PayPal and Billing Revolution have formed a mobile commerce partnership to let merchants conduct mobile credit card transactions using their existing PayPal Payflow Pro gateway accounts.

PayPal has roughly 45,000 merchants that process transactions via their Payflow gateway, they can now sell digital and physical goods to any consumer on a mobile phone. Under the agreement, Billing Revolution will become a reseller of the PayPal Payflow Pro gateway service, while PayPal may promote the Billing Revolution service to their merchant base.

“The big opportunity is to enable all 45,000 PayPal Payflow Pro merchants to easily and immediately conduct credit-card transactions with users on mobile phones,” said Andy Kleitsch, CEO of Billing Revolution, Seattle, WA. “By adding mobile-purchase capabilities to their existing merchant/gateway accounts, merchants are able to reach a highly coveted mobile audience and generate incremental revenue.

“Billing Revolution’s technology enables PayPal merchants to conduct single-click transactions on mobile phones,” he said. “This is something PayPal has not been able to offer to date.

“The single-click technology is critical to support impulse transactions on mobile devices.”

PayPal’s tagline is “the faster, safer way to pay and get paid online.” The service lets members send money without sharing financial information, with the option to pay using their account balances, bank accounts, credit cards or personal financing.

PayPal enables global ecommerce with more than 75 million active accounts in 190 markets and 19 currencies worldwide. PayPal is an eBay company and is made up of three online payment services: the PayPal global payments platform, the Payflow Gateway and Bill Me Later.

EBay President/CEO John Donahoe said mobile is one of the key areas that the company is focusing on, since devices will surely impact the way that consumers shop (see story).

PayPal is seeing increased consumer acceptance of making mobile payments and says that the mobile commerce ecosystem is evolving quickly (see story).

PayPal’s Payflow Pro is a gateway that connects a company’s online store to an existing Internet merchant account. The payment service can be used along with a merchant account to manage credit-card transactions.

Billing Revolution provides technology to the credit-card-processing industry that enables secure transactions from any Web-enabled mobile phone.

Mobile users have the ability to conduct single-click credit-card transactions, manage subscriptions and perform cancellations from their handset.

The newest member of Billing Revolution’s Board of Advisors sees a massive interest in mobile commerce and believes that the U.S. market is catching up to Europe and Asia (see story)

PayPal and Billing Revolution will also partner to get the word out about the new mobile credit card payments platform.

“PayPal will designate Billing Revolution as a featured vendor on their Web site, and has invited Billing Revolution to speak at their upcoming developer conference Innovate 09,” Mr. Kleitsch said.