September 15 (Hfrance.fr ) - Adobe Inc (ADBE.O) announced on Wednesday that it will add payment services to its e-commerce platform this yearto help merchants accept credit cards and other payment methods, deepening rivalry with e-commerce firm Shopify Inc (SHOP.TO) .
Adobe started providing software to help retailers run their online stores in 2018 when it bought Magento Commerce from private equity firm Permira for $ 1.68 billion.
Adobe will roll out the new payments system by the end of this year in the US and operate PayPal Holdings (PYPL.O) to process a variety of payment types, including credit and debit cards debit as well as PayPal's own payment and subsequent payment offers.
Juicethat now Adobe's e-commerce customers had to build their own payment systems. It works for large companies that can negotiate with payment processors, but Adobe wanted a simpler service for smaller merchants, Peter Sheldon, senior director of business strategy at Adobe, told Hfrance.fr.
"What they are really looking for is simplicity of operations and having all of their reports and reconciliations in one set of tools "said Sheldon.
Payments are a big part of e-commerce. In 2020, more than two-thirds of Shopify's $ 2.93 billion in revenue came from its merchant services segment which includes payments.
For Adobe , the move payments follows a partnership with FedEx Corp (FDX.N) earlier this year which helps Adobe merchants manage shipping and logistics services.
Adobe's move Wednesday "is similar to Shopify in some ways, but it also tries to monetize different parts of what a seller needs to do to sell online, " Jordan Jewell, research director for digital commerce at IDC, said. "Payments matter. There is a lot of money flowing through the hands in the world of payments.
Adobe l ' said plans to expand to territories such as Canada, Australia and Western Europe in 2022. Sheldon told Hfrance.fr that the processing agreement with PayPal is not exclusive and Adobe will expand more internationally after 2022, it could work with other processors. Reporting by Stephen Nellis in San Francisco; Edited by Leslie Adler
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