25 October 2011 -From the middle of 2012, consumers can 'tap' and pay for their purchases at more than 20,000 retail points and taxis using their Near Field Communication1 (NFC)-enabled mobile phones. Businesses can also provide interactive and targeted contents to consumers through NFC-enabled digital signages located at more than 600 locations in major shopping malls and office buildings throughout Singapore.
Singapore, 25 October 2011 | For Immediate Release
From the middle of 2012, consumers can "tap" and pay for their purchases at more than 20,000 retail points and taxis using their Near Field Communication1 (NFC)-enabled mobile phones. Businesses can also provide interactive and targeted contents to consumers through NFC-enabled digital signages located at more than 600 locations in major shopping malls and office buildings throughout Singapore.
This will be made possible through the Call-for-Collaboration (CFC) by the Infocomm Development Authority of Singapore (IDA) with industry players to deploy a nationwide interoperable NFC infrastructure. Through an appointed neutral Trusted Third Party (TTP) 2, payment and other service providers will be able to reach all mobile subscribers through the three mobile operators in Singapore.
The CFC has been awarded to a consortium comprising seven companies - Gemalto Pte Ltd, Citibank Singapore Ltd, DBS Bank Ltd, EZ-Link Pte Ltd, M1 Limited, SingTel Mobile Singapore Pte Ltd and StarHub Mobile Pte Ltd. The participation by major players together with all mobile operators makes this collaboration the first interoperable nationwide deployment of NFC mobile payment system in Asia.
In this collaboration, Gemalto will be developing and operating the TTP infrastructure. DBS, EZ-Link and Citibank will enable a wide range of their credit/ debit scheme cards and stored value payment products, to be issued over-the-air through Gemalto, and stored on the secure chips in their customers' NFC-enabled mobile phones. These customers will be able to pay for their purchases using any of those payment products at NFC-ready retail points. The services will be launched progressively across all three mobile operators (M1, SingTel and StarHub) from the middle of next year.
Besides payment services, Gemalto will also be collaborating with service providers to deploy a range of innovative NFC mobile value-added services such as interactive digital signage advertising, mobile coupons and mobile ticketing. This will allow consumers to interact with these digital signage advertisements and download coupons, tickets and product information onto their NFC-enabled mobile phones.
As part of IDA's Next Generation e-Payment Programme, IDA and the seven companies will be investing a total of $40 million through the CFC to deploy the TTP infrastructure and more than 10 NFC mobile payment and value-added services by 2014. The services will be rolled out progressively, with at least 3 NFC mobile payment services made available from mid 2012.
"The TTP infrastructure will enable prospective service providers to reach out to all mobile subscribers in Singapore. Such ubiquitous access will spur the growth and adoption of innovative NFC mobile services, and in turn transform Singapore's payment landscape. The CFC award today is an important milestone in the development of the NFC ecosystem that will enable the deployment of payment as well as other services." said RADM(NS) Ronnie Tay, Chief Executive Officer of IDA.
To enjoy the convenience brought about by NFC mobile payment services, consumers need to be equipped with NFC phones, or purchase bridging devices from their mobile operators to enhance their existing, non-NFC capable handsets3. Details will be announced by the three mobile operators at a later stage.
Merchants can likewise enjoy the NFC benefits as long as their payment terminals can accept contactless payment cards from MasterCard or Visa, or support Singapore's CEPAS payment standard. Support for more payment schemes will be added over time. Beyond payment, merchants can also work with Point-of-Sale terminal providers to develop new and exciting customer reward and loyalty redemption services, based on NFC technology, on these terminals. Integrating proximity ("tapping") transactions with social networks, reducing physical merchandise with NFC-tagged displays etc are novel ideas to improve customer service and convenience.
Besides the awarded Consortium, other payment and value-added service providers are also encouraged to leverage the interoperable TTP infrastructure to deploy their secure NFC mobile services. The open access model installed through this CFC will facilitate the entry of new players, and help nurture the growth of the NFC eco-system in Singapore. IDA will continue to work with industry partners to further enrich the suite of NFC services over time.
The deployment is focused on retail payment at the start. IDA and the consortium members will be working with LTA to assess NFC mobile payment readiness for transit in early 2013.
This CFC constitutes part of IDA's Next Generation e-Payment Programme under its iN2015 masterplan, with the vision of making Singapore an Intelligent Nation, Global City, powered by infocomm.
ISSUED BY CORPORATE AND MARKETING COMMUNICATIONS DIVISION
INFOCOMM DEVELOPMENT AUTHORITY OF SINGAPORE
- Annex 1: Quotes from CFC awardees (135.00KB)
- Annex 2: CFC Awardee Companies Factsheets (249.63KB)
- Annex 3: Near Field Communciation Call-for-Collaboration (CFC) Factsheet (249.66KB)
Note to Editor:
1 Near Field Communication (NFC) is a short range communication technology that provides simple and two-way interactions among electronic devices.
2 The Trusted Third Party (TTP) serves as a single neutral point of contact between the service providers and mobile operators. It provides a secure channel for service providers such as banks and Payment Service Providers (PSP) to send confidential payment account information of their customers to a tamper-proof secure chip in their NFC mobile phones. It is also responsible for managing the payment application on the secure chip, on behalf of the banks and PSPs. A TTP infrastructure eliminates the need for any service provider to establish separate technical connections with individual mobile operators.
3 Only specific handset models are compatible with NFC bridging devices. Bridging devices will enable NFC mobile payment services but not the full range of NFC functionalities such as reading of smart posters and peer-to-peer services. More details on supported phones will be released by the respective mobile operators next year.
About Infocomm Development Authority of Singapore
The Infocomm Development Authority of Singapore (IDA) is committed to growing Singapore into a dynamic global infocomm hub. IDA uses an integrated approach to developing infocommunications in Singapore. This involves nurturing a competitive telecoms market as well as a conducive business environment with programmes and schemes for both local and international companies. For more news and information, visit www.ida.gov.sg.
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