:max_bytes(150000):strip_icc()/GettyImages-8596162781-5c804e22c9e77c0001f57d37.jpg "PayPal Stock Declines as Amazon Drops Venmo Payment System")
Key Takeaways
- Amazon is dropping PayPal-owned Venmo as a way for customers to pay for purchases, and shares of PayPal declined.
- Customers who have Venmo enabled in their Amazon wallet will be able to use it until Jan. 10.
- Amazon and PayPal had agreed on enabling the Venmo payment method in October 2022.
PayPal Holdings (PYPL) shares fell after Amazon (AMZN) indicated that it would no longer accept the PayPal-owned Venmo payment service for purchases.
Venmo said in a statement that “due to recent changes” users who currently have the service enabled in their Amazon wallet would no longer be able to buy products on the site after Jan. 10. Amazon customers will still be able to use Venmo debit and credit cards.
Amazon and PayPal announced the Venmo arrangement in October of last year. According to a PayPal announcement at the time, “The option to pay with Venmo on Amazon brings the familiarity and trust you know and love about using Venmo to the Amazon shopping experience.”
Max Bardon, vice president of Amazon Worldwide Payments, added that Amazon made the move to accept Venmo payments because it wanted to offer its customers more “payment options that are convenient, easy to use, and secure.”
PayPal shares closed 1.8% lower at $58.48 on Thursday, bringing their year-to-date decline to 22%. Amazon shares gained 1.6% Thursday to $146.88 and have gained 71% in 2023.
Alex Mitchell is your go-to expert for all things mobile. With a passion for the latest smartphones, apps, and mobile innovations, Alex provides in-depth reviews, insightful analyses, and breaking news about the ever-evolving world of mobile technology. Stay connected with Alex to navigate the fast-paced realm of mobile devices.
