[grayarea2011]

"any small business owner will be able to accept credit cards, anywhere. "

Sure, after buying an iphone for around $200 + $100/month in data plan. Not cost effective for a "small" business owner.

"Or my friend can directly pay me back money he owes me with a card. That wasn't possible before. "

Yes, you could do that with paypal, without carrying a huge hardware in your pocket and paying less in transaction fee.

This is not to say they won't make money. They will, but many others will make even more money.

[ConstantineXVI]

That's presuming they don't already have a cell phone and intend to use mobile data. If they already have a phone (extremely likely), their cost would be more realistically $75 (mid-range Android phone) + 15-30$ a month depending on data plan. And if they have wired Internet and don't want to change up phones, they can simply use an iPod touch ($230 once) and use their existing connection (already paid for).

[grayarea2011]

I don't know who you mean by small business owner. I am sure high end small business owners(coffee shops, bars, night clubs) will eat it up and agree with it. I am talking about taco truck, etc. If there are many transactions/customers, which would be cost effective for the SBO, the data usage might go over the limit, and I am sure ATT/Verizon will have something up their sleeve to over charge(apart from the $30/month) which would make this less appealing, apart from the already high transaction cost.

[DannoHung]

This objection is idiotic. The number of transactions required to go over a 2GB limit would be in the millions. A 200mb limit would still be in the thousands if not tens of thousands.

[grayarea2011]

Yeah, well if square is "disruptive", millions is not far away.

[starwed]

On the off-chance you're not trolling, Square wouldn't be processing all the transactions with a single android phone. The other poster's idea was that individual small-business owner would each have a device.

[callmeed]

It works on an iPod touch or an iPad with wifi.