Is wave-to-pay coming to the iPhone?
Almost as curious as the fact that China Unicom has started advertising Apple's (AAPL) iPhone on its Shanghai website — even though no agreement to sell the device in China has been announced — are some of the advanced features Unicom is promoting.
As Dan Butterfield reported early Wednesday on his iPhonAsia website, these include several functions that aren't officially available on current model iPhones, including:
- Wave-to-pay
- Mobile TV
- Tethering (connecting a laptop to a cell phone's wireless network)
- Video conferencing
The first item — wave-to-pay — is of particular interest to Chinese customers, according to Butterfield. Visa Inc. (V) offers similar service in the United States, called Paywave, whereby cardholders can make purchases at some 32,000 retailers by waving their Visa card in front of special point-of-sale cardreaders. In Japan, half of cell phone owners — about 50 million users — carry phones that have so-called near field communications capability built-in. (link)
Will the next-generation iPhone — expected to arrive in July — also have it?
China Unicom seems to think so. Here's how the capability is described on its Shanghai website (translation provided by iPhonAsia):
"Near-Field-Communication (NFC) swipe card handset a.k.a. "wave-to-pay," offers convenience for those who use public transportation. It's possible to use a handset swipe card to buy a ticket. This wave-to-pay has replaced the former public transportation IC card. Using the swipe card handset for shopping eliminates the [need to carry] cash. Using wave-to-pay also makes it easy to pay in the ferry terminal. Through the swipe card, the handset (phone) can purchase your passage and avoid the worry of lining up to purchase tickets. Not only does this technology eliminate the need to carry a public transportation IC card, you don't even need a bankcard. All you need is the wave-to-pay handset (phone), to buy a ticket and do your shopping. One machine in the hand, opens access, and gives you control. Wave-to-pay makes life more convenient." (link)
See also:
Is wave-to-pay coming to the iPhone?
Almost as curious as the fact that China Unicom has started advertising Apple's (AAPL) iPhone on its Shanghai website — even though no agreement to sell the device in China has been announced — are some of the advanced features Unicom is promoting.
As Dan Butterfield reported early Wednesday on his iPhonAsia website, these include several functions that aren't officially available on current model iPhones, including:
- Wave-to-pay
- Mobile TV
- Tethering (connecting a laptop to a cell phone's wireless network)
- Video conferencing
The first item — wave-to-pay — is of particular interest to Chinese customers, according to Butterfield. Visa Inc. (V) offers similar service in the United States, called Paywave, whereby cardholders can make purchases at some 32,000 retailers by waving their Visa card in front of special point-of-sale cardreaders. In Japan, half of cell phone owners — about 50 million users — carry phones that have so-called near field communications capability built-in. (link)
Will the next-generation iPhone — expected to arrive in July — also have it?
China Unicom seems to think so. Here's how the capability is described on its Shanghai website (translation provided by iPhonAsia):
"Near-Field-Communication (NFC) swipe card handset a.k.a. "wave-to-pay," offers convenience for those who use public transportation. It's possible to use a handset swipe card to buy a ticket. This wave-to-pay has replaced the former public transportation IC card. Using the swipe card handset for shopping eliminates the [need to carry] cash. Using wave-to-pay also makes it easy to pay in the ferry terminal. Through the swipe card, the handset (phone) can purchase your passage and avoid the worry of lining up to purchase tickets. Not only does this technology eliminate the need to carry a public transportation IC card, you don't even need a bankcard. All you need is the wave-to-pay handset (phone), to buy a ticket and do your shopping. One machine in the hand, opens access, and gives you control. Wave-to-pay makes life more convenient." (link)
See also:
Okay, I peeked at the Unicom website, and my interpretation is this is more akin to companies using stock imagery, which use Apple products to illustrate their products or services, just because Apple stuff looks nicer. The iPhone's screen is nice and big making it easier to show off some feature or service you'd like to sell. Notice they also show off unibody Macbooks.
Look at the banner ad, they show off MS-like antivirus software inside your iPhone.
The tethering is not shown with an iPhone but with a USB dongle attached to a unibody Macbook.
Of course, in the US, this would get a quick cease and desist letter, but in China, even at the largest companies, you'd be surprised! There was a Samsung phone a couple years ago that used the icons from the iPhone, bit for bit, and had to be changed. Even now, new phones are released with icons surprisingly close to what the iPhone uses.
This is China being China, as far as I'm concerned.
Well, we'll have to see how Unicom implements these functions, but my own feeling has always been these wave-to-pay, which I don't believe is like the Japanese Felica, type devices can easily be added to an iPhone by making an iPhone case with a slot to hold the card. Same as the need for a strap in Japan to hold trinkets. Just add a case that allows you to do those things. Not everything needs to be built in. I mean if you are waving your phone at something while walking, you are going to need that case!
This is off-topic, but since nobody seems to be discussing the issue I thought I'd bring it up here:
What's the chance that Apple is just waiting for the Pre to be officially released before it lowers the boom on it as infringing on one of its many iPhone patents? Would that make good business sense?
I tend to think it would, from a purely cutthroat business point of view. In one fell swoop they'd pull the rug out from a potential major competitor in such a way as to permanently take them out of the game.
I'm just saying….
So, is this wave-to-pay thing the equivalent of FeliCa or SuiCa or whatever the Japanese use to pay for use of vending machines or transportation passes? That would go a step further in getting the iPhone in use in Asia. The cellphones that the Japanese have require a special chip for that type of transaction. I wonder if the U.S. will adapt to that way of payment method.
Man, this better not be some unfounded rumor. I'm getting tired of hearing about all these features and then when the new iPhone comes it has none of them.
If wave-to-pay is true, would this payment go through an iTunes account, or is Apple opening still another method for micropayments or subscriptions? And if it is through iTunes, does Apple take a 30% cut?
Mobile TV is possible thru the announced video streams API, and the API shows that Apple isn't simply guarding its iTunes turf.
Video conferencing (presumably iChat via MobileMe or something) would be great. It also implies a user-facing videocamera (or a highly-improbable swivel camera, as Jobs would hate that aesthetic) in the next-gen iPhone.
If these things are true, the Palm Pre is in trouble.
@Sacto Joe
You asked "What’s the chance that Apple is just waiting for the Pre to be officially released before it lowers the boom on it as infringing on one of its many iPhone patents?"
Very high chance that Apple will wait until Pre "launch day" before filing suit. You don't sue until the deed is done.
Someone recently said … "We will not stand for having our IP ripped off."
IMHO that was not just idle chatter.