Google to fight trade secret accusations

Search engine giant, Google will defend itself against PayPal allegations which state that the search engine giant and two of its executives stole trade secrets to develop its mobile payment system, reports Xinhuanet.

PayPal's lawsuit came last week, hours after Google revealed its mobile payment system 'Google Wallet' and laid out plans to bring together all parts of retail experience on smartphones.

According to Cnet, the lawsuit alleges that Osama Bedier, a former senior PayPal executive working on the company's mobile payments platform, misappropriated PayPal's trade secrets when he went to work for Google earlier this year.

PayPal also notes that from 2008 to 2011, Bedier was helping PayPal negotiate a commercial deal where PayPal would serve as a payment option for mobile app purchases on Google's Android Market.

“At the very point when the companies were negotiating and finalising the Android-PayPal deal, Bedier was interviewing for a job at Google without informing PayPal of this conflicting position,” claims the lawsuit.

RFID Journal says Google Wallet will enable mobile phones equipped with near-field communications (NFC) technology, pay for goods at point-of-sale terminals.

Google's system will initially be available on Samsung's Nexus S smartphone, which comes with a built-in NFC reader.