PayPal's Incentive Problem

I think the author made the core point in a footnote: "2. Thus the acquisition of Braintree"

PayPal (though newly independent) is such a behemoth that no amount of product rearchitecture or rebranding is going to "beat" Stripe. But, it may be able to happen with Braintree, and since PayPal = Braintree from a business perspective PayPal's fine with that.