Mobile Payments

The New York Times writes:

Only recently have American banks and wireless companies begun developing mobile payment products. Now, the next wave of technology could wash ashore within two years.

The biggest push is coming from big banks and card companies, which hope to generate hundreds of millions of dollars in new transaction fees to offset a slowdown in credit card use. And with prepaid plans, the companies hope to reach new customers and younger customers who may own a phone but lack a checking or credit card account.

At the same time, Nokia and other handset makers are planning to make digital wallets a standard part of their phones. Motorola introduced its first phone with a digital wallet last month. Service providers like Cingular Wireless, the nation’s largest wireless company, also hope the new technology will encourage customers to download everything from coupons to video clips, allowing them to rake in more money from data use and, someday, even advertising.

Published by

Rajesh Jain

An Entrepreneur based in Mumbai, India.