Google Cloud and PayPal have announced they are expanding their relationship to further accelerate PayPal's digital transformation and evolving customer needs. Under this partnership, Google Cloud will provide both infrastructure and analytics capabilities to support PayPal's growth, in an effort to help the company process transactional data on a massive scale.
PayPal has seen big growth since it became an independent company in 2015. Now it endeavors to scale its infrastructure globally, while also creating new products and services for customers. PayPal is moving more of its core infrastructure to Google Cloud as a major step forward in its hybrid cloud strategy. One key reason for this shift? The surge in digital commerce and user traffic triggered by the global pandemic, which led to a 24% spike in PayPal's total active customer accounts. As of the end of Q1 2021, PayPal is now totalling 392 million active users.
With Google Cloud's infrastructure solutions, PayPal added capacity to their infrastructure. With the majority of its online transactional data residing in its SAP S/4HANA database, PayPal was able to leverage SAP's Financial Products Subledger, delivered at massive scale on Google Cloud, to quickly process transactions at high volume, while analyzing purchasing trends at volume with low latency.
"We can only develop fast, build fast, and deploy fast if we have infrastructure that's as nimble as we are. By leveraging the power of the cloud, our teams can focus on providing the best products, capabilities and services to our customers," said Wes Hummel, vice president, Site Reliability and Cloud Engineering, PayPal in a press statement. "As a part of our strategic partnership, we're working side-by-side with Google Cloud to scale and secure our infrastructure for the future."
After introducing PayPal as a payment method for Google Ads and Google Workspace, Google is in a position to better serve PayPal's ecosystem of consumers and merchants. This payment option, which is currently available in the United States and select European countries, builds on the existing payment integration with Google Play and Buy on Google, where consumers and businesses can use PayPal at checkout.
"E-commerce has spiked during the pandemic, with people using less cash. As a result, payments providers have been in high demand, " said Derek White, vice president of Global Financial Services, Google Cloud in a press statement. "We're working with PayPal to leverage the power of the cloud to make shopping and e-commerce easier, faster, and more secure. And that's a win for businesses and consumers."