What’s new at Square, the buzzy mobile payments startup cofounded by Twitter creator Jack Dorsey? (The company that sends out little plastic credit card readers that you can use on an iPhone, iPad, or other mobile device to accept credit card payments.)
Square CEO Dorsey tells us the company has ramped up production of its little credit card readers to 10,000 per day. It just redesigned the reader to be compatible with Apple’s iPhone 4 — the previous edition interfered with the iPhone 4’s external antenna — and will start shipping out the new ones soon.
Soon the push will be getting more small businesses and individuals to use Square to accept credit card payments. The idea is that this would be helpful for food truck operators, boutiques, people who want to take credit cards to sell stuff on sites like Craigslist, friends who owe each other money, etc. — basically anyone who wants to accept money via credit cards but doesn’t want to (or can’t) deal with a big payments processor.
Square has sent out tens of thousands of devices so far, but the company hit an early road bump when it realised that it wasn’t allowing people to handle enough transaction volume for the device to be helpful (the initial $700 per week in credit card transactions isn’t much). But Square is increasing those limits and working other back-end tweaks to make the system more useful.
It’s still too early to tell if Square is going to be a big hit, but it’s an interesting and very ambitious idea.
We recently stopped by Square’s San Francisco headquarters for a tour.