Click here to close now.


.NET Authors: Elizabeth White, Liz McMillan, Pat Romanski, Jaynesh Shah, Carmen Gonzalez

News Feed Item

NFC & mobile payments

NEW YORK, Dec. 18, 2012 /PRNewswire/ -- announces that a new market research report is available in its catalogue:

NFC & mobile payments

This study presents the current situation of the mobile payment and mobile NFC technology markets. It analyzes the prospects for the market from a technical and economic point of view, by looking at challenges facing the economic models in key areas, including: automation, commerce, advertising, public services and transport.

• How can mobile NFC technology revolutionize payment, transportation and mobile applications?

• Can it generate revenue for the various stakeholders?

• What are some of the issues around NFC technology business models?

• What technical challenges exist that might have a direct impact on mobile NFC business models?

• Could NFC mobile payment be deployed on a large scale?

• What strategies are the major players adopting for implementing mobile NFC technology?

1. Executive Summary 7

1.1. Current status of contactless mobile technology . 8

1.2. Limited new usage, few additional revenues . 9

1.3. Multiple stakeholders vie for the market . 10

2. Methodology 11

3. NFC technology . 13

3.1. Definition . 13

3.2. NFC objects 13

3.3. How it works . 14

3.4. General hardware architecture . 15

3.4.1. NFC tags and cards architecture . 15

3.4.2. Architecture and operation of NFC devices . 16

3.5. Norms and standards . 17

3.6. The Secure Element (SE) 18

3.6.1. The Cardlet 18

3.6.2. Trusted Service Manager (TSM) and personalization . 18

3.6.3. The different types of Secure Element 19

3.7. How NFC works for secure applications 21

3.7.1. Contactless mobile payments (credit/debit card system) . 21

3.7.2. Mobile wallets 25

3.7.3. Transportation and ticketing applications 26

3.8. How NFC works for non-secure applications . 28

3.8.1. Between an NFC mobile device and an NFC tag 28

3.8.2. Between two NFC mobile devices . 29

4. Market structure 30

4.1. Market evaluation . 30

4.1.1. Initiatives around NFC . 30

4.1.2. NFC mobile devices 35

4.2. The main applications and uses for NFC . 37

4.2.1. NFC mobile payments and micro-payments 37

4.2.2. Non-NFC mobile payments . 42

4.2.3. Transportation . 47

4.2.4. Other applications 48

4.3. Business models and added value of NFC mobile technology 55

4.3.1. Automation 56

4.3.2. Transportation . 56

4.3.3. Commerce and payments . 57

4.3.4. Advertising . 60

4.3.5. Public services . 61NFC & Mobile Payment

5. Strategies from key players 62

5.1. The value chain 62

5.1.1. The NFC mobile payments value chain . 62

5.1.2. The transportation value chain 62

5.1.3. Details and role of the various stakeholders 63

5.2. Profiles of key players 65

5.2.1. Mobile service providers 65

5.2.2. Payment systems 68

5.2.3. Mobile operators 70

5.2.4. Mobile device manufacturers . 74

5.2.5. Manufacturers of NFC chips, SIM cards and microSD cards . 79

6. Strategic analysis 83

6.1. Technical maturity of NFC 83

6.1.1. Norms and standards 83

6.1.2. NFC mobile devices 84

6.1.3. Infrastructures 84

6.2. Numerous initiatives . 85

6.3. Challenges around usage 86

6.4. Business models and ecosystem . 87

6.4.1. Complex business models . 87

6.4.2. An overcrowded ecosystem . 88

6.4.3. Competing technical architectures . 88


Table 1: Comparison of different near-field wireless communication technologies . 13

Table 2: Summary of the major, recent initiatives around NFC 31

Table 3: Worldwide data for the volume of transactions made on mobile devices 34

Table 4: Number of users using mobile devices as a payment method, by region . 34

Table 5 : List of main card reader mobile plug-in solution providers 43

Table 6: Business model comparison between transportation and commerce/payments . 55

Table 7: Individual ticket price comparison in London between NFC and non-NFC . 57

Table 8: Percentage of the population who have used mobile payments during the year, for

various countries in Africa . 58

Table 9: Service provider involvement 66

Table 10: Payment systems and NFC involvement 68

Table 11: Mobile operators' involvement 70

Table 12: Involvement of mobile device manufacturers 75

Table 13: Involvement of manufacturers of NFC chips, SIM cards and microSD cards 79


Figure 1: Contents of the ISIS contactless mobile wallet . 9

Figure 2: NFC operation in P2P mode . 14

Figure 3: NFC operation in read/write mode 14

Figure 4: NFC operation in card emulation mode 15

Figure 5: Overhead view of an NFC NXP tag 15

Figure 6: Exploded view of an NFC card, showing its different elements 16

Figure 7: Hardware architecture of an NFC mobile device 17

Figure 8: Example of cardlet organization in an NFC SIM card . 18

Figure 9: NFC mobile device architecture with an integrated SE . 19

Figure 10: NFC mobile device architecture with the SE in the SIM card 20

Figure 11: NFC mobile device and traditional mobile device architecture with the SE in the SIM

card . 21

Figure 12: Personalization of the payment application on the user's mobile device 22

Figure 13: Payment amount displayed on the EPT and the user's mobile device during a

transaction 23

Figure 14: Simplfied NFC mobile payment process, with an authorization request . 24

Figure 15: Simplified process for transfer of funds from customer to merchant . 24

Figure 16: Different ways of purchasing a transport ticket for use with NFC mobile devices . 27

Figure 17: Different ways of downloading a transport ticket for use with NFC mobile devices 28

Figure 18: Possible data exchange initiated by NFC between two NFC mobile devices . 29

Figure 19: Number of NFC mobile products offered by brand . 36

Figure 20: Microsoft Wallet on Windows Phone 8 37

Figure 21: Visa's NFC mobile payment app for the London 2012 Summer Olympics 38

Figure 22: The ISIS Wallet app 38

Figure 23: The Cityzi app and BNP Paribas (KIX) payment services . 39

Figure 24: The Cityzi app and transport service in Nice . 39

Figure 25: The Google Wallet NFC app . 40

Figure 26: Signing for a card payment directly on the device 42

Figure 27: The Square Register card reader in use with an iPad 43NFC & Mobile Payment

Figure 30 : Segmentation of mobile payment systems . 45

Figure 31 : Example of a virtual currency model (Facebook Credits) involving four player types . 45

Figure 32 : Buying FarmCash, the virtual currency used in FarmVille, with Facebook Credits . 46

Figure 33: Poster for the film X-Men First Class with an NFC tag that lets users view the trailer with

their mobile devices 49

Figure 34: Overview of Groupe Casino's NFC solution 50

Figure 35: Audioguide on a Samsung Smartphone at the Cité de l'Architecture in Paris, controlled

by tapping an NFC tag with an NFC mobile device 50

Figure 36: Posters designed for restaurants by Atuch, allowing customers to download menus

directly by tapping an NFC tag or scanning a QR code 51

Figure 37: Sony Ericsson's Xperia programmable tags, which can trigger an action on a Sony

mobile device 51

Figure 38: Nokia's NFC-compatible wireless speaker for pairing with a Nokia NFC mobile phone via

Bluetooth . 52

Figure 39: Exchanging business cards between two Nokia NFC mobile phones 53

Figure 40: Passing security and boarding gates at Toulouse airport, France, using a boarding pass

stored in an NFC mobile device. . 53

Figure 41: An NFC parking ticket service by Skidata . 54

Figure 42: Yale's NFC solution for unlocking hotel doors . 54

Figure 43: Percentage of the population in different countries worldwide with an account at a

financial institution 58

Figure 44: Growth in the number of non-cash payments by inhabitants for different countries in

Europe and the United States, from 2001 to 2009 59

Figure 45: The NFC mobile and mobile payments value chain 62

Figure 46: NFC apps to become Facebook friends with someone or to like a Facebook page . 66

Figure 47: Paypal's mobile app for NFC payment between two mobile devices 70

Figure 48: NTT docomo's Osaifu Keitai (mobile wallet) concept 73

Figure 49: NTT docomo's iD credit payment service in use . 73

Figure 50: NTT docomo's DCMX credit service . 74

Figure 51: Nokia's range of NFC handsets 76

Figure 52: BlackBerry handsets hosting NFC technology . . 77

Figure 53: a Samsung Galaxy SII being used to make a purchase via the Visa PayWave app . 78

Figure 54: WatchData's NFC solutions 80

Figure 55: NXP's NFC chips built into Google and Samsung mobile devices. Without a Secure

Element on the left and with an SE on the right 81

Figure 56: Features of the Sony Xperia S promoted by Orange 84

Figure 57: Snapshot of different NFC mobile initiatives around the world 85

Figure 58: Starbucks Coffee non-NFC mobile payment application using bar codes 86

To order this report:

: NFC & mobile payments

Contact Nicolas: [email protected]
US: (805)-652-2626
Intl: +1 805-652-2626

SOURCE Reportlinker

More Stories By PR Newswire

Copyright © 2007 PR Newswire. All rights reserved. Republication or redistribution of PRNewswire content is expressly prohibited without the prior written consent of PRNewswire. PRNewswire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

@ThingsExpo Stories
Container frameworks, such as Docker, provide a variety of benefits, including density of deployment across infrastructure, convenience for application developers to push updates with low operational hand-holding, and a fairly well-defined deployment workflow that can be orchestrated. Container frameworks also enable a DevOps approach to application development by cleanly separating concerns between operations and development teams. But running multi-container, multi-server apps with containers is very hard. You have to learn five new and different technologies and best practices (libswarm, sy...
SYS-CON Events announced today that DragonGlass, an enterprise search platform, will exhibit at SYS-CON's 16th International Cloud Expo®, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. After eleven years of designing and building custom applications, OpenCrowd has launched DragonGlass, a cloud-based platform that enables the development of search-based applications. These are a new breed of applications that utilize a search index as their backbone for data retrieval. They can easily adapt to new data sets and provide access to both structured and unstruc...
Converging digital disruptions is creating a major sea change - Cisco calls this the Internet of Everything (IoE). IoE is the network connection of People, Process, Data and Things, fueled by Cloud, Mobile, Social, Analytics and Security, and it represents a $19Trillion value-at-stake over the next 10 years. In her keynote at @ThingsExpo, Manjula Talreja, VP of Cisco Consulting Services, will discuss IoE and the enormous opportunities it provides to public and private firms alike. She will share what businesses must do to thrive in the IoE economy, citing examples from several industry sector...
With major technology companies and startups seriously embracing IoT strategies, now is the perfect time to attend @ThingsExpo in Silicon Valley. Learn what is going on, contribute to the discussions, and ensure that your enterprise is as "IoT-Ready" as it can be! Internet of @ThingsExpo, taking place Nov 3-5, 2015, at the Santa Clara Convention Center in Santa Clara, CA, is co-located with 17th Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading industry players in the world. The Internet of Things (IoT) is the most profound change in personal an...
All major researchers estimate there will be tens of billions devices - computers, smartphones, tablets, and sensors - connected to the Internet by 2020. This number will continue to grow at a rapid pace for the next several decades. With major technology companies and startups seriously embracing IoT strategies, now is the perfect time to attend @ThingsExpo, June 9-11, 2015, at the Javits Center in New York City. Learn what is going on, contribute to the discussions, and ensure that your enterprise is as "IoT-Ready" as it can be
An entirely new security model is needed for the Internet of Things, or is it? Can we save some old and tested controls for this new and different environment? In his session at @ThingsExpo, New York's at the Javits Center, Davi Ottenheimer, EMC Senior Director of Trust, reviewed hands-on lessons with IoT devices and reveal a new risk balance you might not expect. Davi Ottenheimer, EMC Senior Director of Trust, has more than nineteen years' experience managing global security operations and assessments, including a decade of leading incident response and digital forensics. He is co-author of t...
The Internet of Things is a misnomer. That implies that everything is on the Internet, and that simply should not be - especially for things that are blurring the line between medical devices that stimulate like a pacemaker and quantified self-sensors like a pedometer or pulse tracker. The mesh of things that we manage must be segmented into zones of trust for sensing data, transmitting data, receiving command and control administrative changes, and peer-to-peer mesh messaging. In his session at @ThingsExpo, Ryan Bagnulo, Solution Architect / Software Engineer at SOA Software, focused on desi...
While great strides have been made relative to the video aspects of remote collaboration, audio technology has basically stagnated. Typically all audio is mixed to a single monaural stream and emanates from a single point, such as a speakerphone or a speaker associated with a video monitor. This leads to confusion and lack of understanding among participants especially regarding who is actually speaking. Spatial teleconferencing introduces the concept of acoustic spatial separation between conference participants in three dimensional space. This has been shown to significantly improve comprehe...
SYS-CON Events announced today that the "First Containers & Microservices Conference" will take place June 9-11, 2015, at the Javits Center in New York City. The “Second Containers & Microservices Conference” will take place November 3-5, 2015, at Santa Clara Convention Center, Santa Clara, CA. Containers and microservices have become topics of intense interest throughout the cloud developer and enterprise IT communities.
Buzzword alert: Microservices and IoT at a DevOps conference? What could possibly go wrong? In this Power Panel at DevOps Summit, moderated by Jason Bloomberg, the leading expert on architecting agility for the enterprise and president of Intellyx, panelists will peel away the buzz and discuss the important architectural principles behind implementing IoT solutions for the enterprise. As remote IoT devices and sensors become increasingly intelligent, they become part of our distributed cloud environment, and we must architect and code accordingly. At the very least, you'll have no problem fil...
The Domain Name Service (DNS) is one of the most important components in networking infrastructure, enabling users and services to access applications by translating URLs (names) into IP addresses (numbers). Because every icon and URL and all embedded content on a website requires a DNS lookup loading complex sites necessitates hundreds of DNS queries. In addition, as more internet-enabled ‘Things' get connected, people will rely on DNS to name and find their fridges, toasters and toilets. According to a recent IDG Research Services Survey this rate of traffic will only grow. What's driving t...
The 4th International Internet of @ThingsExpo, co-located with the 17th International Cloud Expo - to be held November 3-5, 2015, at the Santa Clara Convention Center in Santa Clara, CA - announces that its Call for Papers is open. The Internet of Things (IoT) is the biggest idea since the creation of the Worldwide Web more than 20 years ago.
Since 2008 and for the first time in history, more than half of humans live in urban areas, urging cities to become “smart.” Today, cities can leverage the wide availability of smartphones combined with new technologies such as Beacons or NFC to connect their urban furniture and environment to create citizen-first services that improve transportation, way-finding and information delivery. In her session at @ThingsExpo, Laetitia Gazel-Anthoine, CEO of Connecthings, will focus on successful use cases.
The Internet of Things promises to transform businesses (and lives), but navigating the business and technical path to success can be difficult to understand. In his session at @ThingsExpo, Sean Lorenz, Technical Product Manager for Xively at LogMeIn, demonstrated how to approach creating broadly successful connected customer solutions using real world business transformation studies including New England BioLabs and more.
Sensor-enabled things are becoming more commonplace, precursors to a larger and more complex framework that most consider the ultimate promise of the IoT: things connecting, interacting, sharing, storing, and over time perhaps learning and predicting based on habits, behaviors, location, preferences, purchases and more. In his session at @ThingsExpo, Tom Wesselman, Director of Communications Ecosystem Architecture at Plantronics, will examine the still nascent IoT as it is coalescing, including what it is today, what it might ultimately be, the role of wearable tech, and technology gaps stil...
One of the biggest impacts of the Internet of Things is and will continue to be on data; specifically data volume, management and usage. Companies are scrambling to adapt to this new and unpredictable data reality with legacy infrastructure that cannot handle the speed and volume of data. In his session at @ThingsExpo, Don DeLoach, CEO and president of Infobright, will discuss how companies need to rethink their data infrastructure to participate in the IoT, including: Data storage: Understanding the kinds of data: structured, unstructured, big/small? Analytics: What kinds and how responsiv...
Today’s enterprise is being driven by disruptive competitive and human capital requirements to provide enterprise application access through not only desktops, but also mobile devices. To retrofit existing programs across all these devices using traditional programming methods is very costly and time consuming – often prohibitively so. In his session at @ThingsExpo, Jesse Shiah, CEO, President, and Co-Founder of AgilePoint Inc., discussed how you can create applications that run on all mobile devices as well as laptops and desktops using a visual drag-and-drop application – and eForms-buildi...
Advanced Persistent Threats (APTs) are increasing at an unprecedented rate. The threat landscape of today is drastically different than just a few years ago. Attacks are much more organized and sophisticated. They are harder to detect and even harder to anticipate. In the foreseeable future it's going to get a whole lot harder. Everything you know today will change. Keeping up with this changing landscape is already a daunting task. Your organization needs to use the latest tools, methods and expertise to guard against those threats. But will that be enough? In the foreseeable future attacks w...
17th Cloud Expo, taking place Nov 3-5, 2015, at the Santa Clara Convention Center in Santa Clara, CA, will feature technical sessions from a rock star conference faculty and the leading industry players in the world. Cloud computing is now being embraced by a majority of enterprises of all sizes. Yesterday's debate about public vs. private has transformed into the reality of hybrid cloud: a recent survey shows that 74% of enterprises have a hybrid cloud strategy. Meanwhile, 94% of enterprises are using some form of XaaS – software, platform, and infrastructure as a service.
Cloud is not a commodity. And no matter what you call it, computing doesn’t come out of the sky. It comes from physical hardware inside brick and mortar facilities connected by hundreds of miles of networking cable. And no two clouds are built the same way. SoftLayer gives you the highest performing cloud infrastructure available. One platform that takes data centers around the world that are full of the widest range of cloud computing options, and then integrates and automates everything. Join SoftLayer on June 9 at 16th Cloud Expo to learn about IBM Cloud's SoftLayer platform, explore se...