NETS
Payments At The Tap Of Your Mobile Phone
9 Nov 2005
Singapore's leading electronic payments provider, Network
for Electronic Transfers Singapore Pte Ltd (NETS), has
developed a Proof-of-Concept prototype of a CashCard
application that will enable the mobile phone to be
used for payment transactions just by simply tapping
it against a payment reader.
If implemented through business partnerships with telecommunications
service providers and telephone manufacturers, this
innovative application will be a Singapore-first and
possibly a regional first in the use of Near Field Communication
(NFC) technology for payment transactions.
NFC is a combination of identification and wireless
technologies that enables two NFC-enabled devices to
'talk to each other'. NFC is based on an industry and
ISO standard jointly developed by Philips and Sony initially
and subsequently by the NFC Forum comprising major phone
manufacturers. It is compatible to the contactless technology
used in the transit and NETS retail terminal infrastructure.
"Handphones can now be used as convenient payment devices.
Personal information stored on the phone can be retrieved
by any NFC consumer devices such as another NFC phone
or by a personal computer with a NFC device installed,
by merely bringing the two devices together. The NFC
phone will be made compatible with NETS new contactless
readers to be introduced in the NETS retail network
in 2006," said Mr Lim Khee Ming, Director (Emerging
Technologies), NETS.
"The NETS developed NFC phone with the appropriate application
software can be used like a contactless smart card to
pay for purchases at fast food restaurants or retail
outlets by tapping the phone on a payment reader. With
its potential to host other applications like ticketing,
and its effortless peer-to-peer data transfer capability
such as music, images and games, the technology application
will enrich the mobility and lifestyle of the user,"
added Lim.
NETS is now planning to move the prototype one step
closer to market by working jointly with potential business
and development partners such as telecommunication service
providers and handphone manufacturers. As an industry
leader in electronic payments, NETS has a strong track
record of innovations such as online transactions, wireless
and contactless payment modes.
Another proof-of-concept prototype that NETS has developed
is Biometric payment modes. The prototype is capable
of two modes of payment using fingerprint. The first
mode replaces the card and PIN for the consumer. The
consumer registers his fingerprint and an identifier,
such as a mobile phone number, to link them to a server-based
account. Subsequently, when authorising payment from
the account, the consumer just needs to use his fingerprint
and identifier at any POS terminal with scanner, for
the transaction to be processed.
The second mode provides additional security for payment
using the CashCard. The fingerprint is captured and
stored in the CashCard. When the consumer is paying
by CashCard, he will be prompted for his fingerprint
to authorise payment.
The two NETS proto-type devices are making their debut
at the InterFest International Conference & Exhibition,
9 to 11 November 2005, Rasa Sentosa Hotel, Singapore.
