NFC m-payments value to hit $75bn by 2013

Tag : mobile phone tool

A new analysis of the NFC mobile payments opportunity forecaststhat the gross transaction value of payments made via NFCcontactless technology, for relatively low value purchases (such asrefreshments, tickets and food), will exceed $75bn globally by2013.

n the second report in its Mobile Payment Markets series, JuniperResearch found that there is a significant opportunity for NFCmobile payment services, chips, phones and supporting services asthe market reaches its tipping point over the 2011 to 2013 period.The study explores how NFC will transform the mobile phone into amobile wallet payment tool that will be used by more and morepeople, more and more often in future.
Report author Howard Wilcox said: "NFC will achieve tractioninitially in developed countries and regions, with Japan alreadyleading the way with FeliCa-enabled phones. North America, WesternEurope and countries such as Korea, Singapore and Australia arelikely to see service take-up."
Highlights from the report include: Global annual gross transaction value will grow over 5 timesbetween 2011 and 2013. 2009 will see limited numbers of NFC devices shipped (except in theFar East & China region) but the market will begin to ramp up from2010 onwards and by 2013 20%, or 1 in 5 phones shipped, willpossess NFC capability. The top 3 regions (Far East & China, North America and W. Europe)will represent nearly 90% of the $75bn p.a. market (by grosstransaction value) by 2013.
However, Howard Wilcox cautioned: "Whilst trial results so far havebeen encouraging, the industry as a whole will need to convinceboth consumers and merchants of the merits of yet another paymentmechanism on top of cash, cheques, credit and debit cards, and toallay understandable (even if unfounded) fears and scepticism aboutthe security of The Mobile Wallet."