Jason Jeffries
21 February 2011
New technology and the possibility of access to a massive new consumer base have prompted a race between telecom companies, tech giant Google, and credit card companies like Visa to get near-field payment systems implemented, Bloomberg reports.
Deutsche Telekom chief technology and innovation officer Ed Kozel told the news agency that his company and others like it had unique advantages over Google in this competition.
"Google’s massive, but Google does not have a billing relationship with 99 percent of its customers," he said. Kozel also told the news source his company was considering the acquisition of a payment gateway company to help improve its offerings in this area.
Bloomberg quotes IE Market Research as saying that the potential stakes are massive, as near-field technology may end up replacing much of the current infrastructure. The news source reports it may account for one-third of the $1.13 trillion expected in mobile transactions by 2014.
Consumers should be aware, however, that the near-field system is not yet in widespread use, which could mean that transactions using it are less secure than those through traditional payment processors.
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