Vodafone and VISA in NFC payments tie up

The following has been taken from sharecast.

This is good news indeed, there has been many years of delays in getting NFC payments out into the world.

The problems are legion as the device manufacturers have no need to put NFC in their devices as it just increases the BOM costs.

The operators have not been able to insert themselves into the payment process, so have not been pushing this space.

However if they can work it out, then this will provide a useful way of paying for small amounts.

Ideally they are able to provide a service that allows for person to person (device to device) transfer, as well as person to Point of Sale.

then the small traders (markets, window cleaners etc etc) would be able to use this in replacement of cheques and cash.

Steve

LONDON (ShareCast) – Telecoms titan Vodafone (LSE: VOD.L– news) has announced a ‘worldwide partnership’ with global payments giant Visa to allow customers to pay for goods and services using their mobile phones. The Vodafone-branded proposition will be offered to consumers across its 398m customer base in more than 30 countries, “enabled by Visa’s outstanding payment network, product suite and brand,” the statement said. Users will be able to use a Visa pre-paid account to make purchases at the-point-of-sale using Near Field Communications-enabled smartphones equipped with Visa payWave for mobile. “By simply waving their smartphone in front of a payment terminal, consumers will be able to make simple, every day purchases such as bus and train tickets, newspapers, magazines or a morning coffee. Consumers will also be able to make high value purchases securely using a passcode,” Vodafone said. “Our partnership with Vodafone represents a huge stride forward for mobile payments,” said Visa Europe’s Chief Executive Officer Peter Ayliffe. “Visa’s future of payments initiative is more than just a promise: these services are real, tangible and coming to the mainstream consumer market in the very near future,” he said. The service will be initially launched in German, the Netherland, Spain, Turkey and the UK in the coming financial year.