As if Apple and Google weren’t already hotly competitive enough, the two technology giants now appear to be on a payments collision course. 

This week, it became known that Google’s Android mobile OS unit was developing a system for in-app payments (see here and here). This new payments system would facilitate the purchase of add-ons or enhancements to mobile apps for Android phones. With the new payments system, app builders could release “shareware” versions of an app with the intension of upselling the customer into a paid version. 

(Google is going to run the payments through wireless carriers, rather than, say, PayPal. The payments would appear on the purchaser’s bill, instead of within a separate payment system.)

Meanwhile, Apple seems to be marching toward providing NFC capabilities within future iterations of its iPhone and enhancing the payment features within iTunes. From AppleInsider:

[A] new rumor this week claimed that Apple is finalizing an e-wallet strategy for this year’s anticipated iPhone 5, as well as the second-generation iPad. Richard Doherty, director of the consulting firm Envisioneering Group, claimed that Apple plans to start its own mobile payment service for use at retail stores as early as mid-2011.

The rumored service could rely on a revamped iTunes that would directly handle transactions. It was said that Apple has already built a prototype payment terminal intended for small businesses, and the company may “heavily” subsidize or give away the hardware to retailers to encourage rapid adoption of NFC technology.

For Apple to transform customers’ iTunes accounts into a payment processing service would be a major overhaul, but two … job listings from Apple could hint at those plans. The company is looking to hire at least two people for the position of “Manager Global Payment Platforms.”

The job description says that the position will require someone to manage customer payment options and business partnerships to allow the purchase of Apple products in its online store, iTunes, and in retail stores. It also invites applicants who “want to be part of something big.”

Apple seeks a candidate who will “explore new global payment initiatives and expansion,” and “research and understand global payment rules and regulations.” The position will require the employee to assist in managing partnerships with banks and payment processor, and also work with outside business partners and vendors on operational issues.

So both Apple and Google are sharpening their elbows in the payments space. In Apple’s case, it’s a matter of upping the payments ante on its phone hardware and beefing up iTunes. And in Google’s case, it’s making Android apps more like, well, iPhone apps. Both developments however point to the changing sands in payments. Considering that Google and Apple utterly dominate mobile devices, these developments deserve particular attention.