Commerce: August 2007 Archives

Amazon.com Tests Web Service For Flexible PaymentsInfoWeek Amazon.com Friday announced a limited beta test of Amazon Flexible Payments Service (FPS), a set of new Amazon Web Services APIs for moving money between people or computers.
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"It's the first payment service built from the ground up for developers," said Adam Selipsky, VP of Product Management and Developer Relations. "It's a Web service. What that allows us to do is build-in all sorts of flexibility that traditionally has not been possible with payment solutions."
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The programmatic nature of FPS becomes critical for computer-to-computer micro-payments, which need to be massively scalable.
Such scenarios promise to change the nature of online mashups, which typically consume data without payment, at least until the popularity of a service forces the mashup maker and data providers into a negotiation. Suddenly, software developers have a way to automate the buying and selling of data using a familiar Web services infrastructure.

In essence, Amazon has created a web service which can be included in Mashups just the way any other web service is. At the same time, they are attempting to solve the micropayment problem. (They aren't really "solving" it, they are simply providing it at the at the provider-to-provider level, where presumably they will add up to a single large payment, as opposed to the consumer level where people are unwilling to plop down money in advance of (possibly) making small payments in the future.)

I've always had a little trouble figuring out what Amazon was up to with their hosting services. It didn't seem to play to their overall corporate direction, image, or strengths. This, however, makes good use of both those services, and their commerce capabilities. I expect we'll see Google and eBay/Paypal make similar moves.

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This page is a archive of entries in the Commerce category from August 2007.

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I'm the CEO/CTO of Somewhere, Inc., a company building a unified social networking layer that gives people the means to track their friends across multiple social networks.

Commerce: August 2007: Monthly Archives

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