Current Events Instruction
Length: should be 200－220words.
- What are the issues discussed in the article? In other words, what is the thesis (point or argument the author is making) of the article?
- What interested you about this particular article?
- How does this article relate to class? OR, what would students in a social environment Management class find of interest about this article.
- How might this topic impact us?
PayPal Looks to Extend Reach With Facebook Deal
PayPal Holdings, fresh off reporting a record quarter for payments volume, announced a new deal with Facebook that lets users of the social networking company’s popular Messenger service to send one another money via PayPal. The partnership revealed Friday comes about a year after PayPal announced that Facebook users who shop within Messenger could check out and pay using their PayPal accounts. The San Jose, Calif.-based payments company has long bet that offering both a person-to-person payments service as well as an easy checkout method for online shoppers would lead customers to use PayPal more frequently. Earlier this week, PayPal announced that more than 2 million U.S. merchants can now accept Venmo, its person-to-person payments offering favored by young consumers, as a payment method. Connecting digital money transfers to messaging apps has taken off in markets outside the U.S., especially China. Tenpay, the payments service attached to the WeChat messaging platform operated by Tencent Holdings Ltd., has a 40% market share when it comes to mobile payments in China, up from just 7% in 2014, according to iResearch. Apple is also embracing that model. Its soon-to-be-launched money transfer service, Apple Pay Cash, will not have a separate app and will be available only within the iMessage texting platform. Facebook Messenger, which is lead by former PayPal president David Marcus, announced a person-to-person payments service in 2015 that was funded with users’ debit cards. Friday’s announcement adds PayPal as an alternative source of funding for that service. PayPal shares rose 4% in trading Friday on the heels of Thursday afternoon’s strong earnings release.