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Sparing mobile-device users from having to log in for each purchase gives Amazon’s mobile service “some compelling features,” says consultant Todd Ablowitz, president of Centennial, Colo.-based Double Diamond Group LLC and a former executive with ViVOtech Inc. and First Data Corp. “This is another sign that mobile payments’ time has come.”

Merchants’ adoption of Amazon’s mobile platform, however, still could be hindered by their conclusions about whether Amazon is a friend or foe in Internet retailing, according to Ablowitz. Amazon has morphed from a bookseller in the Web’s early commercial days into a $20 billion online bazaar. “I wonder how retailers will feel about sharing this stage with Amazon,” he says. Target Corp., which has used Amazon since 2001 to sell online, said in August that it would leave Amazon and migrate to its own e-commerce platform by late 2011.

Digital Transactions News, October 5, 2009