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.<\/p>\n\n\n\n
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.<\/p>\n\n\n\n
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.<\/p>\n\n\n\n
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.<\/p>\n\n\n\n
Adobe is aiming for a simpler service for smaller retailers.<\/p>\n\n\n\n
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.<\/p>\n\n\n\n
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.<\/p>\n\n\n\n
The company plans to expand into Canada, Australia and Western Europe by next year.<\/p>\n\n\n