JCB is set to launch its wireless corporate solution in the fall of this year. Built around Sony’s “FeliCa” contactless IC chip technology, “Mobile Offica” includes a suite of functions including employee identification, office and network access, and cashless payment. “Mobile Offica” marks the first time that mobile phones incorporating a contactless chip enabling credit card payment will be available in Japan. Advanced postpay functionality is provided by linking to the employee’s own credit card account. “Mobile Offica” also enables users with i-mode capable phones to monitor outstanding credit card balances and view detailed transaction histories, and users may be able to request increases in their credit limits on-line. NTT DoCoMo will be releasing i-mode “FeliCa” Service for mobile wallet applications, including train pass and e-money, on four i-mode smart-card handset models, in early July.
Royal Bank of Scotland has launched a new promotion for its top-up service, offering top-up customers who use any of the Bank’s 1,359 cash machines over the next month a chance to win one of six prizes worth GBP150 of mobile phone air time. RBS customers who use the service between May 17th and June 11th will automatically be entered. The top-up service, which has been available since April, is free of charge. The service enables customers with a pre-pay mobile phone on Orange, Vodafone, O2, T-Mobile and Virgin Mobile networks, to “top-up” direct from their bank account. Amounts between GBP10 and GBP50 can be credited to a mobile phone at one time at any RBS cash machine.
There are 34 million UK mobile phone top-up users.
USA Technologies, Inc. has received Notice of Allowance for 18 new patents from the U.S. Patent and Trademark Office. This further solidifies the Company’s leadership position in cashless transactions, interactive media and e-commerce capability for vending, kiosk, point-of-sale and several new markets the Company has begun to target.
The ‘Mobile Payment Forum’ was launched Tuesday to expand the global market for mobile commerce. Created jointly by American Express Company, MasterCard, VISA, and JCB, the non-profit group will develop a framework for standardized, secure mobile payments and address current m-commerce issues. Focusing on payment card transactions, which are used in almost 93% of all e-commerce payments, the Forum will address key areas such as interoperability, passwords, cardholder authentication and encryption methods. The consortium will enable disparate systems and technologies to work together, reducing industry fragmentation and establishing a more stable environment for vendors to develop products. The group said yesterday it also will complement the work of other industry consortia, such as MeT, the Mobey Forum, and the WAP Forum’s E-commerce Expert Group.
VISA International this morning announced a new global specification for Internet payments made over mobile phones. The ‘Mobile 3-D Secure’ specification is based on existing payment technologies and is part of ‘VISA Authenticated Payment’, an e-commerce program designed to ensure secure online payment transactions through cardholder passwords. The ‘Mobile 3-D Secure’ specification supports global interoperability, enabling consumers to have a consistent and seamless experience regardless of the method or device being used to access the Internet. It minimizes the impact on merchants and requires no changes to backend payment systems. In Asia, VISA has partnered with Hutchison Telecommunications and Dao Heng Bank to develop a mobile payment service using ‘Mobile 3-D Secure’. In Europe, VISA has signed a strategic alliance with Omnitel Vodafone while, in the US, VISA and Sprint are working together to help facilitate secure mobile payments and create opportunities to purchase goods and services over the Sprint PCS nationwide wireless network.
SkyGo, Inc. officially launched its ‘Mobile Advertising Platform’ yesterday. The firm recently completed a pilot and study with VISA, NextCard, and Catalina Marketing. Using ‘SkyGo MAP’, credit card issuers can deliver contextual ads within content; targeted, permission-based alerts; or a browse-able ad shopping channel. The suite of SkyGo products include ‘SkyServer’ and ‘SkyStudio’. SkyGo offers ‘SkyServer’ in two editions to enable carriers and publishers to deliver targeted interactive ads and sponsored content to mobile phones, PDAs and pagers. The ‘SkyServer’ platform enables one-click purchase from an advertisement and also integrates with third-party rewards programs. ‘SkyStudio’ creates interactive ad types and supports a broad range of devices and protocols. In addition, ‘SkyStudio’ enables campaign optimization, allowing advertisers to manage creative rotation and frequency. (CF Library 3/8/01)
MasterCard has formed an alliance with MobileWay to develop and market an authentication scheme that will verify cardholders to merchants and confirm transactions using their wireless devices. MasterCard and MobileWay also intend to collaborate on development projects to ensure interoperability between MasterCard’s electronic payment systems and MobileWay’s global data network hub. Both firms also plan to develop next-generation m-commerce technologies. The alliance also includes cooperation on a number of key initiatives with the intent to leverage MasterCard’s global payment system and MobileWay’s global network by building upon the efforts of the Global Mobile Commerce Interoperability Group.
Ericsson and IBM confirmed Thursday a major partnership to develop and implement technology that enables high-value, high-volume business-to-client services such as wealth management, account aggregation, mobile trading, and credit card and payment alerts. The alliance will combine Ericsson ‘Mobile Internet’ application building blocks such as Ericsson ‘Mobile e-Pay’, ‘Safetrader’ and ‘WAP Gateway’ with the IBM ‘WebSphere’ infrastructure family of products including ‘WebSphere Everyplace Suite’, and the IBM ‘eServer’ family of products. IBM says many of the wireless projects underway at banks and financial services firms today are in pilot stage, involving only a few hundred consumers and undertaken on a one-off basis to gain first-mover advantage. IBM says financial services companies now are faced with the challenge of delivering higher value financial services to hundreds of thousands of customers located around the globe.
Schlumberger Test & Transactions and Baltimore Technologies announced Friday they intend to develop and deliver solutions aimed at enabling wireless handset subscribers to digitally sign transactions using a mobile phone. The cooperation will involve integration between the Schlumberger regional data processing hubs and Baltimore ‘UniCERT’ to enable the bulk issuance of SIM/WIM smart cards containing digital certificates. Specifically, the solutions will be based on Baltimore’s certificate management system, ‘Telepathy’ and ‘Simera e-motion’, and Schlumberger’s ‘WAP 1.2’ compliant SIM/WIM card.
Next week France Telecom Mobiles will launch a new service that will enable customers to make secure payments for remote transactions via Internet or mobile phone, as well as pay bills and add call credit their wireless phone account. The upcoming ‘Paiement CB Sur Mobile’ program makes France Telecom Mobiles the first operator in the world to enable customers to make secure payments by Carte Bleue credit cards via a wireless handset. The standards for this service have been defined by the CB Credit Card Consortium. Customers will be able to purchase goods or services from 27 partner merchants. By the end of the year the service will be adopted by nearly 1,000 e-commerce and mail-order companies. To pay for transactions, customers select the “Paiement CB sur mobile” Web icon and enter the wireless number. A few moments later, the customer receives an SMS message to initiate the payment order. Once the order is accepted, customers insert their Carte Bleue credit card in the cellphone and validate the purchase by entering their PIN number. An authorization request is sent to the bank and the customer receives confirmation of the transaction. The PIN number is never sent on the GSM network.
Citigroup’s e-Citi unit announced Friday it will join MasterCard’s ‘Global Mobile Commerce Forum’. The forum, which now has more than 200 participants, was established last November to foster knowledge exchange between MasterCard’s and Europay International’s member financial institutions, network operators and mobile technology companies. The last ‘Mobile Commerce Forum’ meeting was co-hosted by Europay International, and was held in March in Genval, Belgium and attracted more than 150 participants from around the world. A variety of mobile commerce solutions were discussed, ranging from “dual slot” approaches with a separate bank payment chip (either on a plastic card or as another SIM card) to remote wallet solutions. The group estimates that by 2001, 50 million consumers will own a commerce-capable wireless phone.
De La Rue Card Systems has extended its lead in the delivery of solutions for mobile banking convergence with the announcement of new ground-breaking trials with two of Europe’s leading financial organisations and cellular phone networks.
Pilot schemes with Barclaycard and Cellnet in the UK, and France Telecom and Cartes Bancaires in France, have consolidated De La Rue’s position as the leading SIM card provider and driving force behind secure mobile banking.
One of the world’s leading suppliers of smart cards, De La Rue brings its heritage in banking and expertise in providing innovative solutions to offer a host of new value added services to banks, GSM operators and their customers.
In the United Kingdom, Barclaycard and Cellnet have introduced the first consumer trial of ‘mobile electronic cash machines’ using De La Rue’s SIMphonIC SIM Toolkit solution, a customised Motorola mobile phone and m- Commerce server software from Logica. The trial will enable 1,000 customers to download e-cash over Cellnet’s GSM network on to their Barclaycard by inserting it into a Motorola StarTAC mobile phone. Customers can also use the card as part of the on- going Visa Cash UK trial in Leeds.
To use the new mobile electronic cash machine, a Barclaycard with the added Visa Cash functionality is inserted into a Motorola StarTAC mobile phone. The phone then asks the user to enter the ‘withdrawal’ required, up to a limit of GBP 50, and a bank PIN for security, as with any normal cash dispenser. The e- cash is then deposited onto the Barclaycard via the Cellnet GSM network, and debited from the user’s account, in under a minute. Customers can also check their credit card details, and download e-cash at anytime and in any place where they can use their Cellnet GSM mobile phone. The trial will be rolled out from April 1999.
The whole Mobile Cash service trial has been certified by Visa to ensure the maximum security for customers’ financial and account information.
John Eaton, managing director at Barclaycard said: “This is the third innovative mobile telephony product that has emerged from our partnership with Cellnet. This new service builds on the success of the mobile phone launched in 1997 that allowed customers access to their Barclays Bank and Barclaycard accounts. We are pleased to be working with Cellnet and three of the UK’s leading technology companies to bring mobile cash machines to the marketplace.”
Cellnet’s managing director Peter Erskine commented: “Withdrawing e-cash over your mobile may seem a futuristic idea – but within five years it will be commonplace. We’re delighted that our relationship with Barclaycard has yielded yet another world first.”
Commenting on Visa’s role, Jon Prideaux, Visa’s executive vice president for new products said: “Visa is committed to fulfilling the promise of chip technology, providing real flexibility and convenience to consumers. A cash machine in your pocket really does represent the ultimate in convenience. Downloading Visa Cash via a mobile phone means that you will always be able to obtain the right change for the car park or a bus fare. Today Barclaycard and Cellnet have brought us a step closer to achieving this goal.”
In France, France Telecom Mobiles has developed the first mobile commerce service using De La Rue’s SIMphonIC SIM Toolkit card and Motorola’s StarTAC D mobile phone.
Following an initial trial during the second quarter of 1999, France Telecom Mobiles customers will be able to make secure transactions for goods and services such as gifts and travel scheme tickets ‘over the air’ to merchants. By conforming to Cartes Bancaires security specifications, De La Rue’s SIMphonIC card will provide users with enhanced functionality, convenience and peace of mind.
Didier Quillot, Sales Director of France Telecom
Mobiles explains, “Thanks to this new service, our customers will be able to use their mobile phone for access to day to day goods and services. This mobile commerce service reflects the future of convergence between mobile and banking services.”
Yves Randoux, Administrator of the Cartes Bancaires Group adds, “With this mobile commerce solution, we are offering a new method of payment to our 33 million CB credit card holders. The credit card proves its capacity to adapt to all methods of commerce, including the most modern distribution channels, and by integrating De La Rue’s SIMphonIC card and using PIN codes we are able to provide the highest levels of security and integrity of transactions.”
Christophe Dolique, Business Director GSM, De La Rue
Card Systems, concludes, “By establishing a leadership position in SIM Toolkit applications based on Java card technology, we are able to make mobile commerce a reality today. The card is seen as the essential link between operator, subscriber and bank, ensuring a secure dialog throughout.”
Joachim Hoffmann, Director – Mobile Commerce
Business, Motorola Cellular Subscriber Group, EMEA,
“Motorola is one of the worldwide leaders in telecommunications and has created StarTAC D to bring together the world of mobile phones and smart cards to offer new mobile services to smart card holders.”
NOTES TO EDITORS:
DE LA RUE
De La Rue Card Systems, part of the De La Rue, the ‘cash to cards’ group whose 1998 revenues were GBP 790.2 million, is the number one supplier of VISA and MasterCard products worldwide. A leading provider of smart card solutions to customers in banking, telecoms, loyalty, transport and health, Pay TV and identification, De La Rue’s vision is “that by 2005, 10% of the world’s population will possess a De La Rue smart card.”
Coupling its heritage in banking and security with its expertise in technology innovation, De La Rue is delivering solutions today for electronic and mobile commerce applications. De La Rue is committed to open standards and supports Microsoft Windows card, Java card and MULTOS.
Today’s announcement heralds another world’s first for Motorola, a new mobile phone category – the smart card phone. The new StarTAC D is the first integrated dual card cellular phone. More than just a phone, it is a personal transaction terminal – the revolution the smart card industry has been waiting for, overcoming the hurdles of access, convenience and infrastructure.
Motorola is a global leader in advanced electronic systems and services. It liberates the power of technology by creating software-enhanced products that provide integrated customer solutions and Internet access via wireless and satellite communications, as well as computing, networking and automotive electronics. Motorola also provides essential digital building blocks in the form of embedded semiconductors, controls and systems. Sales in 1998 were $29.4 billion.
Logica is a key player in the development of the mobile commerce market. Together with Cellnet it founded the Global Mobile Commerce Forum (GMCF) in November 1997. By integrating enhanced messaging, customer relationship solutions, improved transaction processing and end-to-end security, Logica has created the market leading m-Commerce tm. v3.1 server. Based on Postillion from Mosaic the server supports a range of electronic functions. Logica has 8,000 staff in 23 countries worldwide. For the financial year ending 30 June 1998, Logica’s pre-tax profits were GBP 41.8 million on a turnover of GBP 473 million.
CELLNET / BARCLAYCARD PARTNERSHIP
Cellnet and Barclaycard have worked together since 1995 to provide their customers with a unique range of mobile phone banking services and cheaper mobile calls.
At launch Barclaycard/Cellnet customers were able to get 24-hour access to statement enquiries, credit limit increases and payment of bills.
Since 1997, following major technological advances, customers have been able to view Barclaycard and Barclays Bank account details like mini- statements, credit card limits, balances and next payment dates on their mobile phone display. These services and benefits are available over customised handsets available from Barclaycard.
VISA CASH TRIAL IN LEEDS
Over 1,400 outlets in Leeds currently accept Visa Cash including McDonalds, Kentucky Fried Chicken, Superdrug, WH Smith, and local NCP and Leeds City Council Car Parks. E-cash can be loaded at special loading machines situated in and around Leeds.
Visa Cash is a relatively new payment method that can either be added to re- issued credit and debit cards such as Barclaycard and Barclays Connect or can be issued as a separate card. It has been designed to pay for low value goods and services, typically those bought using loose change. This could be a newspaper, a chocolate bar or a car parking space.
Cardholders simply need to load the card before use by transferring money from either their current or credit card account via special load devices such as the new mobile telephone. They are then free to spend using their ‘cash’. There is no charge for using this facility, and for the first time Barclaycard is able to offer a Visa Certified secure transaction across a GSM network. The phone encrypts the information being sent across Cellnet’s network using a secret code (key) only Barclaycard will be able to decrypt the message.
The concept of stored value has been in existence for many years as a solution to the problems associated with cash handling. Even now, with automated payments, cheques, credit cards and debit cards being used in increasing numbers, the 1998 APACs Payments Market Report shows that cash still accounts for 46 per cent of transactions made in the UK. GBP 454 million of coin is used weekly in making low value purchases with retailers giving out over GBP 446 million of coin per week in change.