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Japanese Push Mobile Payment System onto the World
(02 Sep 2008, BWCS Staff)In an unusual step the Japanese government has said it plans to work with the nation's phone operators to help promote the use of mobile wallet services across the world. The Ministry of Internal Affairs and Communications said it will back the technology, based on Sony's FeliCa chips installed in handsets, with mobile handset makers at home and abroad. The system has been in use by NTT DoCoMo for three years and allows mobile phone users to make quick and easy payments via a contactless system installed in the phone.
The government also said it will help push Japan's wireless technology, including 3G mobile phones with GSM. The proposal was approved last month and detailed plans and budgets are being drawn up internally. According to press reports, the ministry will organise a series of international missions and seminars designed to promote the technology.
In February 2005, East Japan Railway Co announced that it would work with DoCoMo and Sony Crop to launch a new mobile proximity payment service in Japan. The trio have been working together to enable Japanese commuters to use their mobile phones to pay for tickets on the hugely popular commuter services offered by the rail company.
The DoCoMo service launched with a customer base of ten million commuters who regularly used the Suica contactless payment cards which East Japan Railways introduced in 2002. Suica uses Sony's Felica integrated chips which can be read by RFID readers. The Suica system also allows users to pay for goods and newspapers at many stores. A wallet phone system using FeliCa developed by Japanese mobile operator NTT DoCoMo, called Osaifu-Keitai, was introduced in July of 2004, which was later licensed to Vodafone and au.
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