PayPal to Cut up to 400 Jobs, Wants to Distance itself from ‘Mobile Payments’
Oct. 15, 2012
PayPal will cut between 300 and 400 jobs in product development, technology and marketing according to an unnamed source in a Bloomberg report. The cuts represent as much as 3 percent of PayPal’s 13,000 employees.
Separately, a company blog post revealed an interesting view on the way PayPal might position itself moving forward. While many payments companies are embracing the notion of mobile payments, Anuj Nayar, PayPal’s senior director of global communications, wrote a post titled “PayPal is not a mobile wallet company.” Nayar said mobile wallets alone will not solve any customer pain points but must be included as part of a cloud-based approach.
“Consumers need to see the value in order to switch from what they do today,” Nayar wrote. “That value can’t just be a different way to pay. It has to be better. It will be provided courtesy of cloud computing—not on a chip in your phone. I beg of you, the media and the industry as a whole—do not call PayPal a mobile payments or mobile wallet company – just call us PayPal. I will even settle for digital wallet—but I prefer just “PayPal”. We do not want to be lumped into a category where people are using technology to create solutions that are not solving a problem.”