Watches seen in the example above, though it could roll out to more companies if this trial is deemed a success.
Square Market now accepts Bitcoins
Square Market's one of the latest e-retailers to realize that Bitcoins might not be too cryptic to be used as a legit payment option, after all. The e-commerce website now accepts payments made using the cryptocurrency, as Square Market Lead Ajit Varma announced in a blog post where he also explained the technical details behind the process. He said buyers will be given a QR code and the info they need to buy anything from massages to biking gear with their virtual wallets. Square, in partnership with Bitcoin processor Coinbase, will then forward the payment to merchants in US dollars -- minus the website's standard processing fee, that is. A spokesperson told Recode that Square Market will take a 2.75 percent cut from each sale, even though Bitcoin processors typically charge 1 percent per transaction. Still, that's not such a bad deal for sellers who get charged the same percentage for credit card payments anyway. And that's certainly great news for folks with Bitcoins to spare... so long as they're cool with recording every purchase for the ever watchful IRS.
Hackers get encrypted PINs in Target data breach
Holiday shoppers have already been reeling from a breach of Target's database, and their situation isn't improving now that Christmas is over. The store chain has confirmed that the perpetrators took encrypted PIN codes, theoretically scoring access to legions of accounts. There is some consolation for affected customers, though. Target notes that the encryption key rests with an outside payment processor; unless the hackers attacked both companies, they won't have an easy time cracking into the financial data. The reassurances won't help those who've had to replace bank cards in light of the breach, but they do suggest that Target avoided the worst possible outcome.
Facebook kills physical Gifts in favor of digital redemption codes
Not even a year after its inception, Facebook is killing physical Gifts. According to TechCrunch, the social media giant is ending its intermediary role for sending teddy bears, wine and chocolate (sounds romantic, no?) from its partners. Instead, it's focusing on its own gift card, as well as redemption codes for iTunes credits and the like. Why? Well, aside from the cash the company will save, users simply weren't buying physical Gifts all that much. The new Gift page will begin rolling out to ten percent of the site's US userbase over the weekend, and the entire stateside population should see it within two weeks. It's a little less personal, sure, but at least you won't have to worry about getting your loved ones gift receipts.
Nintendo's Wii U Web Framework now allows for eShop purchases like DLC
Nintendo's Web Framework for Wii U now includes eCommerce support, manager of developer relations Martin Buchholz revealed at GDC Europe. When using the updated framework, developers can monetize their games after launch with items such as DLC. The Nintendo Web Framework allows developers to craft and prototype apps for the console using HTML5, JavaScript and CSS. The framework was announced at GDC in March, along with Unity support for Wii U.
Wii U now allows eShop purchases from within indie games and ported apps
Nintendo first shared details of its Wii U Web Framework at GDC in March, which it hoped would encourage more apps and games to be ported over, and facilitate quicker Wii U game prototyping. Fast-forward to GDC Europe and Martin Buchholz, manager of developer relations at Nintendo, confirmed that the framework has now been updated to include eCommerce support -- such as DLC purchases. Something of a significant lure for those with existing games that have yet to be convinced to move them over to Wii U. It's not quite in-app purchases, but it will certainly ease the worries of those game makers who prefer to monetize their titles after the initial transaction.
This is the Modem World: Four ways to fix e-commerce and shipping companies
Each week Joshua Fruhlinger contributes This is the Modem World, a column dedicated to exploring the culture of consumer technology. I'm going out of my head right now. I came home hoping to find my cool new Santa Cruz mountain biking jersey all wrapped in plastic thanks to UPS via Chainlove.com, my crazy-discounted gear site of choice. We're not talking anything expensive -- I think the thing cost me $20, but I was psyched to have a team jersey from my favorite bike company. I'm a bike dork, what can I say? I should have been skeptical when I tracked my package from the office to learn that it had been left at my "front door" at exactly 2:00 PM. While it's possible the driver hit the 2 PM mark on the head, it's unlikely that he or she left anything at my "front door" given that it's three stories or 76 stairs -- my mom counts and complains every time she visits -- above the street. In fact, every single delivery I've ever received here was tossed over my little wooden fence. But in my head, everything was fine. The jersey was waiting for me, my future as a Santa Cruz team member assured. Victory was mine.
American Express cardholders can now buy goods by tweeting special hashtags
If driving to a store and waving your phone by a terminal puts too much sweat on your brow, American Express has launched a new way to part with your money in exchange for physical goods that's even more effortless. Since last year, Amex Sync has let American Express cardholders earn discounts in return for posting tweets including hashtags about certain products, and now it's letting them buy things just by tweeting similar codes. After signing up for the service (and linking their Twitter handle), users can send out a tweet with #BuyAmexGiftCard25, reply to the @AmexSync account to confirm their purchase and wait for the package to arrive via free 2-day shipping. As of now, the outfit is offering a $25 American Express gift card for $15, but will being offering up new products, ranging from a Kindle Fire HD to an Xbox 360, with sweetened prices starting February 13 at noon EST. Not a Twitter user? According to AllThingsD, Leslie Berland, Amex's SVP of digital partnerships and development, says the solution will head to the likes of Facebook and other platforms at some point as well.
Google acquires e-commerce company Channel Intelligence for $125 million
Google just acquired the coupon-focused company Incentive Targeting and retail locker startup BufferBox in November, and it's now further bolstered its e-commerce offerings with an acquisition of Channel Intelligence for $125 million. That company is part of the ICG Group, and offers a variety of marketing and shopping services (primarily concerned with boosting sales) to other companies and online retailers, including Staples and Best Buy. It's also partnered with Google itself in recent years on Google Shopping. Barring any unforeseen hiccups, the company expects the acquisition to close sometime in the first quarter of this year. Update: We've now also gotten this statement on the acquisition from a Google spokesperson: "We want to help consumers save time and money by improving the online shopping experience. We think Channel Intelligence will help create a better shopping experience for users and help merchants increase sales across the web."
Isis' NFC payments go live in Austin and Salt Lake City: 3 carriers, 9 phones, 1 long way to go (video)
To say that the launch of Isis has felt drawn out would be a mild understatement. The alliance first signaled its intentions two years ago, detailed its first markets one year ago and faced a last-minute delay. All the ducks are finally in a row, however, and residents of both Austin as well as Salt Lake City can tap to pay (or score discounts) at the "hundreds" of locations that accept NFC-based purchases through American Express, Capital One, Chase and Isis' own cash card. Launch day brings app- and SIM-enabled access for nine devices spread rather unevenly across AT&T, T-Mobile and Verizon: only the Droid Incredible 4G LTE is confirmed working for Verizon subscribers, while the rest are divided more equally between multiple Samsung Galaxies and HTC devices like the Amaze 4G and One X. Over 20 phones should be Isis-aware before the end of the year. It's a potentially strong start to one of the few truly cross-network mobile payment systems in the US, but we see a long road ahead before Isis gives Google Wallet some jitters -- there's legions of banks, cities and stores needed before Isis is widespread, and we're not counting on that ever-elusive universal hardware support.
PayPal Here goes on sale at AT&T stores: like a one-stop shop for account hiccups
PayPal Here, despite all its focus on in-store transactions, hasn't really been available to buy in a US store -- that's been the domain of the seemingly ubiquitous Square reader. eBay's payment wing has at last established that retail beachhead through a deal with AT&T. About 1,800 of the carrier's stores are now carrying PayPal Here readers, and they'll keep the service's big rival from hogging the spotlight at a time when most aren't even aware that there's any competition. If you're still cynical, you can look at the AT&T move as a matter of convenience: at least this way, all your account headaches will come from one place.
Chinese online retail giant 360buy spreads worldwide, may keep Amazon on its toes
Many of us who live in North America and Europe consider Amazon synonymous with online retail -- yet we forget that the company barely even registers in some parts of the world. That misconception is about to be cleared up now that one of China's largest online retailers, 360buy, is going global. A just-launched English version of the store is initially shipping China-made goods for free to 36 countries that include obvious candidates like Australia, Canada, the UK and the US as well as France, Germany and southeast Asia. You're unlikely to find a Kindle Fire HD equivalent in the selection, but the mix could still make Amazon nervous when the brand-agnostic can already find real bargains. Combined with long-term plans to set up local distribution points, 360buy's international expansion could get more of us comfortable with buying from China and heat up a retail race that some thought had already been won.
Apple files patent application for fingerprint sensor that can be transparent or opaque
While Apple has flirted with biometric-based patents before, we've yet to see them implemented in real-world technology. That hasn't stopped it from filing yet another one though, as the latest application reveals a fingerprint sensor apparently embedded into the iPhone itself. The patent describes a hardware "window" that can become selectively "transparent or opaque." When transparent, it would reveal a component comprised of an "image capture device, a strobe flash, a biometric sensor, a light sensor, a proximity sensor, or a solar panel, or a combination thereof" as a method of unlocking the phone. According to the filing, the biometric sensor in question might indeed be a fingerprint reader. The document goes on to describe an alternative method using face or eye recognition technology that can be used not just for security purposes, but for possible e-commerce solutions like completing an online transaction. Of course, take any of these patent applications with a generous pinch of salt -- we haven't seen an Apple stylus yet, for example -- but perhaps this is the reason Apple bought fingerprint sensor maker AuthenTec back in July.
Amazon patents online haggling system that keeps buyers, sellers on the up and up
Haggling is so popular that it's virtually mandatory in some parts of the world, and yet it's rarely an option in the online space outside of informal auctions. If Amazon ever puts its newly granted patent into practice, however, we could soon be trying for a better price without the mock drama of a face-to-face encounter. The retailer's proposed haggling system lets buyers and sellers make offers and counteroffers until they reach a happy medium, but with the kind of honesty check we only wish we could have in person. Both buyers and sellers get ratings that would account for their flexibility, typical closing prices and how likely they are to drop a deal before it's done -- a combination that hopefully excludes the cheapskates and those who'd simply keep our wheels spinning. Even if Amazon pulls the trigger on negotiated sales, though, it's a fairly safe bet that there won't be any leeway on that Kindle Fire HD.
Amazon Game Connect links free-to-play, MMO games to store accounts, turns 1-Click into way too many
Amazon must have a lot of free time for gaming during its summer vacation: just a day after unveiling GameCircle as a cloud infrastructure, it's trotting out Game Connect to make buying game content that much easier. Once it's integrated into a title, the new platform will let customers buy content in free-to-play games, or subscribe to massively multiplayer online games, directly from their Amazon accounts -- no copy-and-paste juggling involved, even if the game account has to be made on the spot. A handful of game developers have already lined up, including Super Monday Night Combat creator Uber Entertainment and World of Tanks' Wargaming.net. If you're engrossed in gaming enough that you'll need 1-Click to buy virtual goods and MMO renewals that much faster, Amazon has you covered... although you may also want to slow down and relax.
Google Wallet gets prepaid security fix, but 'brute-force' issue still hangs in the air
Google says it's fixed a Wallet security flaw that potentially allowed a phone thief to spend a user's prepaid balance. The ability to provision new prepaid cards had been suspended pending the update, but has now been restored. Things aren't quite back to normal in the Big G's world of mobile money, however. Users still find themselves caught between two competing arguments over an entirely different vulnerability, which involves a 'brute-force' attack on rooted devices. Google insists that this isn't a major concern, so long as Wallet users refrain from rooting, and that the system still "offers advantages over the plastic cards and folded wallets in use today." On the other hand, the company that discovered this issue -- zvelo -- has come back at Google with an equally blunt response. It acknowledges that a handset must be rooted to be vulnerable, but crucially its researchers also say that a device doesn't have to be rooted before it's stolen. In other words, they allege that a savvy thief can potentially steal a phone and then root it themselves, and they won't be happy with Wallet until it requires longer PIN number. Whichever argument sways you, it's worth bearing in mind that there's no evidence that anyone has yet managed to exploit these weaknesses for criminal purposes.
