Feeds

Bankers plot telco bypass for payments

Tight margins not to be shared with operators

3 Big data security analytics techniques

The Payments Council has been explaining its plans for a mobile payment platform: one that doesn't leave a cut for the network operators but keeps the revenue for the bankers.

The council's head of innovation has been talking to NFC World about how the platform will work, and being quite explicit that telcos won't be invited to share the cake.

The organisation, which counts all the significant UK banks in its membership, is putting a tender together for the development of a standard backend architecture to handle payments made on mobile phones, regardless of the handset technology used.

"Some may go for NFC, and some may use browser-based systems or SMS methods, it's up to them", Richard Martin of the Payments Council told NFC World, but he also explained that operators shouldn't expect to make any revenue from the wallet replacements:

"I wouldn't say the new platform will necessarily cut mobile operators out of payment services ... [but it's] not something that telcos have traditionally been set up to work around."

Martin doesn't dismiss revenue opportunities for telcos, suggesting that they might gain from additional data usage, but fortunately the UK's network operators already have a plan in place to make money from NFC without taking a cut of every payment.

That plan involves creating a standard advertising platform, enabling an advertiser to sign a single deal to provide an NFC application (such as a loyalty or identity card) which will be usable by customers of any network operator – except Three, which was inexplicably left out of the deal.

Elsewhere in the world, operators are still hoping to make money by charging payment services for space in their NFC handsets, or by running their own payment systems and taking a cut of every transaction, but in the UK it seems banks will make money from money while operators will make money from advertising, and consumers just have to get used to it. ®

High performance access to file storage

More from The Register

next story
Dropbox defends fantastically badly timed Condoleezza Rice appointment
'Nothing is going to change with Dr. Rice's appointment,' file sharer promises
Audio fans, prepare yourself for the Second Coming ... of Blu-ray
High Fidelity Pure Audio – is this what your ears have been waiting for?
Did a date calculation bug just cost hard-up Co-op Bank £110m?
And just when Brit banking org needs £400m to stay afloat
MtGox chief Karpelès refuses to come to US for g-men's grilling
Bitcoin baron says he needs another lawyer for FinCEN chat
Zucker punched: Google gobbles Facebook-wooed Titan Aerospace
Up, up and away in my beautiful balloon flying broadband-bot
Apple DOMINATES the Valley, rakes in more profit than Google, HP, Intel, Cisco COMBINED
Cook & Co. also pay more taxes than those four worthies PLUS eBay and Oracle
It may be ILLEGAL to run Heartbleed health checks – IT lawyer
Do the right thing, earn up to 10 years in clink
prev story

Whitepapers

Securing web applications made simple and scalable
In this whitepaper learn how automated security testing can provide a simple and scalable way to protect your web applications.
3 Big data security analytics techniques
Applying these Big Data security analytics techniques can help you make your business safer by detecting attacks early, before significant damage is done.
The benefits of software based PBX
Why you should break free from your proprietary PBX and how to leverage your existing server hardware.
Top three mobile application threats
Learn about three of the top mobile application security threats facing businesses today and recommendations on how to mitigate the risk.
Combat fraud and increase customer satisfaction
Based on their experience using HP ArcSight Enterprise Security Manager for IT security operations, Finansbank moved to HP ArcSight ESM for fraud management.