4 July 2006

Smart phones could drive new telecom business model

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NFC payments
Susana Schwartz describes in a long article in Billing World & OSS Today how tomorrow’s super-smart phones will enable contactless cash payment.

Billing World & OSS Today is a magazine covering and analysing the telecommunications Business and Operational Support Systems sector, or in short the BSS/OSS sector.

“The average person who walks, drives or travels is encumbered with keys, cash, purse or wallet, cell phone, headset, address book, planner, credit cards, and multiple IDs. Throw into that mix receipts, coupons, maps, CDs and other objects, and it’s no wonder so many personal and work-related belongings are lost, stolen or damaged.”

“The X and Y Generations as well as Baby Boomers would love to travel light with just one device to use as cash or credit for small and large purchases, as well as to conduct phone calls, transfer data, obtain transaction histories, plan activities and verify identities. Merchants could also jump at the opportunity to cut the paper management and inventory headaches of promotions and transactions by pushing discounts and goods over a cell phone, allowing them and their users to automatically track buying trends, transaction histories and receipts.”

“Already, chip and device manufacturers, card issuers, cellular operators, merchants and content providers are collaborating to enable phones to be used as cash and as smart devices for almost any conceivable type of transaction. In Japan, consumers swipe cell phones to enter subways or buy drinks at vending machines.”

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