MasterCard to launch mobile phone payments in Japan

MasterCard to launch mobile phone payments in Japan

MasterCard says it is launching a near field communications (NFC)-enabled mobile payments platform in Japan that will enable Japanese consumers to use its 'tap and go' contactless PayPass technology around the world.

MasterCard is parterning with Japanese operator Softbank mobile Corporation, financial services firm Orient Corporation, European smart card vendor Gemalto and electronics firms Samsung and Hitachi to launch the NFC platform.

PayPass technmology will be embedded on a NFC-capable smart card developed by Gemalto, which will be inserted into a SoftBank Mobile NFC-enabled handset developed by Samsung.

As well as using the phones pay for low value purchases at venues in Japan, consumers will be able to use thier handsets to pay for purchases at venues around the world.

"We recognise that global interoperability is vital to the success of any payment programme because consumers want to be able to pay as easily when they are travelling overseas as when they are in their home country," says Paul Harimoto, EVP, Japan, MasterCard Worldwide.

A field trial of the platform is expected to launch in the first quarter of 2008.

MasterCard says the programme is the latest in a series of initiatives rolled out over the past three years to extend its contactless technology into new payment arenas globally.

Last year the card network teamed with Nokia and US retail chain 7-Eleven to launch a trial of NFC-enabled mobile phones with contactless PayPass capability in Dallas. Earlier this year MasterCard partnered with Taipei Fubon Bank and Taiwan Mobile to launch an NFC mobile phone payment pilot programme across Taiwan.

The PayPass technology is currently being trialled or implemented in 20 countries, including China, Korea, Taiwan and Canada. As of Q3 2007 there were over 19 million PayPass cards and devices in use at over 73,000 merchants worldwide.

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