Near Field Communications Handsets and Tags, NFC Pilots and Projects

Watchdata, China Telecom expand SIMPass mobile payment in China

Wednesday, May 19, 2010

Watchdata has announced the continued successful deployment of its SIMpass mobile payment solution in China.

Around 200,000 China Telecom subscribers will soon be able to make low-value purchases in 11 cities of Jiangsu Province with local transit, e-purse or campus applications stored on SIMpass mobile cards.


SIMpass was first launched with China Telecom in December 2009 for several campuses in the Province of Jiangsu. More than 20,000 university students of Nanjing Zhongshan Institute and Yangzhou Technology Institute can now tap their SIMpass-enabled handsets to pay for their meals at the Canteen, get medical care, borrow books from the library or pay for public transport.

This was followed shortly by a deployment in Nanjing and Suzhou City, where citizens can use SIMpass for payment on buses, taxi, gas stations, supermarket, pharmacy, salon, laundry and restaurants, totaling over 11,000 locations.

As a second phase, China Telecom expects the SIMpass-enabled handset to combine the Nanjing City card functions, which could further extend into Nanjing’s social security and banking sectors.

According to Wang Jianmin of China Telecom, the solution is offered in two different forms: a UIM card with an antenna for people who do not want to change their handset, and custom-made phones for those who are willing to change their handset. [end] 

China Unionpay has formed a mobile payments industry alliance with a group of Chinese banks, wireless operators and handset manufacturers, according to finextra.com.

China Unionpay says the alliance’s goal is to help different industries–transportation, commercial retail, hospital–coordinate efforts to create a single, open m-payments platform defined by the ISO standard.

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Tyfone, creator of the SideTap MicroSD mobile payment solution, has landed $5 million in Series B funding from several investors, including HDFC Holdings, Polaris Software Lab and Ojas Venture Partners, according to telecomtiger.com.

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China Unicom has signed a $1.5 billion contract with the Chongqing Municipal Government to turn the city into the world center for NFC technology, according to The Register.

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Visa is teaming with Turkey’s Akbank and vendor DeviceFidelity to launch a new microSD-based contactless mobile payment system.

Akbank customers will be able to insert DeviceFidelity’s In2Pay microSD into their handsets’ memory card slots, turning them into contactless payments devices that can be used with Visa payWave terminals.

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SK Telecom of Korea has signed a Memorandum of Understanding (MoU) with Japanese mobile operators KDDI Corporation and SOFTBANK MOBILE to lay ground for an interoperable contactless payment environment for mobile phone users of Korea and Japan.

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The mobile payment market in China is expected to grow dramatically in the next two years, with the number of users exceeding 100 million by 2011, according to The Global Times.

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