GSMA and Visa to establish mobile payment standards
A key aspect of the collaboration between Visa and GSMA will be the creation of standards for mobile money transfer, mobile payments and related services. This collaboration will allow carriers and financial institutions to deploy mobile payments more rapidly and limit market fragmentation. Standardization also benefits consumers by promoting interoperability among carriers and institutions, ensuring a consistent and reliable experience and promoting faster adoption of the technology. The standards will include rules for a wide range of functions, such as enrolling consumers, performing product rollouts, and entering transactions in the Visa network.
The collaboration between Visa and the GMSA has been going on for long. Recently, as part of the GSMA Pay-Buy-Mobile initiative, Visa and several GSM mobile network operators launched mobile payment trials in Canada, Switzerland, France and the UK, and completed successful trials in Australia, Malaysia and Taiwan, which are all designed to advance the development of mobile payments at the point of sale. Importantly, many of these trials embed the Visa payment application into the SIM card enabling Visa account holders to easily switch the application from one handset to another.
The GSM Association (GSMA) represents more than 750 wireless carriers and another 200 handset makers, software vendors, and other companies.