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PayPal Sues Google, Says It Stole Trade Secrets

Goes after 'Google Wallet' mobile system

By Kevin Spak,  Newser Staff

Posted May 27, 2011 7:50 AM CDT

(Newser) – EBay and its PayPal subsidiary have filed a lawsuit accusing Google of stealing its trade secrets in the creation of its Google Wallet product. The suit names two executives—Osama Bedier and Stephanie Tilenius—who jumped ship to Google after long stints working at PayPal and eBay respectively, Reuters reports. It accuses Bedier of “misappropriating trade secrets,” and says that before leaving the company, he transferred documents related to PayPal’s mobile payment strategy to his personal computer.

But perhaps Bedier’s most valuable trade secret, the lawsuit says, was how PayPal views Google’s weaknesses. “Google bought the most comprehensive and sophisticated critique of its own problems available,” it says. The suit also accuses Tilenius of breaking her contract with eBay by recruiting Bedier, and says Bedier himself has tried to recruit former coworkers. According to the suit, Google and PayPal worked together for three years on a system that would let customers pay for things with their Android phones, until Google ditched PayPal and partnered with MasterCard, Citigroup, and Sprint instead.

In this photo illustration, Google's logo is seen projected onto the palm of a hand.
In this photo illustration, Google's logo is seen projected onto the palm of a hand.   (Getty Images)
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COMMENTS
Showing 3 of 4 comments
hjkp51
May 28, 2011 8:48 AM CDT
welcome to our website: http://shopping01.org/  shirts,bags,hat and the decorations. if you like to order anything you like. More details, please just browse our website Quality is our Dignity; Service is our Lift. enjoy yourself. thank you!!
dilts2
May 27, 2011 1:54 PM CDT
Just like when Google Bought Youtube... Go For it Google, make a pay-threw-phone method.. and have Advertisements Every time you click anything...
vendetta
May 27, 2011 8:04 AM CDT
DIAF Paypal, you have zero credibility after jumping ship on Wiki.
 

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