Facebook announced tuesday the launch of a new payment service that users will soon be able to use in a range of its apps, meaning it will compete with Venmo, a service owned by pay service PayPal. Facebook said in a blog post Tuesday that the new service, called Facebook Pay, will allow users to securely pay others. Facebook Pay accepts most major credit and debit cards and will also support PayPal.
Previously, Facebook had allowed users to send money through the Messenger app, but after Facebook Pay goes live, users will be able to send money through other apps owned by Facebook. The service will first be launched in the core Facebook and Messenger apps, and will then be added to Instagram and WhatsApp apps.
“People already use payment services in our apps to shop, donate to public goods, and send money to each other. Facebook said in a blog post. “Facebook Pay will make these transactions easier while continuing to ensure that your payment information is secure and protected.” ”
Facebook points out that Facebook Pay is separate from Calibra, its yet-to-be-launched digital wallet service, which is part of the company’s controversial Libra cryptocurrency project.
It also means that Facebook is taking a step toward integrating its various apps. Earlier this year, Facebook said it was working on a way for Users of WhatsApp, Instagram and Messenger to send messages to each other. Critics see the move as a self-preservation measure by Facebook to counter antitrust reviews and split proposals by government agencies.