Austria preps NFC-based mobile wallet

A collection of heavyweight banks, card firms and telcos have joined forces in Austria to build an open, nation-wide standard for NFC-based mobile wallets.

  8 3 comments

Austria preps NFC-based mobile wallet

Editorial

This content has been selected, created and edited by the Finextra editorial team based upon its relevance and interest to our community.

Austria Card, Card Complete, Drei, Erste Bank, First Data, MasterCard, Nexperts, PayLife Bank, T-Mobile and Visa have all signed up to the effort, which is preparing a pilot for the autumn ahead of a full roll-out next year.

Using an NFC SIM provided by the telcos, the system will let customers make payments - and use loyalty cards and coupons - at contactless Visa and MasterCard terminals with a tap of their handsets.

The partners are stressing their commitment to open co-operation as they seek to bring their system to the world of commerce, transport, ticketing, security, and banking.

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Comments: (3)

A Finextra member 

Well done, Austria!

A Finextra member 

Just goes to show what can be achieved with some level of cooperation and cohesion!

A Finextra member 

How do Austrians think? The upcoming EU area interchange fee regulation will cap the interbank fee for debit cards to exactly 0,20% - for a one Euro NFC payment the issuer will earn 0,2 cents. This does not likely cover the changing cost for the transaction that include cost for card scheme license fee, clearing/settlement, posting to account, exception handling and distributor compensation - if any - to telco. Either banks make a loss or the consumers needs to pay for usage - which is likely to curb usage... The LVP business case is going to be challenging in the new "level playing field" Europe.

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