The payment revolution is here according to Barclaycard as it announces the UKs first commercial launch of contactless mobile payments.
Barclaycard, together with Everything Everywhere, a UK-based communications company that represents wireless phone network Orange, have partnered with an array of mobile manufacturers, a move which has led to the introduction of the first handset that will enable consumers to utilise the contactless technology that promises so much yet has so far failed to make an impact on consumers spending behaviours.
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It is expected that the handset will be available in the early summer months of this year and will include MasterCards PayPass contactless technology to power the transactions.
The announcement is being touted by the involved parties as the biggest payment revolution in payments since credit cards were introduced in the UK.
Until now the talk has been about what might happen but today were making the future real, said David Chan, CEO of Barclaycard Consumer Europe.
So far, handsets coming onto the market came with a promise of mobile payments in the future but by this summer Barclaycard and Orange customers will have the first phone ever that lets them do it. We welcome both collaboration and competition because they will help increase the range of mobile devices and stores in which contactless payments can be made.
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By GlobalDataWe are supremely confident in our ability to make payments simple, convenient and incredibly secure for our customers.
It is claimed the launch proposition will focus on an industry backed, SIM-based approach to payments ensuring enhanced security for customers. Digital security solutions provider Gemalto is to provide Barclays with its Trusted Service Management (TSM) operated services, which is claimed to enable the secure deployment and management of mobile contactless payment.
This is the beginning of a revolution in how we pay for things on the high street. Its a cultural shift that is as important as the launch of the personal credit card or ATMs, said Gerry McQuade, chief development officer, Everything Everywhere.
Barclaycard and Orange announced a strategic partnership in 2009 in a bid to bring mobile payments to market. The latest offering will feature as part of the Orange portfolio a collaborative effort between the two parties, where it joins products such as the contactless co-branded credit card and the forthcoming Orange Cash prepaid payment card.
There are currently 11.6m contactless credit and debit cards in circulation in the UK, of which over 10m have been issued by Barclaycard and Barclays. Of the 42,500 contactless terminals deployed in the UK, merchants include Pret a Manger, EAT, Little Chef and coming soon, the Co-op.
