updated 02:23 am EDT, Tue May 8, 2012
First NFC standard amongst multiple vendors, banks
On May 7, Mastercardconfirmed the first details of their near field communication (NFC) payment service. Known as PayPass Wallet Services, the new global offering for banks, merchants, and other partners intends to make it easier to make purchases in stores or online both with a mobile phone as well as secure internet purchases.
The PayPass Wallet Service includes three linked parts. The Paypass Acceptance Network provides a universal way to help merchants accept electronic payments, whether by near field communication or online. PayPass Wallet is a digital solution enabling payment recipients to store the consumer's payment and shipping information in one convenient and secure online location. A PayPass API allows partners to integrate MasterCard's existing suite of checkout, fraud detection and authentication services with their own services both online and in a store.
Initial PayPass Wallet Service release will happen in the third quarter of 2012 in the USA, Canada, UK, and Australia. Additional markets and retailers will be added to the program over an unspecified time. Merchants involved in the rollout include American Airlines, Barnes & Noble, MLB Advanced Media, Newegg, Tiger Direct, and the Wine Enthusiast Companies.
Target and Walmart are rumored to have teamed up to examine a competing standard. Barclay's bank has rolled out a platform independent NFC sticker that can be stuck to any existing object, including the backs of cellphones. Rumors persist of an Apple NFC technology due to be installed in a future iPhone.