Earlier this week Visa Inc. and Mastercard Inc., the world’s largest card networks, told an industry conference they will combine their Visa Checkout and Masterpass payment options into a single button. Spokesmen for American Express Co. and Discover Financial Services said their firms also will join the project.
The aim, according to the card networks, is to make online shopping simple, letting people finish with a few clicks — an experience pioneered by PayPal Holdings Inc. Yet some analysts say the coordinated effort may ratchet up competition between cards and PayPal, something long seen as a potential risk to that company’s meteoric growth.
The button is still being developed. Mastercard and Visa won’t start moving consumers enrolled in Visa Checkout and Masterpass to the new program until later this year.