Adobe said Wednesday that it will soon add payment services to its e-commerce platform to help merchants accept credit cards and other forms of payment, deepening its rivalry with e-commerce company Shopify.
Adobe began providing software to help retailers run their online stores in 2018 after private equity firm Permira acquired Magento Commerce for $1.68 billion.
Adobe will roll out the new payment system in the U.S. by the end of 2021 and is working with PayPal Holdings to process a variety of payment methods such as credit and debit cards, as well as PayPal’s own payment and pay-later offerings.
Until now, Adobe’s e-commerce customers have had to set up their own payment systems, which works for larger companies that are able to negotiate with payment processors.
Adobe is aiming for a simpler service for smaller retailers.
Payments are a large part of the e-commerce business. By 2020, more than two-thirds of Shopify’s $2.93 billion in revenue was derived from its merchant services segment, which includes payments.
This new move by Adobe follows a partnership with FedEx Corp earlier this year that aids Adobe merchants in managing their shipping and logistics services.
The company plans to expand into Canada, Australia and Western Europe by next year.
For more information, read the original story in Reuters.
