Make sure you are not misleading people. Google Checkout actually supports more countries than Paypal does. So buyers accross those countries can pay by GC. It is only available for Merchants in the US and UK but that is a different matter.
Thanks guys for your feedback. Some really interesting opinions for me to investigate. I think that I'll try both options, but in reality I expect the vast majority of sales via PayPal. Jon
I'll probably go with Paypal, easy to use interface and good support system. But then again, I have used gogole checkout yet, so can't comment against it.
The problem with *either* option is that you are so vulnerable to chargebacks, especially if you are selling digital goods. The fees for an escrow service are significantly higher, but for the sort of prices you are talking about ($2,500 per sale), I would have thought it was worth it.