Thursday, March 29, 2012

Nielsen Reports that 50% of U.S. Mobile Phone Owners Have Smartphones

Here's a big shift happening right before our eyes: Smartphones now account for 50% of all mobile phones in the United States, Nielsen reports

Don't expect smartphone growth to slow any time soon. In the last three months, 66% of all mobile phones sold were smartphones. 

Webinar Replay: Why NFC Has to be More than Just About Payments

Why NFC Has To Be More Than Just Payments


March 15th: Presented By

John Devlin
Group Director, Security and ID

View Replay

MNOs are in danger of killing the goose that lays the golden egg. Since MNOs have not evolved their business models for NFC, they continue to focus on contactless payments as they struggle to identify the opportunities of NFC. They have not recognized that they are now in danger of either missing out altogether as other payment providers move in and cut them out of the loop or strangling NFC with an outdated business model and preventing payment from reaching the tipping point. A summary of the primary opportunities for additional revenue streams and applications that can be derived from NFC will be included.
This webinar will address the issues that face NFC, identifying why the technology celebrates its 10th birthday this year but has yet to gain serious commercial backing on a global scale. Points of discussion will centre around the complexities of the ecosystem and certification processes, how it can be simplified, and why service providers need to do more to communicate to retailers and consumers about the added benefit that NFC offers each group, as well as the inherent security that is built into contactless payments. Given recent stories around Google Wallet being hacked twice, technology and service providers need to be fully aware of the implication of any perceived lack of security and the harm that this could do to user uptake.

65% of of Telecom Execs Surveyed Say "Real Potential" of NFC Lies Outside Payments

Travel, Ticketing, Telematics (Automotive) Advertising, Location Based Offers and Marketing come up big...

NFC is the 3rd Interface: First we talked, then we typed, now we will tap...

The latest survey from BillingViews ( finds that 65 percent of respondents believe that applications other than mobile payments will catalyze mass use of near field communications (NFC) technology. The survey panel consists of 20 executives from major telecom operators in every global region who are responsible for billing, payments, customer care, and IT strategy. Full details of the survey responses are available at
While NFC has been hyped as an enabling technology for mobile payments, the convenience factors surmised to drive it are not overwhelming. As a result, payment is not what is most likely to drive mass uptake of NFC technology. Rather, it is the transmission of common, personal data at the heart of billions of online and day-to-day transactions that is a more likely catalyst. With NFC, transmission is conducted through a simple “tap,” an action which is being dubbed “the Third Interface.”
"We all suffer from fatigue regarding processes, like online ordering, that require us to enter repeatedly the same basic information about ourselves, our payment methods, our delivery addresses, and so forth,” says Alex Leslie, Publisher of BillingViews. With NFC, Leslie explains, we can simply tap to transmit that information in an unlimited number of scenarios. “Once people become accustomed to the convenience of tapping to transmit basic personal data, it is more likely they will turn to NFC to facilitate mobile payment transactions as well.”
The concept of tapping as the “Third Interface” emerged at February’s Mobile World Congress™ event in Barcelona. “I was chatting with VP of Business Development for Inside Secure, Andre Ponton, who suggested that the world should look at NFC as the ‘third interface’ because ‘first we typed, then we talked, and now we will tap,’” explains Leslie. This point of view provided the impetus for BillingViews’ survey.
While the potential for NFC is massive, the dangers are as well. More connected machines result in a greater potential for breaches. NFC provides no records, and therefore no audit trail. The signaling technology is not new and is already compromised. Security relating to NFC transactions remains a critical concern as Third Interface applications that leverage this technology begin to emerge.
About BillingViews
BillingViews is the global home for billing, payment, and customer experience information in the communications and media industries. Its goal is to facilitate dialogue between executive level business and IT decision makers and the greater communications and media IT marketplace through focused, data-driven research and publications. BillingViews content is available free at

HID Global and NXP Enable Mobile Access for NFC Phones

NXP and HID Global Enable Mobile Access for NFC Phones

Leaders Offer Mobile Physical Access Systems for the Enterprise

EINDHOVEN, Netherlands & IRVINE, Calif.--()--NXP Semiconductors N.V. (NASDAQ: NXPI) and HID Global, both trusted leaders in solutions for the delivery of secure identity, today announced their collaboration to introduce a global, generic Mobile Access solution for NFC-enabled mobile phones. NFC enables the secure and convenient sharing of information from one device to another over short distances based upon existing contactless standards, making it ideal for deploying easy-to use mobile access control applications.
HID Global and NXP helped create the current market for card-based physical access systems and are now jointly moving these solutions to mobile phones as NFC becomes a standard feature.
The contactless cards that employees use to enter corporate buildings and parking garages can now be transferred to an NFC-enabled phone storing digital access credentials. 
The credentials are stored on NXP’s embedded Secure Element within the handset and are presented by the mobile phone in a manner that is compatible with access control readers and systems. As the use of NFC smart phones for access control becomes increasingly more popular, consumers and enterprises can expect the same high level of security with improved convenience on a mobile device.
The jointly developed solution also leverages NXP and HID Global advanced reader technologies within a physical access control infrastructure. The solution supports existing HID Global readers and those based on the company’s iCLASS SIO-Enabled (iCLASS SE®) platform that fuels the migration of physical access control technology beyond traditional cards and readers by enabling deployment of mobile access with digital credentials. HID’s iCLASS SE readers will be powered by NXP’s new CLRC663 reader ICs and fully support 13.56 MHz smart cards that are ISO14443 compliant, including MIFARE DESFIRE EV1.
To ensure maximum compatibility, the new Mobile Access management solution from NXP and HID Global is backward-compatible with newer HID Global iCLASS® readers, and is forward-compatible to HID Global’s Trusted Identity Platform® (TIP™) ecosystem. Existing HID customers can upgrade certain iCLASS implementations to support the use of NFC-enabled mobile phones without the need to physically replace the installed readers. NXP’s technology supports the management of multiple applications such as payment, e-government, access management and ticketing, all via one microcontroller that assures secure and convenient recognition without compromising security, performance and design productivity.
Dr. Selva Selvaratnam, senior vice president and chief technology officer with HID Global, said, “NXP is playing a vital role in the adoption of NFC technology among handset manufacturers and developer communities. By working together, this application can be deployed immediately on a significant number of mobile phones. We are excited to team up and combine our leadership positions in the access management market to offer the industry new leading-edge solutions.”
Henri Ardevol, vice president and general manager, secure transactions with NXP Semiconductors, said, “We are very pleased to co-operate with HID Global on the development of this new solution. As leading enterprises continue to invest in mobile technology and security infrastructure, our collaboration brings real value and convenience around the world. In addition, combining HID Global’s iCLASS SE readers with our MIFARE DESFire and NFC technology ensures greater interoperability in access management and accelerates adoption of NFC applications within the enterprise space.”
Technical Details
NXP and HID Global have based their Mobile Access solution on NXP’s PN65 family of NFC ICs for low power, high-performance communication and tamper-resistant secure data storage. The PN65 features NXP’s market leading, high performance NFC radio controller PN544 and an embedded Secure Element (eSE). The eSE incorporates NXP’s advanced SmartMX technology used to safeguard hundreds of millions of bank cards; electronic passports and eID cards; transportation tickets; and other card and credentials around the world. The NXP ICs will support HID Global’s Secure Identity Object (SIO™) technology for portable credential provisioning, storage and lifecycle management, and HID’s Trusted Identity Platform (TIP) for endpoint management and security. HID’s SIOs introduce a new standards-based, technology-independent and flexible identity data structure that enables smart card technologies to be deployed for use on a wide range of portable platforms including NFC phones. The SIO data structure provides new levels of security, portability and performance, and makes it possible for facility and security managers to remotely manage credential provisioning on designated mobile devices. It also enables them to dynamically increase security levels and address future changes in requirements via simple firmware updates.
About HID Global
HID Global is the trusted source for secure identity solutions for millions of customers around the world. Recognized for robust quality, innovative designs and industry leadership, HID Global is the supplier of choice for OEMs, system integrators, and application developers serving a variety of markets. These markets include physical and logical access control, including strong authentication and credential management; card printing and personalization; highly secure government ID; and identification technologies used in animal ID and industry and logistics applications. The company's primary brands include HID®, ActivIdentity™, FARGO®, and LaserCard®. Headquartered in Irvine, California, HID Global has over 2,100 employees worldwide and operates international offices that support more than 100 countries. HID Global is an ASSA ABLOY Group brand. For more information, visit
About NXP Semiconductors
NXP Semiconductors N.V. (NASDAQ: NXPI) provides High Performance Mixed Signal and Standard Product solutions that leverage its leading RF, Analog, Power Management, Interface, Security and Digital Processing expertise. These innovations are used in a wide range of automotive, identification, wireless infrastructure, lighting, industrial, mobile, consumer and computing applications. A global semiconductor company with operations in more than 25 countries, NXP posted revenue of $4.2 billion in 2011. Additional information can be found by visiting

KDDI Selects Gemalto for Japan's First Mobile NFC Launch

CARTES in Asia 2012
HONG KONG--()--CARTES in Asia - Gemalto (Euronext NL0000400653), the world leader in digital security, announces being selected by KDDI for Japan’s first commercial launch of mobile NFC services. KDDI serves over 34 million subscribers in Japan. Successfully launched in January, Gemalto provides a one-stop service to KDDI, encompassing its Allynis Trusted Service Manager (TSM) software and UpTeq NFC high-end security device.
“As Japan is where mobile proximity started many years ago, with consumers already actively using mobile contactless services, we anticipate quick user adoption of this new service.”
The launch is a part of the recently announced Japan Mobile NFC Consortium that brings together the country’s three largest operators to coordinate the adoption of multiple international standards for NFC. Subscribers are able to experience various types of contactless services ranging from mobile payments, transportation services, e-driver’s licenses, e-ticketing as well as information acquisition from smart posters. The launch sees participation from a wide-range of leading industries including car manufacturers, airlines and cinema operators. The launch in Japan will also allow end users to use NFC services both domestically and outside of Japan.
KDDI’s early migration to Gemalto’s Upteq NFC high-end security SIM-format device provides a solid protection for the operator’s investments in NFC with lower risks and higher returns. KDDI began last year to insert UpTeq NFC in handsets in place of the standard SIM/UICC so they are ready now to mass deploy NFC services. This further permits the operator to progressively incorporate new partners without the need to extensively pre-qualify each and every service and application or anticipate all the subscriber configurations ahead of time. Service providers and KDDI are able to easily deploy and manage new services and install additional applications with full flexibility, after card issuance to end users. KDDI’s mobile NFC program will be based on international standards compliant with GSMA’s Pay-Buy-Mobile specifications, allowing for faster market rollout and ensuring a high level of security for transactions.
With more than 45 NFC projects globally, Gemalto has unrivalled experience in managing the complexity of building a mobile contactless ecosystem,” said Kenichi Bandou, Senior Manager, KDDI. “As Japan is where mobile proximity started many years ago, with consumers already actively using mobile contactless services, we anticipate quick user adoption of this new service.”
KDDI’s decision to proceed with commercialization was based on their subscribers’ positive feedback that the pilot program brought much convenience and added value to their daily lives,” added Tan Teck-Lee, President Asia, Gemalto. “Built from our extensive engagements across key digital security markets worldwide, Gemalto’s end-to-end NFC solution will enable further massive deployment of mobile contactless services across Japan. It is also the first step towards NFC roaming capability, which will enable mobile users to make purchases in globally compatible contactless point of sales wherever they are when they travel abroad.”

EMV Chip in the US – an Informal Survey

A smartcard graphic, without banklogos or simi...
A smartcard graphic, without banklogos or similar copyright/trademark concerns. Card holder's name and card numbers are made up. The 3 by 5 mm security chip embedded in the card is shown enlarged in the inset. Chip inset taken from Janke's "Smartcard.JPG" (Also GFDL). (Photo credit: Wikipedia)

LONDON--()--It’s been a long time coming, but there are indications that the US is finally going to adopt EMV chip. This technology has already been embraced by the rest of the world as a way to make card payments more secure. Recently, Visa, MasterCard, and Discover have announced measures to encourage EMV migration in the States, several banks have started issuing chip cards (albeit only to frequent travelers) and some merchants are upgrading to EMV-compliant POS terminals. But many questions still remain.
Over the past few months, Auriemma Consulting Group and Savantor undertook a “listening tour” to answer some of those questions. The firms interviewed senior officers at a handful of banks, retailers and other payments organizations to get a feel for what they are thinking and how they see the EMV chip story panning out in the US. Some interesting and important themes emerged, including:
  • Everyone believes migration to EMV chip in the US is now inevitable, but few expect it to happen before the newly mandated headlines.
  • Many do not regard EMV chip as a high-priority, long-term strategic issue.
  • Chip with signature verification is expected to be deployed, rather than Chip + Pin.
  • Mobile NFC and other emerging payments models increase uncertainty.
  • Large retailers are the main drivers of EMV migration, with many other stakeholders adopting a “wait and see” attitude.
  • There is a lack of central coordination and leadership.
Jointly, Savantor and ACG have released a white paper detailing the findings of their research. For a free copy, please contact either firm at the phone number or email addresses below.
About Auriemma Consulting Group
Auriemma Consulting Group (ACG) is a full-service management consulting firm serving the payments and lending industries since 1984. With offices in New York and London, ACG consultants are experienced practitioners, drawn from the credit card, private label, auto finance, mortgage, and retail banking industries that we serve.
About Savantor
Founded in the UK in 1997 and headquartered in London, Savantor offers a wide range of experienced, practitioner advice to financial institutions on the subject of business and operational change, with a particular focus on card payments.

eBay Names Scott Thompson's Replacement as President of PayPal

eBay Inc. Names Mobile Payments Entrepreneur and Product Innovator 
David Marcus President of PayPal

SAN JOSE, Calif.--()--eBay Inc. (Nasdaq: EBAY) today announced that executive David Marcus has been named President of PayPal, effective April 2. PayPal is the leading online payments provider serving millions of merchants and customers around the world with a faster, safer way to pay and be paid. A member of PayPal's executive management team, Marcus, has been leading PayPal's rapidly growing mobile payments business and has driven important mobile product innovations. Reporting to eBay Inc. President and CEO John Donahoe, Marcus succeeds Scott Thompson, who left the company in January.
As Vice President of Mobile for PayPal, Marcus has helped lead strong mobile payments volume growth and innovation, including PayPal Here. The new global service includes a free app and encrypted thumb-sized card reader, which turns any iPhone, and soon Android smartphone, into a comprehensive mobile payments solution. With PayPal Here, small businesses, service providers and casual sellers can accept debit and credit cards, checks and PayPal, or send invoices using one simple integrated product."David is the right leader for PayPal," Donahoe said. "He is a successful technology entrepreneur with a passion for great products that engage and delight customers. David leads with a founder's perspective. He will bring start-up energy to PayPal's unmatched global reach and digital payments capabilities. And he will sharpen PayPal’s focus on accelerating product innovation, driving consumer engagement and making paying anytime, anywhere through your digital wallet a safe, easy and convenient experience. David's appointment signals our deep commitment at PayPal, and across eBay Inc., to be a leading technology-driven and customer-focused product innovation company."
“Shopping is fun, but paying is not,” Marcus said. “PayPal has an incredible opportunity to make the way people pay simple, easy, and safe – everywhere, and at scale. We’re off to a great start in 2012 with breakthrough products that will truly change the way everyone shops and pays. I’m honored and excited to be asked to lead this unique business and help make the digital wallet an amazing experience for merchants and consumers worldwide.”
For 14 years, PayPal has been revolutionizing the payments industry – first with online payments in 1998 and then with mobile payments in 2006. In 2011, PayPal processed $118 billion in payments from over 100 million users in 190 countries, including $4 billion in mobile payment volume. PayPal is now extending its online and mobile capabilities offline, creating innovative in store payments solutions for retailers and consumers. Home Depot recently rolled out PayPal to all of its nearly 2,000 stores nationwide, and PayPal is implementing its point of sale innovations with other national retailers this year.
Marcus joined PayPal in August 2011 after the company completed the acquisition of Zong, a leading provider of mobile payments, where he was CEO and founder.
About PayPal
PayPal is the faster, safer way to pay and get paid online. The service allows people to send money without sharing financial information, with the flexibility to pay using their account balances, bank accounts, credit cards or promotional financing. With 106 million active accounts in 190 markets and 25 currencies around the world, PayPal enables global commerce. PayPal is an eBay (Nasdaq:EBAY) company. PayPal is headquartered in San Jose, Calif. and its international headquarters is located in Singapore. More information about the company can be found at

Discover Partners with BilltoMobile for Mobile Payments

SOURCE: BilltoMobile
March 27, 2012 06:00 ET

BilltoMobile™ and Discover® Partner for Mobile Payments

SAN JOSE, CA--(Marketwire - Mar 27, 2012) - BilltoMobile announced today that it is entering into a marketing agreement with Discover which will enable the two companies to drive market-leading innovation and value in the rapidly-evolving digital goods, mCommerce, and mobile payments space.
The agreement includes allowing Discover to offer mobile carrier billing to select Discover e-commerce merchants looking to generate incremental revenue through alternative payments options.
The partnership with Discover is a significant milestone for BilltoMobile and validates its leadership position in the marketplace. Jim Greenwell, BilltoMobile's CEO commented, "This agreement with Discover enables BilltoMobile to better serve our consumers, merchants and carrier partners. Our product offering will expand as will the ability to serve marquee digital merchants."

GuestLogix Releases Upgrade of Airline Industry's Most Popular Onboard Point-of-Sale Mobile Device

March 29, 2012 07:48 ET
Next-Generation POS Device Features Chip & PIN, Contactless and NFC Payments for Faster, More Secure Processing
GuestLogix Inc.TORONTO, ONTARIO--(Marketwire - March 29, 2012) - GuestLogix Inc. (TSX:GXI), the leading global provider of onboard retail and payment technology solutions to airlines and the passenger travel industry, announced today that it has released the XPDA-SP, an upgraded version of its original onboard handheld Point-of-Sale (POS) device. The next-generation onboard retailing technology is more than twice as powerful compared to its predecessor and helps airlines perform transactions faster, in a PCI-compliant and secure environment. This ultimately increases both passenger and flight attendant satisfaction. The XPDA-SP comes standard with the ability to accept contactless and NFC payments. The device also supports the ability to transact via Chip & PIN cards and has the capability to process and track onboard transactions in multiple currencies, allowing payments in cash, credit, debit, loyalty cards, complimentary and coupons.
"GuestLogix' success in helping create lucrative onboard ancillary revenue programs for our customers is what drives us to bring the most advanced technology to market," said Tom Douramakos, President and CEO of GuestLogix. "As airlines grow their onboard retailing programs, the need to process transactions more securely and faster requires technology such as the new XPDA-SP to support this."
The predecessor device, known as the XPDA-S, is the most used handheld device in the onboard retail world and has been successful due to its ergonomic, light-weight design and ease of use. The XPDA-SP comes with the same ergonomic and user-friendly design including all the features of the XPDA-S such as barcode scanner, integrated printer and magnetic stripe reader, but has been upgraded to provide improved processing power, communications and security. The design similarities will ensure product familiarity, and quick and easy adoption by flight attendants that are used to the ease of use of the XPDA-S device.
The XPDA-SP is PCI-compliant (EMV Level 1 & 2 and PCI PED 2.0) and integrated with the GuestLogix Onboard Retail Technology Platform to automate all onboard activities with pre-flight and post-flight processing requirements. It also provides enhanced communication options such as Bluetooth, WiFi (b/g/n) and 3G GSM. The XPDA-SP also supports touch-screen features with a higher resolution LCD. The technology features MS Windows and Intel architecture, while supporting all-day transaction processing with more efficient power management allowing the battery to last longer than the earlier model. It also has eight times the amount of memory of the original technology, yet retains its streamlined design, and is capable of processing and tracking all types of onboard retail sales.
The XPDA-SP printer allows customers to provide receipts and also print third-party tickets and passes, complete with barcodes to support the sales of destination-based products and services including theatre and theme-park tickets, ground transportation and entertainment.
To support an airline's onboard retail program, the XPDA-SP is fully customizable from its external shell color and brand markings through to the graphical user interface (GUI), to meet the unique requirements of each airline. The touch screen device can manage and track onboard inventories, record sales by seat and attendant, manage onboard pricing and promotional activities, connect with back-office information flows, support offline and real-time transaction processing, and manage crew scheduling and operations.
For more information about the XPDA-SP, or for sales inquiries, please visit

Near Field Commiunication Videos from the Web

From the Web

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