Samsung
Galaxy S III is the first mobile phone running Android OS which
supports Barclaycard contactless mobile payments with Quick Tap from
Orange. So far, the services are available in Great Britain only.
Each
owner of any UK Visa or Mastercard debit or credit card and Samsung
Galaxy S III from Orange is given a contactless way to pay for purchases
20 GPB and under. By activating the Barclaycard payment app by October
5, 2012, the users got 50 GPB rewards.
The
unprecedented growth in sales of smartphones has created a unique
opportunity to use their capabilities in the field of non-cash
transactions. So the largest software companies are making efforts to
support implementations of software solutions in this application
segment.
Google has come up with a solution called Google Wallet,
which is a typical application for Android system. The users can make
payments using virtual versions of their payment, discount, and gift
cards. They can also use additional Google Offers at the same time.
The card and transaction information stored on the phone is isolated from potential malware. The payments in shops accepting Google Wallet
are made immediately after the phone is moved close to the reader at
the point of sale. They use Near Field Communication (NFC) technology -
high frequency communication standard for wireless exchange of data over
distances up to 20 centimeters.
According
to Gartner, the world's leading information technology research and
advisory company, we will see rapid development of "mobile" payments.
Currently this market is worth $172 billion, but by 2016 it should
exceed $600 billion.
In mid-2012, there were 34 million NFC-enabled
phones. According to the company estimates, by 2015 every other phone
will be equipped with components supporting this technology. Currently,
the leading provider of NFC solutions is NXP Semiconductors. NXP chips
are installed e.g. in Nexus S supporting Google Wallet, in tablets
running Windows 8, and in Sony smartphones.
Mobile payments are made by bringing the phone to readers embedded in POS terminals
NFC
is a radio technology that enables data exchange with bit rates 106
kbps to 848 kbps, using the carrier frequency of 13.56 MHz. It is based
on inductive coupling, where loosely coupled inductive circuits share
power and data over a distance of a few centimeters, typically up to 10
cm.
The NFC technology allows two communication modes: active and
passive. In active mode both devices participating in the exchange of
data emit electromagnetic fields. In passive mode, one device generates
electromagnetic field to power the second device (passive), enabling the
exchange of information. Examples of passive devices are RFID tags,
poster tags, contactless smart cards.