Gemalto's NFC application can essentially turn your mobile phone into your credit card (assuming your device is equipped with NFC technology). It stores security PINs and card information, allows wireless account management, and enables mobile transactions. The app is installed on Gemalto's UICC (Universal Integrated Circuit Card) smartcards, which are compliant with 3G GSM networks. LTE support is in the pipelines, the company said in a statement.
MasterCard's authentication make's Gemalto's NFC app compliant with the MasterCard NFC PayPass system, a payment feature that lets you make contact-less transactions by tapping your card, keyfob, or mobile phone to a reader in a retail store.
"We are pleased to collaborate with Gemalto to broadly expand the use of mobile payment services," said James Anderson, vice president, Mobile, MasterCard Worldwide, in a statement. "Leveraging the interoperability of MasterCard PayPass, Gemalto's effort will enable cross-border mobile NFC payment, adding ease to the fast-paced lifestyles of more and more consumers across the world."
But it is still up to mobile operators and manufacturers to install Gemalto's app on an NFC-enabled handset, which are not even available in the United States yet. Leading manufacturers like Samsung, Research in Motion, Nokia, Google have all said in recent months that they are launching NFC-enabled phones this year.
On Tuesday, American Express launched a peer-to-peer mobile payment platform, Serve. Last September Visa began mobile payment trials of PayExpress in New York City and Los Angeles public transportation systems, through a partnership with Gemalto rival, DeviceFidelity.