In a game changing deal, Visa has announced that its NFC payment systems will be built into all future Samsung phones. The announcement came at the Mobile World Congress 2013.
The deal seems fairly viable for two simple reasons. Samsung is the world's largest phone maker and Visa happens to be a leader in the mobile payments domain. By joining forces, the two companies can help realize the true potential of NFC technology.
So how will this new deal work? Samsung devices will house a secure chip embedded inside with Visa's PayWave application pre-loaded.
"Samsung devices enabled with Visa payment functionality will no doubt be a powerful product offering — especially in markets where paying with a mobile device is becoming commonplace," Visa global head of products Jim McCarthy said. "However, the key to making mobile payments broadly available all over the world is to offer financial institutions a secure way to provision millions of smartphones with payment account information — and that is exactly what Visa and Samsung are ready to deliver."
Last year, Visa approved Samsung, LG, and BlackBerry phones to use its payWave technology. The company must ensure that its PayWay app comes pre-installed with every Samsung phone in the future if it wants this new deal to succeed.
However, Visa's deal with Samsung should be some nasty news for Google Wallet, which has been trying to take off in a big way for a long time now. The bright side is that consumers can finally start tapping-to-pay with their phones pretty soon.
by RTT Staff Writer
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