First mobile commerce solution with secure payment via Visa cards in the European market

Visa Europe, Cornèr Bank and Telekurs Multipay joined forces to introduce the first 'Verified by Visa' security solution for mobile commerce in Europe. The new Europe-wide solution enables Visa cardholders from Cornèr Bank to pay their purchases at mobile shops with their card via their mobile phones. As a result, the entire buying process can now be conducted securely via the mobile phone. Participating in the Secure Mobile Commerce solution are also sunrise, CREALOGIX, Arcot as well as Datatrans, the co-initiator of the mobile payment project with Cornèr Bank.

Well there is a lot going on in this sector and Visa, Corner Bank and partners will not remain the only ones in this field. And let's not forget Paypal Mobile and Google Checkout.

See also:
Visa Mobile
Paypal (and Russell's post)
Google Checkout

PayWi
Pay Wireless. Only works in the US.

via Jeff Clavier

iD
iD explanation (jp)



NTT DoCoMo Credit Card-Enables Its Mobile Wallet

Japan’s premier mobile phone operator, NTT DoCoMo, is looking to credit card and payment services to gain competitive edge in a cut-throat market in which its rivals are following suit. Several DoCoMo handsets have carried contactless prepaid wallets since last year and now support credit card applications. Third parties can use this payments platform, but this strategy may not work in that last October Japan’s main credit card issuer JCB joined with two competing carriers, KDDI and Vodafone, in an alliance that includes several other credit card companies.

[...] To make credit card payments with their mobile phones, DoCoMo subscribers will simply wave their handset in front of a retail POS reader. Signatures are to be waived for purchases under a certain amount, while totals above a certain threshold will require a password to be keyed in at the POS.

See also:
NTT DoCoMo to Launch "iD" Credit Card Brand for Mobile Payments

This is for once a german post. In it, Key Pousttchi discusses why the demise of Simpay can enable more efficient and effective mobile payment solutions.

Das Scheitern von Simpay macht effiziente und effektive nationale Mobile-Payment-Lösungen erst möglich.

Dr. Key Pousttchi*: Das Scheitern von Simpay macht effiziente und vor allem effektive nationale Lösungen aus meiner Sicht erst möglich. Erstens: Der alte Satz heißt "payment is local business". Man muss die Bedürfnisse der nationalen Märkte berücksichtigen. Das schließt Interoperabilität zwischen den nationalen Lösungen nicht aus, aber dies ist ein zweiter Schritt. Zweitens: In Deutschland beispielsweise können sich knapp die Hälfte der Bevölkerung vorstellen, mit dem Handy zu bezahlen - eine immense Zahl. Jetzt muss man endlich anfangen, Lösungen zu bauen, mit denen die Kunden auch etwas anfangen können.

* Dr.Key Pousttchi leitet seit 2001 die Arbeitsgruppe Mobile Commerce am Lehrstuhl für Wirtschaftsinformatik und Systems Engineering der Universität Augsburg .Daneben ist er u.a.Lehrbeauftragter der Universität Zürich, der Deutschen Informatik-Akademie, in Executive MBA-Programmen sowie Leiter des National Roundtable M-Payment der deutschen Mobilfunkanbieter
und Banken im Auftrag des Bundeswirtschaftsministeriums.

Siehe auch:
Characteristics of Mobile Payment Procedures (PDF)
Assessment of Today’s Mobile Banking Applications from the View of Customer Requirements
Arbeitsgruppe Mobile Commerce, Universität Augsburg
Arbeitskreis Mobile Business
Mobile Commerce (bei Amazon)

See also:
Mobile solution to enhance security in online financial transactions

Virtual Wallets

Via BBC world TV interview about wallet phones

The Selecta Vending Machine says "Here you can pay with your mobile phone"

Mobile commerce over cell phones jumped 25 percent last fiscal year to around 971 billion yen ($8.8 billion) according to a survey on e-business just released by Japan's Ministry of Economy, Trade and Industry [.pdf in Japanese]. Covering all of fiscal 2004 (which in Japan ended March '05), the survey showed wireless purchases of books and music had grown by 85 percent from virtually nothing the previous year to 330 million yen ($3 million). Shopping for clothing and accessories over the smallest screen accelerated 79 percent, taking in 150 hundred million yen ($1.3 million).

Via Wireless Watch Japan

How to use Edy with your Mobile (jp). See an english description at NTTDocomo (scroll down).

See also:
Edy Flash Movie
Keitai Watch Diagram of Mobile Edy

Already old news, but I wonder how the pilot is going ahead. Reading about the process of paying, I am not sure if it is as simple as Gravitec thinks. But maybe I am wrong here. Does anybody know some details?

The process of paying is quite simple: at the cash desk the client holds his mobile phone over the Gavitec code scanner. This device reads the personified code of the user’s mobile phone number and communicates the data and the amount to be paid to the client’s bank. Within a few seconds an SMS is sent back to the mobile phone with the payment code and the amount of money to be paid. To confirm the data received, the client again holds his mobile phone over the Gavitec scanner and enters his PIN-code – and thus the payment process is completed. The only prerequisite for making use of the possibility to pay by mobile phone is registration with PostFinance.

NZZ reports today, that the Simpay venture is over for about a week now (and Simpay confirms it). It looks as T-Mobile plays an important part in it (see my last post).

Although not a proponent of "walled gardens", I think it would be beneficial to have "one" mobile payment service that works everywhere on this planet.

Excerpts from NZZ article Rückschlag für das «Handy-Portemonnaie»

Bereits in den Startlöchern ist diesbezüglich Postfinance der Schweizer Post, die bis Ende Jahr in verschiedenen Läden in Bern die Tauglichkeit des Handys als Zahlungsmittel testet.

[...] Mit der Kursänderung Richtung Standard- Internet kann T-Mobile gut auf Simpay verzichten, da sich hier bereits Zahlungsverfahren wie Firstgate oder Click2pay etabliert haben. Es wird interessant sein, wie die Konkurrenz auf T-Mobiles Strategie reagiert sowie auf deren am Mittwoch lancierte Initiative namens «web 'n' walk». Mit massiven Preissenkungen für die Datenkommunikation und für das Surfen optimierten Handys will T-Mobile das «offene Internet» forcieren.

Tags simpay, mobile payment, NZZ