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MasterCard and Deutsche Telekom to Launch NFC-based Mobile Payment Service in Europe

By Martin Schuppelius

Today, MasterCard and Deutsche Telekom announced a strategic partnership to bring NFC-based mobile payment services to Deutsche Telekom’s 93 million mobile subscribers in Europe. The first product to launch is a mobile wallet app called MyWallet for customers of Deutsche Telekom in Poland this summer. The digital wallet will support various local banks and financial institutions and enable customers to pay contactless at every retail store where MasterCard PayPass is accepted. In Germany Deutsche Telekom will first trial mobile payment with mobile phone tags and NFC-enabled credit cards in order to prepare for the launch of MyWallet in early next year. Other than for example Google Wallet the payment credentials are stored on the users SIM card rather than on the phone itself.

Deutsche Telekom will also extend into financial services and become a credit card issuer for MasterCard. The telco giant will issue NFC-enabled MasterCard credit cards in Europe via its subsidiary company ClickandBuy, the owner of an e-money license.

A MasterCard credit card issued by Deutsche Telekom

Thomas Kiessling, Chief Product and Innovation Officer for Deutsche Telekom commented, “This is a huge step on our way to increase mobile payments. With MasterCard we have a well-known and experienced partner generating growth in this important market segment. We want to build a comprehensive ecosystem around mobile payment, helping Telekom to realize its strategy of being the first choice for customers regarding connected life and work”.

Check out the promo video to see how MyWallet works:


Payment News – June 27, 2012: Apple NFC Payments, MyWallet, Traxpay

By Martin Schuppelius

Apple’s New iPhone to Support NFC-based Mobile Payments 

According to 9to5Mac the next generation iPhone prototype features a NFC chips and antenna that can be used for contactless payments. With a NFC-enabled phone, the recently announced Passbook app can become a full-blown mobile wallet including contactless payments. It looks like Apple is set to compete with Google Wallet and the new Windows Mobile Wallet service.

Swedish Operators Launch Mobile Payment Service MyWallet

The four major mobile operators in Sweden – Telia, Tele2, Telenor and 3 – have joined forces and launched MyWallet, a mobile payment service that is available to almost all mobile phone users in Sweden. MyWallet is the first mobile payment service of this kind in Sweden. With MyWallet users can initiate person-to-person transactions, top up their prepaid card, pay for online purchases and buy tickets for public transport.

B2B Online Payment Startup Traxpay Raises $4M    

Germany-based B2B payment provider Traxpay has received a $4 million investment led by Earlybird Venture Capital. Traxpay provides an real-time payment solutions for enterprises. The funding will enable Traxpay to continue its growth in Europe and prepare for its expansion into the United States. Jason Whitmire, Partner at Earlybird commented: “Online B2B payments represent a nearly $250 billion market with many inefficiencies, and we think it is a massive opportunity for innovation. Traxpay’s unique blend of enterprise software, payments and banking expertise will deliver one of the most disruptive technology solutions since Paypal reshaped the B2C payments market.”