According to Italian newspaper La Repubblica, mobile payments startup GoPago has been acquired for an undisclosed sum by eCommerce Giant, Amazon Inc. GoPago is a startup that provides a mobile app, enabling consumers to pay for goods before picking them up at a store, and retailers POS system to process those orders.
Leo Rocco, the founder & CEO of GoPago got this idea in 2007 when he missed Barry Bond’s record-breaking home run while standing in line at a concession stand. The cloud-based m-commerce company ‘GoPago’ was established in 2009 that claims to transform the way merchants and consumers connect and transact.
GoPago launched their first mobile app in August 2011, as Pago, in Mountain View, CA. After this, Pago rebranded it as GoPago and went live in San Francisco in 2012. GoPago unveiled their ‘GoPago Live’ service in April, 2012. They have been financially backed by JP Morgan and were headquartered in San Francisco with offices in Dallas and New York. At the time of the acquisition they had around 70 employees.
Some features of the Acquisition:
- The terms of the deal were undisclosed.
- Vincenzo Di Nicola, Co-founder and CTO of GoPago will not be joining Amazon following the deal.
- It is not confirmed as to the status of the 70 GoPago employees. Whether GoPago sold only its tech to Amazon is not know either.
- According to Di Nicola, the company’s technology is going to be the ‘Heart of a new ambitious project’ by Amazon.
- Google also showed interest in the acquisition.
GoPago’s offerings include mPOS, mobile store, front app and a cloud based PoS software called GoPago Live. Their mPOS service includes offering merchants a credit card reader, smartphone and a protective rugged case. GoPago Live’s cloud based point of sale software for merchants was offered to them at a subscription fee of $99/month.
It has been hinted that Amazon could be working on a new offering that competes with Square. The company also launched the “Login and pay with Amazon” service recently which competes with companies such as PayPal by offering one click checkout experience. GoPago could be part of this grand scheme.
Amazon has made some other acquisitions this year including IVONA-Text to speech, Goodreads (USD 150 Mn), Screentech, Liquavista, Videolicious and Songza. The company also launched its own version of virtual currency called ‘Amazon Coin’ recently. Amazon Coins enable its existing and new Kindle Fire customers to buy applications online.