Tag: alibaba

While the biometrics trends have been focusing on fingerprints, the Chinese giant is looking at eyes.

Biometrics based mobile payment security is still in its early days. So far, certain companies, such as Apple, have introduced fingerprint scanning to verify a device user’s identity. However, Alibaba has something else in mind.

Alibaba’s payments and financial services affiliate, Ant Financial, recently announced new plans.

Ant Financial purchased EyeVerify for an undisclosed amount. EyeVerify is a startup based in Kansas City, Missouri. Reports have suggested that the acquisition may have been made for anywhere from $70 million to $100 million. This suggests that the e-commerce giant from China may be looking into a new kind of mobile payments security.

Not only will this purchase provide the company with one more step in expanding its reach into the western market, but it also reveals an interest in biometric security. That type of technology analyzes biological features that can be detected with scanners. In the case of EyeVerify, the software they produce can analyze and recognize the veins on the sclera (the visible part of the eyeball that is white inc color).

This mobile payment security uses a smartphone’s front-facing camera to capture the vein patterns of the eye.

Once the pattern has been captured, it is recorded so that it can be used for certain mobile security features. These can include logging into an account or even unlocking a phone, similar to the way fingerprint scanners are currently used.

According to EyeVerify, this type of biometric security provides the same level of verification protection as a password of 50 characters in length.

Ant Financial first introduced biometric mobile payment security software into its Alipay app in July 2015. This was released exclusively to a small group of beta testers. The beta testers have the ability to log into their accounts using traditional password and/or fingerprint readings. That said, they can also choose to have their eyes scanned in order to log in.

Companies from China stand to gain a great deal from biometric security investments. The reason is that the country is facing a massive battle against online fraud and every new layer of security protection can go a long way.

Huawei partners with China UnionPay to expand access to Huawei Pay

Huawei Technologies, one of China’s largest manufacturers of mobile devices, will be expanding its mobile payments service in the country. This will place Huawei in direct competition with Apple, which recently brought its own payment service to China, as well as several other companies that have already established a strong lead in this market. The launch a new era of its service, Huawei has partnered with China UnionPay. Together, these organizations will offer a service called Huawei Pay.

Consumers showed favor for Huawei Pay during its testing phase

The payment service is not actually brand new. The service was first launched in September of last year on a pilot basis. It was only available for use in a limited number of stores and restaurants in China, but proved somewhat popular among consumers. Now, Huawei wants to expand the accessibility of this mobile payments service to more consumers, allowing them to make payments with their smartphones. China UnionPay will provide support for the service, allowing those with accounts with the bank to use Huawei Pay as they see fit.

Competition in China’s mobile commerce space is growing at a rapid rate

China’s mobile commerce space is already intensely competitive. The space is occupied by Alibaba, which is one of China’s largest e-commerce groups. The company currently holds a 70% market share in China’s mobile payments market. Tencent, another major Internet company in the country, holds a 19% market share in this market. Other companies are coming to China to find success in the growing mobile commerce market, but they may find very limited success due to the strong competition that exists within this space.

Consumers want secure mobile commerce solutions

Consumers see mobile payments as a convenient service, but many are still worried about the security of their personal information, which is why they avoid new payment services. Huawei Pay aims to allay consumer concerns with new security features. All transactions made through the service must be verified with a fingerprint scan, which will help protect consumer information from exploitation.