MasterCard Worldwide announced a collaboration with Gemalto, a world leader in digital security, to pilot a Near Field Communications (NFC) device equipped with the Gemalto Upteq N-Flex Solution that supports MasterCard PayPass . mastercard nfc
The Upteq N-Flex solution is an industry first as it is able to function on multiple mobile handsets, helping provide a path to ubiquity of handsets supporting NFC. The solution is also the first of its kind conforming to the Single Wire Protocol (SWP) as endorsed by the GSM Association (GSMA).
The Upteq N-Flex wafer-thin device can be inserted into an array of existing handsets to transform them into a payment device.
According to a study on mobile payment markets conducted by Juniper Research, gross transaction value of mobile payments is expected to reach USD300 billion globally by 2013 , indicating the significant revenue potential the segment represents for banks as well as services providers. In order to spur market growth, MasterCard has been working with the industry to establish infrastructure, business models and standards for mobile payments.
The initial trial of this mobile payments solution kicks off in Singapore, as MasterCard collaborates with DBS Bank, one of the largest financial institutions in Asia, EZ-Link Pte Ltd, the leader in cashless payments in the public transportation business in Singapore, and StarHub, Singapore’s fully-integrated info-communications provider. DBS and EZ-Link FEVO MasterCard cardholders can look forward to using their existing StarHub mobile phones to make everyday payments.
“Consumers in Asia are quick to embrace new banking technology in order to keep pace with their lifestyles. DBS is proud to be not only the first bank in Asia but in the world to offer its MasterCard cardholders a new payment option that will certainly enhance our range of innovative offerings to our customers. The NFC-enabled mobile will give our customers greater choices to shop and pay in a more convenient manner,” said Mr. Rajan Raju, Group Executive and Head of the Consumer Banking Group at DBS.
“We are always looking for new ways to make payments more convenient for our customers, and our partnership with MasterCard in this very innovative initiative will offer our FEVO MasterCard cardholders the option of paying with either their mobile phone or card. We are also exploring the possibility of using the Upteq N-Flex solution for our contactless e-Purse application (CEPAS) to enable mobile NFC payments for small ticket retail and mass transit including buses and trains,” added Mr. Nicholas Lee, Executive Director of EZ-Link Pte Ltd
“As one of the info-communications pioneers in the NFC field in Singapore, we recognize the increasing popularity of the convergence between mobile services and wireless payment technologies. We are pleased to partner with industry leaders such as MasterCard, DBS and EZ-Link in an initiative that will allow our customers to experience innovative mobile payment solutions that will add much value and convenience to their mobile lifestyle,” said Mr Chan Kin Hung, Head of Products and Solutions, StarHub.
“This innovation is aimed at accelerating mobile NFC payments in the region. MasterCard PayPass offers consumers the convenience of being able to pay with their mobile phones, quickly and conveniently, without fumbling for change. MasterCard’s collaboration with Gemalto marks an important milestone for the contactless payments industry, with mobile services expanding beyond simple payments and fueling economic connections for consumers in the global marketplace,” said Ajay Bhalla, executive vice president, South East and South Asia, MasterCard Worldwide.
MasterCard PayPass is a “contactless” payment program that provides consumers with a fast and convenient way to pay. PayPass users simply need to tap their PayPass enabled phone, card, or device on the PayPass reader and the transaction is complete. MasterCard has been consistently committed to working closely with the industry to spur the growth of NFC mobile payments by developing open, global standards and driving product innovation, which provides accessible, secure and convenient payment services to consumers.