News: Hong Kong-based Hang Seng Bank, a subsidiary of HSBC, has revealed plans to develop an innovative mobile payment platform in collaboration with local telecoms operator PCCW Mobile, MasterCard Worldwide, digital security firm Gemalto and Samsung Electronics. Customers will be able to make purchases via their credit card accounts by tapping their NFC-enabled mobile phones at payment terminals, which will be equipped with contactless readers. The payment platform will offer greater convenience for users and represents a significant advancement of retail payment services in the country.
BMI View: The mobile wallet concept has been in use for several years. However, equipment suppliers, mobile network operators and the financial community have not fully grasped the concept until recently and are exploring ways to use mass market consumer services and applications. We believe the possibilities of contactless technology, coupled with advances in smartphone design, will boost m-payment services in developing and developed markets.