Mobile subscribers that use Android based smartphones currently use Google's Checkout service to make payments. They may have another option later this year. Bloomberg reports that PayPal is currently in talks with Google to add its payment service to Android.

EBay Inc.’s PayPal business is in talks to add its payment service to Google Inc.’s Android smartphone software, making it easier for users to pay for applications, three people familiar with the matter said.

Users of Android phones, such as Motorola Inc.’s Droid X and HTC Corp.’s Droid Incredible, may be able to pay for apps with PayPal as soon as this year, said the people, who declined to be named because the discussions aren’t public. Customers currently pay via credit card and Google’s Checkout service.