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PayPal Gets a Ride on Subway Mobile App

PayPal is putting its recent acquisition of Paydiant to use. Soon you’ll be able to pay for a “footlong” submarine sandwich at Subway using PayPal on your mobile phone or through the restaurant’s website.

Paydiant helped build the new Subway app, and this week it said it plans to add PayPal as an integrated payment option in more than 27,000 US store locations later this year.

“To pay in-store or as part of a mobile order, Subway guests will simply select the “PayPal” option, enabling guests to utilize any smartphone or operating system (Android or iOS) to conduct their transaction,” Paydiant cofounder Chris Gardner explained in his announcement.

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Gardner said Paydiant would also enable PayPal’s One Touch checkout experience in the app. “With One Touch, consumers that have opted-in can pay in a single touch without having to type in their PayPal usernames or passwords after initial log-in for 6 months.”

The Paydiant acquisition was PayPal’s first since Dan Schulman took over as President – he’s now CEO after the breakup with eBay. Fortune had estimated the sale price at around $300 million and is seen in part as a way to compete with Apple Pay and Samsung Pay.

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Ina Steiner

Ina Steiner is co-founder and Editor of EcommerceBytes and has been reporting on ecommerce since 1999. Send news tips to ina@ecommercebytes.com.


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