Tag: nfc technology

Deutsche Telekom finds new partners to expand mobile payments throughout Europe

Deutsche Telekom, one of the largest telecommunications companies in Europe, has found two new vendors to support its deployment of NFC-based mobile commerce systems. These vendors are B+S Card Services and Intercard. Together, the vendors form a network through which NFC-based mobile payments can be made more available to consumers. In Europe, the demand for comprehensive mobile commerce services is increasing rapidly, pressuring Deutsche Telekom to reach out for partners in its continued efforts to make mobile payments more common.

NFC-based mobile payments to be major focus

The telecommunications company has been an advocate of mobile payments for some time, favoring solutions that make use of NFC technology. This technology is responsible for facilitating mobile payments as it allows for digital information to be transmitted over short distanced. Indeed, NFC is one of the pillars of the mobile commerce world, helping it take form and expanding its acceptance throughout the world. Deutsche Telekom has been developing several NFC-based mobile commerce platforms in order to meet the growing needs of consumers.

Infrastructure to be expanded in Germany

The vendors will help bolster the infrastructure required to process mobile payments at point-of-sale terminals and vending machines. These efforts will be primarily focused on the German market initially. Expansion of this infrastructure is likely to happen within the next few years, as mobile commerce becomes more common in several industries. These efforts are just a portion of the overall plan of Deutsche Telekom, which has been branching into several fields of mobile commerce to find ways to promote mobile payments among consumers.

NFC may be becoming less popular in mobile commerce

NFC technology has been the subject of criticism for some time, mostly due to its lackluster security features. Some companies claim that NFC is just not capable of providing the security necessary to make mobile commerce common among consumers. Along with the current lack of NFC-enabled mobile devices, the technology is quickly becoming a less prominent focus on the mobile commerce field.

The debit and mobile payments pilot program has now begun at a Canadian location.

McDonald’s is making mobile commerce news headlines with its brand new NFC technology based transaction system, which is being introduced on a trial basis at a Canadian restaurant location.

This would allow customers of the fast food giant to be able to pay for their meals using smartphones.

The NFC technology system is being provided by Interact Flash, a contactless solution from the Interac Association. It allows people to use their enabled debit cards and smartphones to tap-to-pay for their purchases. This functionality is currently limited only to certain specific cards and devices.

Also part of this NFC technology payments partnership is RBC Royal Bank, through their mobile app.

RBC has integrated the NFC technology into their application which can be downloaded and used through BlackBerry smartphones that are enabled with a near field communication chip. Together, RBC and Interac have made it possible for McDonald’s to offer these mobile payments to its customers.

According to Interac, this is the first time in Canada – as well as the only one currently operating – that contactless debit and mobile payments are accepted through NFC technology. The president and CEO of Acxsys Corporation and the Interac Association, Mark O’Connell, said that “This achievement in mobile debit innovation helps solidify our role in the mobile payments space in Canada.”

He also added that it will soon be possible for people in Canada to be able to use their smartphones to “pay with Interac Flash quickly, conveniently and securely” when they are making their typical purchases in stores and restaurants. He explained that this will bring additional value for consumers, but also for partner financial institutions and for the merchants, themselves.

The Interac Association debit card and payments services currently offers funds access to people in Canada at approximately 60,000 different cash points, as well as 766,000 point of sale terminals country wide. They have already led the way in the country for online debit payments and intend to use NFC technology to help to ensure a position as a leader in mobile payments, as well.