Tag: mobile payments

People’s Bank of China may revise caps placed on mobile payments

| March 27, 2014

Regulations spark backlash from businesses and consumers interested in mobile commerce

The People’s Bank of China has announced that it is considering revising the caps it has placed on mobile payments. This comes as response to backlash from consumers and Internet firms alike, claiming that the caps placed on mobile payments were unnecessary and inappropriate. The caps were introduced as part of new regulations proposed by the People’s Bank of China. These regulations were meant to provide consumers and businesses with more security in the mobile commerce field while also introducing new standards to the mobile sector.

Regulations had placed caps on the amount of money consumers could spend through their mobile devices

The proposed regulations would have placed a cap on payments made from a mobile device to $1,630 per year, with an $800 cap on any single purchase made through a mobile device. These caps are considered to limit the mobile commerce sector significantly, making it difficult for retailers to engage consumers that are becoming more reliant on their mobile devices. Large companies with a vested interest in the mobile commerce field, such as Alibaba, have taken issue with the caps placed on mobile payments by the People’s Bank of China.

China is a prominent market for mobile commerce

China Mobile Payments and Chinese BankChina has become one of the most active mobile commerce markets in the world. The country is home to both Alibaba and Tencent, which have a powerful presence in the digital space. Both companies have been focusing more heavily on mobile commerce in recent months in order to accommodate the growing demand for mobile services coming from consumers. These consumers have become quite active in mobile commerce as well and have criticized the caps being placed on their ability to pay for products from mobile devices.

People’s Bank of China may remove the caps being placed on mobile purchases through new regulations

The People’s Bank of China is currently looking into revisions to its proposed regulations. These revisions would include either removing or reducing the cap being placed on mobile payments. Doing so would allow consumers and businesses to continue focusing on the mobile commerce space more aggressively in the future.

Mobile commerce security may be a losing battle

| March 26, 2014

Security is beginning to attract more attention, but threats inspire little action

As mobile commerce becomes more prolific, security is becoming a much more serious issue. Hackers have begun to focus on the mobile field more diligently because of the lack of security solutions that exist therein. Malicious groups have turned much of their attention to the commerce space because of the trafficking of financial information. Due to lackluster security, many consumers are finding themselves exposed to the risk of having their financial information exploited by malicious parties.

Malicious devices are becoming more common

The number of malicious devices in the physical world is growing at a rapid pace. These devices include those that are designed to mimic or exploit cash registers, credit card readers, and other such hardware. Even gas pumps are being equipped with devices that are meant to steal information from credit cards. These devices are also becoming more mobile-centric as a growing number of people begin to pay for products and services with their smartphones rather than with their credit cards. While physical devices are quickly becoming a problematic issue, malware is being considered much more dangerous.

Malware is growing at a rapid pace

Mobile Commerce SecurityAccording to security firm MacAfee, malware targeting mobile devices is becoming more common at an alarming rate. The firm notes that the presence of malware targeting the Android platform specifically has tripled between 2012 and 2013, with an estimated 3.7 million malware applications having been identified at this time. Notably, much of this malware goes undeterred as it attacks consumers and retailers alike. This is largely due to the lack of focus that both people and businesses have when it comes to matters of mobile security.

Hackers are winning the fight on the security front

Hackers may be winning the security battle. Because retailers, and other types of businesses, are still somewhat new to the mobile field, they are not necessarily attuned to the security issues that exist within the mobile commerce space. As these businesses continue to embrace new security solutions, they are finding that hackers have already developed malware that can bypass these solutions.