Handset Proximity Payments still have Hurdles to Overcome Before they can become a Mass Market Reality.

DUBLIN, Ireland -- Research and Markets (http://www.researchandmarkets.com/reports/c34343) has announced the addition of Handset Proximity Payments to their offering.

Handset Proximity Payments - The technologies, strategies and opportunities for leveraging the mobile phone as a proximity payment device

With proximity technology embedded, swiping a mobile phone across a reader turns it into a transactional tool: whether the transaction is a purchase of a newspaper or a cappuccino, or the debit of a single-journey on the metro. In this report, we examine the market emerging around handset proximity payments and the impact it will have on industry players.

There are still technical and industry hurdles which must be overcome before handset proximity payments become a mass market reality. While network operators stand the most to gain, they risk ceding control to the handset vendors, or even the financial companies, if they do not engage the industry more proactively. By positioning themselves as the gatekeeper of the proximity applications resident on a handset, subscribers moving to a competing operator would be forced to obtain a new set of payment applications - switching operators would be like losing a wallet, and this would have a significant impact on churn.

This report provides an extensive analysis of handset proximity payments: the technologies, players, the market movements and the trends which are emerging.

Topics of coverage include:

--Discussion of credit, debit and stored-value payment systems

--Security techniques used in card systems

--Consumer attitudes to proximity payments

--The handset proximity payment ecosystem - technology companies and standards bodies 

--The architecture of a proximity payment system

--Issues with proximity security

--Review of technologies capable of delivering proximity functionality on a handset

--The structure of an NFC payment system

--Case studies of commercial and trial mobile phone proximity payment systems

--Innovative applications made possible with handset payments

--Effective deployment strategies

--Threats facing the deployment of handset proximity payment systems

--Forecast timelines for the deployment NFC and handset payment systems going forward

Answers and opinions are provided with respect to the following essential questions:

--Who are the technology and financial companies driving this market forward?

--What strategies are the financial companies adopting to drive handset payments?

--What is FeliCa, and how is it related to the EDY payment system?

--Why is NTT DoCoMo aggressively pushing forward FeliCa, and why have competing operators (KDDI and Vodafone) also decided to use FeliCa?

--What are the issues which must be resolved before NFC is ready to support proximity payment functionality on handsets?

--Are there roles for the SIM and/or removable media?

--Is there a revenue position for handset vendors, and what strategies should they adopt?

--What are the direct and indirect revenue opportunities for operators?

--What should operators be doing in order to control this market?

--Can operators' prepaid system be leveraged for proximity payments?

Topics Covered

CHAPTER A: INTRODUCTION

--A.1 | The rise of the currency

--A.2 | Payment mechanisms

--A.3 | The rise of plastic

--A.4 | The basic payment architecture

--A.5 | The handset as a proximity payment platform

--A.6 | Report outline

CHAPTER B: PROXIMITY PAYMENT SYSTEMS AND TECHNOLOGIES

--B.1 | Architecture of proximity payment systems

--B.2 | The proximity advantage

--B.3 | New charging models

--B.4 | Security considerations

--B.5 | Proximity technology: General architecture

--B.6 | Proximity technology: Wireless/radio component

--B.7 | Proximity technology: Interface and application environment

--B.8 | Currently deployed proximity payment systems

--B.9 | Standards bodies

CHAPTER C: MOBILE PHONE PROXIMITY PAYMENT

--C.1 | The handset as a carrier

--C.2 | The advantages of active integration

--C.3 | Active integration challenges

--C.4 | Case Study: EDY payment system

--C.5 | Case Study: Caen NFC Trial

CHAPTER D: THREATS AND DEPLOYMENT STRATEGIES

--D.1 | Threats to proximity payments

--D.2 | Successful deployment strategies

--D.3 | Effective handset integration

--D.4 | Managing the customer experience

--D.5 | Appropriate technology selection

CHAPTER E: HANDSET PROXIMITY PAYMENT OPPORTUNITIES

--E.1 | Network operators

--E.2 | Operator business case: The revenue proposition of a handset proximity payment

--E.3 | Handset vendors

--E.4 | Financial service companies

--E.5 | Technology providers

--E.6 | Technologies and companies

CHAPTER F: RECOMMENDATIONS AND CONCLUSIONS

--F.1 | Recommendations

--F.2 | Timescales and likely roll-out scenarios

--F.3 | Simplicity through complexity

--F.4 | The future is wireless

Companies Mentioned

- Nokia - DoCoM - Sony - Visa - MasterCard - Dexit - Motorola - Samsung

For more information visit http://www.researchandmarkets.com/reports/c34343