Phone companies, Paymark inch closer to mobile payment system
Vodafone, 2degrees and Telecom and Paymark (which handles most Eftpos and credit card transactions) have inched close to a workable mobile payment service.
The four companies say they intend to form a joint venture to launch a trusted service manager (TSM) which will allow people make secure payments, collect loyalty points and use public transport with their mobile phones.
Setting up a neutral TSM is a positive development.
But there is still a raft of factors holding back mobile payment technology, including the small number of smartphones that support Near Field Communication (NFC) technology for "touchless" payments, few compatible terminals, addressing security issues, and commercial arm wrestling to come over who clips the ticket on transactions.