MPoria, a Seattle provider of mobile commerce products and services, told United Press International the partnership, expected to be announced Tuesday, marks the first time consumers can complete retail purchases by cell phone using PayPal. They were previously limited to credit cards.

"Mobile commerce used to be about downloading ring tones, cell phone wallpaper, music -- but not physical merchandise," Chief Executive Officer Dan Wright told UPI.

Initially with seven retailers -- including Buy.com, Moosejaw Mountaineering, BikeSomeWhere.com and Music Books Plus -- the number of m-commerce retailers using PayPal is expected to jump to "50 or more" by year's end, Wright said.

Retailers get consumer visibility on PayPal's Web site, mPoria's mobile shopping portal and the Verizon Wireless, AT&T and Sprint Nextel (NYSE:S) mobile Web networks, the companies said.

This added exposure will make privately held mPoria and eBay Inc.'s PayPal "more valuable to mobile shoppers," PayPal Senior Director and General Manager Kevin Dulsky said.

PayPal, of San Jose, Calif., has let customers exchange money by cell phone since April 2006.