22 October 2017
visit www.avoka.com

US faces long wait for mobile payments at PoS - Boston Fed

26 May 2010  |  7757 views  |  1 US flag

Mobile payments are unlikely to take off on a large scale in the US for at least the next three years, according to an analysis by the Federal Reserve Bank of Boston.

The prospects for the nascent technology are considered in a public policy discussion paper issued by the bank, which suggests that the investment costs currently outweigh the potential benefits.

On the demand side, consumers and merchants are well served by the current card system, and face a low expected benefit-cost ratio, at least in the short run, suggests the paper. On the supply side, low market concentration and strong competitive forces of banks and mobile carriers make coordination of standards difficult.

"Although it appears that some useful standards, both proprietary and open, will be available in the short or medium term, they will not be widely adopted until a business model develops that gives industry participants incentives to support this product, or until consumer demand for mobile payment services increases substantially," the paper concludes.

It suggests that the Fed could intervene in a policy push to establish appropriate regulatory oversight for mobile payments and encourage private industry stakeholders to work together to establish common industry standards.

Read the full paper:» Download the document now 448.8 kb (PDF File)

Comments: (1)

Nick Ogden
Nick Ogden - ClearBank - London | 26 May, 2010, 09:30

Humm, not what I've heard, or know :-)

 

Be the first to give this comment the thumbs up 0 thumb ups! (Log in to thumb up)
Comment on this story (membership required)

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board: sign up now

Related stories

Nice turns into mobile contactless city

Nice turns into mobile contactless city

21 May 2010  |  10639 views  |  0 comments
Chinese players form m-payments alliance

Chinese players form m-payments alliance

13 May 2010  |  11110 views  |  0 comments
Google Ventures invests in m-payments start-up Corduro

Google Ventures invests in m-payments start-up Corduro

04 May 2010  |  10508 views  |  0 comments
PayPal launches developer library for mobile payments

PayPal launches developer library for mobile payments

12 February 2010  |  8948 views  |  0 comments
Dutch to ditch cash by 2015 - report

Dutch to ditch cash by 2015 - report

10 February 2010  |  14683 views  |  11 comments
Nacha to rewrite rule book for mobile payments

Nacha to rewrite rule book for mobile payments

22 September 2009  |  9126 views  |  0 comments
Jump in mobile payments users this year - Gartner

Jump in mobile payments users this year - Gartner

28 May 2009  |  9302 views  |  0 comments

Related company news

 

Related blogs

Create a blog about this story (membership required)
visit www.innotribe.comRegister nowvisit www.vasco.com

Top topics

Most viewed Most shared
Mastercard to roll out blockchain APIMastercard to roll out blockchain API
13629 views comments | 17 tweets | 28 linkedin
HSBC partners Bud for open banking trialHSBC partners Bud for open banking trial
12530 views comments | 22 tweets | 28 linkedin
satelliteGates Foundation backs Ripple collaboratio...
9625 views comments | 13 tweets | 10 linkedin
Sibos 2017: API or the highwaySibos 2017: API or the highway
9318 views comments | 12 tweets | 23 linkedin
IBM uses blockchain to improve cross-border payments processingIBM uses blockchain to improve cross-borde...
8638 views comments | 9 tweets | 18 linkedin

Featured job

Competitive base + commission + benefits
Denmark, Finland, Iceland, Norway or Sweden

Find your next job