Japanese Alliance established for wallet phones.
TELECOMWORLDWIRE-26 October 2005-Japanese Alliance established for wallet phones(C)1994-2005 M2 COMMUNICATIONS LTD http://www.m2.com
An alliance has been formed between credit card companies in Japan to promote the QUICPay system which enables mobile phones to be used in place of most popular credit cards, using a smart chip from Sony Corp.
The organisation is lead by JCB Co and includes mobile operators such as Vodafone Group's Japanese unit and KDDI Corp and aims to develop an infrastructure to encourage usage for the QUICPay system. Mobile phones could be used to pay for items at stores carrying a QUICPay scanner, with the purchase amount being charged to the user's credit card bill. The credit card companies are expecting the system to increase credit card payments in Japan - under 10% of consumer purchases in Japan are made by card. The alliance hopes that 'wallet phones' will eventually replace cash, ID and credit cards, electronic travel tickets and mobile operators hope for increased revenues and reduced movement between service providers.
Japanese mobile operator NTT DoCoMo has sold over 5m wallet phones since introducing the first in 2004 and plans a similar service following its investment in Sumitomo Mitsui Financial Group Inc's credit card company. Neither company is listed as a member of the new organisation, although the alliance denied its system was a reaction to DoCoMo's partnership with Sumitomo.
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|Article Type:||Brief Article|
|Date:||Oct 26, 2005|
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