3GPP - 4G Americas

physical goods purchases via mobile devices. These markets will together generate transactions
worth over $600 billion globally by 2013, according to Juniper Research. 84
GSMA recently called for full NFC functionality, including the standardized “Single Wire Protocol”
to be built into commercially available mobile handsets from mid-2009, in order to insure that
85
consumers can reap the benefits of mobile payments services as soon as possible. A series of
operator trials have demonstrated that consumers can use UICC-based NFC handsets to quickly,
easily and securely pay for goods and services in shops, restaurants and train stations. Kris
Rinne, Senior Vice President, Architecture and Planning, AT&T, commented that “as one of the
first operators to trial mobile payments, we’ve seen firsthand, the willingness of consumers to
adapt to this new payment channel which is very much dependent upon the availability of NFC
handsets and the associated ecosystem.” The GSMA issued a consolidated set of minimum
requirements in what is coined the “Pay-Buy-Mobile” ecosystem. 86 The GSMA also is working
closely with leading financial intermediaries and banks to promote globally interoperable
transaction solutions. Both MasterCard and Visa are supporting trials with their PayPass and
Visa payWave features respectively, that enable NFC-equipped phones to affect payment
transactions at secure contactless point of sale terminals. Motorola, Nokia, Sagem, Samsung and
LG are among the handset makers developing phones for NFC-enabled mobile payment
services. Gemalto, G&D and KEBT are among the UICC card suppliers supporting NFC-enabled
87
mobile payment service.
Juniper Research expects that over 400 million subscribers worldwide will use their mobile
phones for ticketing by 2013 with total gross mobile ticketing transactions value reaching $92
88
billion. A number of cinemas, football and baseball teams are now beginning to offer options for
ticket purchase and delivery. Benefits for the ticketing issuers include reduced cost, better
security to help fight against fraud and improved environmental footprint by reducing paper
usage. Early use of mobile barcode technology will be further improved by the emergence of
NFC, particularly for the transportation ticketing sector. These services are already in play in the
Far East and China with important trials in North America and Western Europe. Juniper’s report
predicts that together these top three regions will account for over 80% of mobile ticketing on a
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gross transaction basis by 2013.
Vendors are working to extend the reach of mobile TV. One example is the May 2008
announcement by Alcatel-Lucent and Quantum SpA of their cooperation to develop terrestrial or
hybrid (terrestrial and satellite) mobile broadcast solutions adhering to the new DVB-SH mobile
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broadcast standard. Seamless multimedia mobility for mass market Mobile TV is their goal,
through Pay TV digital set-top boxes for the automotive industry, Pocket TV Portable Media
Players and the software that brings together unique applications through the convergence of
84
Juniper Research Forecasts Total Mobile Payments to Grow Nearly Ten Fold by 2013. Juniper Research.
3 September 2008.
85
GSMA Calls for Pay-Buy-Mobile Handsets. GSMA. 18 November 2008.
86
Ibid.
87
Ibid.
88
Ankeny, Jason. Forecast: 400 Million Mobile Ticketing Users by 2013. FierceWireless. 21 October 2008.
89
Ibid.
90
Alcatel-Lucent and Quantum SpA Cooperate to Extend the Reach of DVB-SH Mobile TV. Alcatel-Lucent.
6 May 2008.
www.3GAmericas.org February 2009 Page 30