PayPal has acquired StackMob to enhance its mobile app service.
PayPal confirmed in a blog post that it is able to acquire the talented engineering team of StackMob.
StackMob, a competitor of Parse, which is now owned by Facebook, had profited $7.5 million in 2011 Series A funding. However it was struggling to host a second one – which led to the acquisition.
PayPal CTO James Barrese wrote: “We believe that with the addition of the talented team from StackMob, we’ll move even faster in creating, testing and deploying products that aim to transform payments for customers around the world.”
StackMob CEO Ty Amell, also confirmed the acquisition: “By joining PayPal, the StackMob team will maintain its focus on developers and extending innovative mobile technologies that aim to allow consumers to access the rich capabilities of the PayPal global network. We believe that our work at PayPal will make it easier for developers to create seamless payment solutions that span online, mobile, and in-store experiences.”
Paypal has been working on improving its mobile app service for the past few months. Early September of this year, it has added a new feature called “Shop” which allows users to pay in-store purchases using their Paypal credits through their Android or iOS devices. Users can also share their funds through direct credit.
Prior to buying StackMob, PayPal also announced its plans of buying Braintree for $800 million as part of its mobile service app enhancement. Braintree is among the fast growing payments companies in the industry. In the past couple of years, it was noted to process $3 billion per year. Some of its major clients include lodging reservation service Airbnb, Inc. and transportation company Uber Technologies LLC. The company aims to finalize the deal before the year ends.
