You are here: silicon.com > Financial Services > News

NFC payments to reach tipping point in three years?

Where's your mobile wallet?

Tags: contactless, mobile wallet, nfc

By Natasha Lomas

Published: 18 July 2008 10:00 GMT

The market for contactless mobile payments using near field communications (NFC) is set to reach a tipping point over the next three to five years, according to a new report by Juniper Research.

NFC mobile wallet devices will remain limited next year - except in the Far East and China region where they are already established - but the number of devices shipping will begin to ramp up from 2010 onwards, says Juniper.

By 2013, one in five phones will have NFC, it predicts.

The analyst forecasts the gross transaction value of relatively low value purchases - such as refreshments, tickets and food - made via NFC will exceed $75bn globally by 2013, with the lion's share of contactless business being done in the Far East and China, North America and Western Europe.

Report author Howard Wilcox said in a statement: "NFC will achieve traction initially in developed countries and regions, with Japan already leading the way with FeliCa-enabled phones. North America, Western Europe and countries such as Korea, Singapore and Australia are likely to see service take-up."

But NFC take-off is still dependent on the mobile industry getting consumer buy-in.

Wilcox added: "Whilst trial results so far have been encouraging, the industry as a whole will need to convince both consumers and merchants of the merits of yet another payment mechanism on top of cash, cheques, credit and debit cards, and to allay understandable - even if unfounded - fears and scepticism about the security of the mobile wallet."

  1. Zones
  2. Management
  3. Networks
  4. Software
  5. IT Services
  6. Hardware
  1. Verticals
  2. Public Sector
  3. Financial Services
  4. Retail & Leisure

silicon.com Financial Services
Get the latest financial services news straight to your inbox. Sign up for the FS newsletter today!


  • Jobs
Field Sales Executive - Office Supplies / Consumables Sales

Field Sales Executive - Office Supplies / Consumables Sales London 20-30k Base, 30-40k OTE + Executive Benefits Our client with operations in over 25 ...

Commercial Analyst required for CleanTech company, london

In their London base their focus is on the procurement and management of primarily coal mine projects in the CIS and China. It is advantageous to ...

Technology Sales, Business Development Manager EMEA

Africa) Fluent French or Spanish - London/Southeast An exciting senior sales opportunity has arisen with my client a leading provider of wireless ...

Nick Beecham and Belinda Doshi
No more tax breaks for offshoring?
Financial services firms must prepare now for 2010 legal changes

Tim Ferguson
On a new Voyager, tackling fraud and the intellectual challenge
Interview: Nationwide IT director, Peter Stafford

Nick Heath
David Lister on smart grids and why he left RBS
Interview: National Grid CIO

Andy Jones
Why banks will push ahead with offshoring
Comment: Even if they don't want to

Catherine Stagg-Macey
Legacy IT holding back insurers
Comment: Economic crisis means finance giants must step lively

Julian Goldsmith
The City fund manager with no IT department
Q&A: How asset management is embracing the cloud...

Agenda Setters 2009
Welcome to the ninth annual Agenda Setters poll – silicon.com's list of the top 50 most influential individuals in the technology and IT industries, from techies and CIOs to entrepreneurs and business leaders. Find out more in our latest special report.




Quick Sitemap Links: