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Bickering Blocks US Mobile Phone Payments

theodp writes "Imagine a technology that lets you pay for products just by waving your cellphone over a reader. You wouldn't have to if you lived in Japan, where people have been using it for the last five years to pay for everything from train tickets to groceries to candy in vending machines. While nearly everyone who's tried it has liked this form of payment, consumers in the United States won't be able to wave-and-pay anytime soon: The companies that must work together to give the technology to the masses can't agree on how to split the resulting revenue."

267 comments

  1. Oyster cards! by gravos · · Score: 1

    I've used the Oyster cards mentioned and they are pretty neat. They can store up to £90 of credit, which can be used to pay as you go, plus your Travelcard or Bus & Tram Pass. You can use them on any bus, Tube, trams, DLR, London Overground and some National Rail services in London.

    1. Re:Oyster cards! by kvezach · · Score: 5, Informative

      They can also be hacked, which is also pretty neat if you're the hacker, but not if you're trying to build an infrastructure based on the cards.

      Come to think of it, Chaum's electronic money (digital cash), especially the off-line anonymous variants, would be very well suited to the kind of mobile payments discussed in the article; and such a solution would preserve all the important properties of "ordinary" cash.

    2. Re:Oyster cards! by xaxa · · Score: 2, Informative

      Expect an Oyster card (London transport card) integrated into a mobile phone in the next couple of years (I read that somewhere, I think it was official).

      There's also the Barclay's credit card, RFID credit card (no need to enter a PIN for transactions under £10) and Oyster card (all three).
      http://www.barclays.co.uk/credit-cards/search/index.htm

    3. Re:Oyster cards! by troll8901 · · Score: 1

      Here in little Sg, a new card system is also being implemented, replacing the current two incompatible systems.

      There's also a ongoing contest where we are enticed with holiday trips. All we have to do is to SMS our card's serial number, and national identity number. The contest is very, very widely promoted, with posters everywhere.

    4. Re:Oyster cards! by cayenne8 · · Score: 5, Insightful
      I for one, am not anxious to see yet another way to conveniently spend money come to the US.

      We have enough of a problem today with people living way beyond their means, and impulse spending with the credit and debit cards we have today.

      Aside from the obvious problems we have in the US with a sense of entitlement to the luxuries in life, I think easy means of payments like this work like chips in a casino do. They abstract the fact that you are spending REAL money. You forget that you bought those chips with cold hard cash. With things like credit / debit cards...you tend to forget that you have to pay for them later (wich cc's), or that your bank account just lost some cash to this transaction.

      Waving a phone in front of a machine, to me, would have the same effect.

      --
      Light travels faster than sound. This is why some people appear bright until you hear them speak.........
    5. Re:Oyster cards! by kipkuch · · Score: 0, Flamebait

      In my country Kenya (that's spelt A-F-R-I-C-A for all you americans reading this). We have a service called M-PESA that allows for such functionality - you can basically pay anyone (person or business) that has an M-PESA account. Heck, you can even withdraw money from an ATM using just your cellphone. It goes without saying that all this is done without fancy 3g phones. look here: http://www.vodafone.com/start/media_relations/news/group_press_releases/2007/safaricom_and_vodafone.html

    6. Re:Oyster cards! by BazilBBrush · · Score: 0, Troll

      Light travels faster than sound. This is why some people appear bright until you hear them speak.........

      Or in this case, when they put pen to paper...

    7. Re:Oyster cards! by Rakshasa+Taisab · · Score: 4, Insightful

      You're not eager to introduce a payment option that has less overhead costs than physical money?

      Let's consider the ticket system used by JR and Tokyo metro. Millions of people passing through those gates per hour across Tokyo, and there's someone out fixing the ticket-eating mechanical parts quite regularly.

      Add in the costs of having guys go around collecting coins from and filling in ticket paper into the ticket producing terminals.

      Handling money costs a lot of money, and they are pushing the SUICA cards real hard with advertisement everywhere. So every passenger who's not using one of those RFID cards means less profit.

      You're advocating lowering consumption by making it harder to pay...

      --
      - These characters were randomly selected.
    8. Re:Oyster cards! by N1AK · · Score: 1

      And what value exactly does a green piece of paper have? Why not go the whole hog and ban currency, people might not spend so wastefully if they could see the real cost of what they are spending (2 eggs for the morning newspaper, a few grams of gold for the electricity etc).

      I and others who shop for entertainment media (DVD, CDs and games) online using 'plastic' and get things a damn site cheaper than people who go into stores and pay with physical currency. I and others who use an Oyster card (prepay travel card) get London Underground travel far cheaper than those who pay with cash. These and other examples show that alternative forms of payment can be of benefit to the purchaser.

      There are a number of issues with making a mobile phone a form of payment, and yes possibly a minor one will be that it allows people who are poor at managing expenditure to be even worse at it, just like currency. However most people will benefit from the convenience and still manage not to go bankrupt.

      You make your point well, but it doesn't stop your point being a variant on "Get off my lawn".

    9. Re:Oyster cards! by Anonymous Coward · · Score: 0

      perhaps have your balance displayed before/after you pay? that would stem some purchases...

    10. Re:Oyster cards! by Fastfwd · · Score: 1

      I think the real problem is not with having too many different way to pay for something. The problem is the lack of consequences to people who live on credit.

      I'm not saying that banks should be allowed to send out goons to break your legs but it definitely should not be so easy to declare bankruptcy and banks should do their part by being more strict with credit cards and limits.

    11. Re:Oyster cards! by Sun.Jedi · · Score: 3, Insightful

      As long as the money grubbing corporation are involved, there will always be more overhead.

      See: $2.00 fees on ATM transactions if you use the wrong bank machine.

      In spirit, it's a great idea, however will not ever be useful if someone 'has to get paid' to use the service. There may be overhead with cash, but if you're counting (and many are these days) there is no value-add if it costs more.

    12. Re:Oyster cards! by Ihmhi · · Score: 2, Insightful

      (2 eggs for the morning newspaper, a few grams of gold for the electricity etc)

      Pssst.... that'd be currency. What, do you have a gold mine in your backyard?

      And where did you get that gold? Oh, you traded some of your squash plants for a shiny metal?

    13. Re:Oyster cards! by cayenne8 · · Score: 1
      "Let's consider the ticket system used by JR and Tokyo metro. Millions of people passing through those gates per hour across Tokyo, and there's someone out fixing the ticket-eating mechanical parts quite regularly."

      Well, honestly, for most cities in the US, this is not a problem, as that most of the cities in the US have access or use a 'metro'.

      Personally, I perfer to use cash. I take out a few hundred dollars each week, and I can easily see how much I'm spending as the week goes on.

      --
      Light travels faster than sound. This is why some people appear bright until you hear them speak.........
    14. Re:Oyster cards! by cayenne8 · · Score: 1
      "I and others who use an Oyster card (prepay travel card) get London Underground travel far cheaper than those who pay with cash."

      Howeer, there is a down side to this. It provides yet another way for the govt. to track your movements. I just don't want to give them any information on this, or keep them from getting as much as possible.

      I've only ever had to once live for awhile that had a toll bridge I had to take. Rather than get a discount, and get one of those RFID speed pass things....I'd just pay cash to go across. I like to live as untraceable an existance as possible within reason. I like to pay in cash whenever possible. And...I find, when I take out X hundred in cash each week, by the end of the week, I can see every plainly how much I'm spending, and I must say, since I've switched to this manner of payment, I seem to spend less. I tend not to buy piddly crap here and there. When I spend cold hard cash, I tend to think twice about my expenditures.

      --
      Light travels faster than sound. This is why some people appear bright until you hear them speak.........
    15. Re:Oyster cards! by Cowmonaut · · Score: 1

      Thanks for assuming that all Americans are retarded! Real big of you. Play on the same field as the Americans that are stupid rather than rise above them.

      What are the statistics for hacked bank accounts and the like because of that system? Similar for Oyster cards (though I've already seen some numbers for Oyster cards) if anyone can. What kind of security is being implemented in this? Can someone using a "blue tooth sniper rifle" get access to the card information (or my account information) by hacking my phone via bluetooth? Or how bout using the actual 3G connection the device is using?

      I *love* electronic cash. Way easier to deal with. But I"m not going to open myself up to attack just for the sake of convenience.

    16. Re:Oyster cards! by Anonymous Coward · · Score: 0

      I for one, am not anxious to see yet another way to conveniently spend money come to the US.

      We have enough of a problem today with people living way beyond their means, and impulse spending with the credit and debit cards we have today.

      Yes damn it, people should receive electrical shocks when they spend money.

      We've been using methods other than physical money for so long here the public transportation in a few cities have stopped taking them all together and are rolling out payment by SMS and payment by CC.

      It works fine in the countries that implement them, you are just afraid of leaving your bubble universe rationalized by anecdotal evidence.

    17. Re:Oyster cards! by deraj123 · · Score: 1

      See: $2.00 fees on ATM transactions if you use the wrong bank machine.

      How could you expect anything else? The ATM provides a service. In exchange for providing you with that service, the machine operator charges a fee. Amazingly enough, there are multiple operators out there. Most people have an agreement with one operator (their bank) to use their ATMs free of charge. Use a service provided by someone that you don't have a prior agreement with, and expect to be charged.

    18. Re:Oyster cards! by Anonymous Coward · · Score: 0

      Why not go the whole hog and ban currency, people might not spend so wastefully if they could see the real cost of what they are spending (2 eggs for the morning newspaper, a few grams of gold for the electricity etc).

      I can't wait to barter for a new home! How many eggs is that?

    19. Re:Oyster cards! by plague3106 · · Score: 1

      I guess you're right.. if you're a total idiot. But I'm sure most people still realize they are spending "cold hard cash" even when using a debit card. Those that don't probably bounce a lot of checks too. Making people go to the bank to withdraw cash doesn't stop people from spending money. It only adds extra inconvience (and pollution).

    20. Re:Oyster cards! by RalphSleigh · · Score: 1

      Payment to use ATMs? In the UK you can use any banks card with any ATM free, and the only ones that charge to withdraw trend to be standalone ones in small shops/bars/clubs, and it is always prominently displayed that it will charge.

      --
      Come as you are, do what you must, be who you will.
    21. Re:Oyster cards! by plague3106 · · Score: 1

      Huh? Plenty of people right now are feeling the consquences of living on credit.

    22. Re:Oyster cards! by Syberz · · Score: 2, Interesting

      That's right, why shouldn't we have a neat and practical new means of making transactions because some people are consumer whores? That's a bullcrap way of thinking, besides, it's no different than a credit card (which are already maxed out for these people anyways).

      A new method of payment will not make a difference to those who can't control their spending.

      By your line of thought we should also ban guns, I mean, Cheyney wouldn't have shot his friend in the ass if guns weren't available, right? Why don't we ban cigarettes? Heavy smokers kill themselves with those. Might as well ban the internet, I heard that some addicts ruin their lives because they spend too much time online.

      This "we gotta protect everyone from everything" mentality has to end. I say let people make their own mistakes, provide help to those who want it and let nature run it's course.

      --
      ~Syberz
    23. Re:Oyster cards! by rickb928 · · Score: 4, Insightful

      Interesting. Truthfully, though, we are well on our way here in America to letting people avoid the consequences of bad decisions:

      - Much talk about 'forgiving' the excess amount on mortgages, that is writing them down to the home's current value. Among the problems with this; The U.S. taxpayer gets to pay the difference, but doesn't get anything much. The homeowner gets out of a bad deal. The bank gets made whole. Whose error caused this? Unscrupulous lenders? Overly optimistic borrowers? Greedy banks? Investors thinking they got in on a 'sure thing' without understanding the risks and/or falsehoods involved? All of them. Quick question - why am *I*, as a taxpayer, paying for this? Oh, and paying my mortgage as well, thank you.

      - People get overextended on credit pretty regularly. This is not new, so why not extend this caution to current payment methods? Oh, that would mean the U.S. economy would have to retract by the amount of 'credit/fake' income we spend on our cards etc. Some estimates are that we have been overspending in the U.S. by up to 6% a year for a decade. The bill is due.

      - The objection that cell phone payments will encourage people to 'spend more' is probably true. So let's ban some advertising, pop-up/pop-under ads, etc. Sheesh.

      Really.

      --
      deleting the extra space after periods so i can stay relevant, yeah.
    24. Re:Oyster cards! by AndersOSU · · Score: 1

      Maybe last year.

      Today the problem is the paradox of thrift. Banks are finding it necessary to be thrifty, consumers are being thrifty out of fear, and that all drives the current economic downward spiral. Sure, over leveraging is more than a little to blame for the mess, but now that we're in it, the best way out is through spending.

      The trick is, once we're again on stable financial ground to spend and borrow the right amount of money. The ability to spend and borrow is, in itself, not inherently bad.

      P.S. are you from French Guiana, or a fan of the decidedly luxurious and unthrifty porsche?

    25. Re:Oyster cards! by Fastfwd · · Score: 1

      I don't have any personal experience with it but from what I hear it seems trivial for both an individual or a company to simply declare bankruptcy and start over from an almost clean slate.

    26. Re:Oyster cards! by Hordeking · · Score: 1

      In my country Kenya (that's spelt A-F-R-I-C-A for all you americans reading this).

      Actually, your country appears to be spelt K-E-N-Y-A. Just thought I'd point that out.

      We have a service called M-PESA that allows for such functionality - you can basically pay anyone (person or business) that has an M-PESA account. Heck, you can even withdraw money from an ATM using just your cellphone.

      Duh huh. Isn't this country "Africa" you speak of right next to this other country "Nigeria" that I keep getting desperate emails from? How can I help? I've been helping deposed dictators' families since 1995!

      --
      Disclaimer: The opinions and actions of the US Gov't are in no way representative of those held by this author or its ci
    27. Re:Oyster cards! by xaxa · · Score: 1

      I think handling cash costs all businesses money, it's just that for public transport their "product" is low-value, and thus very likely to be entirely cash unless they get passengers to use something else.

      Personally, I perfer to use cash. I take out a few hundred dollars each week, and I can easily see how much I'm spending as the week goes on.

      Spending on a card, I can see all that, either when my statement comes or online (or at an ATM). I can also see it for the last X years. If I have cash I end up thinking "where did that £20 go?" and trying to remember what I bought.

    28. Re:Oyster cards! by cayenne8 · · Score: 1
      "P.S. are you from French Guiana, or a fan of the decidedly luxurious and unthrifty porsche?"

      Cayenne == a variety of chile pepper long before it was an Porsche suv.

      :)

      That being said, I've never owned, nor do I want a suv. I have never owned a car with more that two seats, with the exception of a Porsche 911 turbo, and that doesn't really count since a grown adult really can't ride in the back at all even sitting across both rear 'seats'.

      --
      Light travels faster than sound. This is why some people appear bright until you hear them speak.........
    29. Re:Oyster cards! by xaxa · · Score: 1

      "I and others who use an Oyster card (prepay travel card) get London Underground travel far cheaper than those who pay with cash."

      Howeer, there is a down side to this. It provides yet another way for the govt. to track your movements. I just don't want to give them any information on this, or keep them from getting as much as possible.

      Most people will take paying £1.60 and being tracked instead of paying £4 and remaining anonymous.

      I've only ever had to once live for awhile that had a toll bridge I had to take. Rather than get a discount, and get one of those RFID speed pass things....I'd just pay cash to go across. I like to live as untraceable an existance as possible within reason.

      Maybe you should swap that car (with its attached license plate) for a bike. As a bonus, the bridge is probably free by bicycle.

      (Are there CCTV cameras by the toll booths?)

    30. Re:Oyster cards! by cayenne8 · · Score: 1
      "I don't have any personal experience with it but from what I hear it seems trivial for both an individual or a company to simply declare bankruptcy and start over from an almost clean slate."

      It isn't easy like it was years back. A few years back, they passed laws (promoted by the credit card industry) that make it quite a bit more difficult to declare bankruptcy, and even after you do, you don't get that 'clean slate' you used to get. You still have to pay things back. And you still get that 7+ year bad mark on your credit record.

      --
      Light travels faster than sound. This is why some people appear bright until you hear them speak.........
    31. Re:Oyster cards! by N1AK · · Score: 1

      Howeer, there is a down side to this. It provides yet another way for the govt. to track your movements. I just don't want to give them any information on this, or keep them from getting as much as possible.

      You're correct that lack of privacy is a downside of using a payment method that must be topped up from a bank account and linked to the address that bank account is registered to. I respect and have no issue with your view of this matter. There are in fact other downsides to the Oyster system in addition to privacy as well.

      I personally have no issue with the system. The option to pay for a ticket with cash still exists, but at a higher cost. The Oyster card system is clearly more cost effective for the operator so I see no reason why they shouldn't be allowed to price it differently.

      When I spend cold hard cash, I tend to think twice about my expenditures.

      Again, I am sure that is the case for you. Personally, I actually used to have more trouble with cash. I used to treat cash in my pocket like money that was only good for spending, and because I didn't record what I spent it on it was hard to look over retrospectively. Now I keep as little cash as possible on me, and record what I spend, which has helped me spend less.

      The above might just be quirks of environments and habit, I certainly wouldn't want to claim what I did was in any way more correct.

    32. Re:Oyster cards! by ncc74656 · · Score: 1

      Payment to use ATMs?

      Here in the States, if you use another bank's ATM, both your bank and the other bank will usually add fees totaling $3-$5 to the transaction. They started doing this sometime in the early-to-mid '90s. The workaround when you're traveling outside your bank's ATM-coverage area is to get cash back with your purchases: go to Wal-Mart (or whatever) to pick up the razor and shaving cream you forgot to bring with you on your trip, and get $40 (or however much you want, usually up to $100) withdrawn as cash with your purchase. More than a few stores offer this service...especially most "big-box" stores of any type.

      There are some banks (mostly smaller banks and online-only banks that have few (if any) ATMs of their own) that don't charge ATM fees and issue rebates against other banks' charges, but with sufficiently careful usage, ATM fees have mostly been a non-issue IME.

      --
      20 January 2017: the End of an Error.
    33. Re:Oyster cards! by DrgnDancer · · Score: 1

      I'm not questioning where you can actually do this in Kenya, I'm sure you can, since you live there. I do question how useful it is there. I was just listening to the radio this morning talking about how since the election problems last year, people are literally living in tents. Businesses are failing left and right. I find it hard to believe that very many businesses are investing in M-PESA accounts outside of the high-end shops. How often can you actually USE this system?

      I'm willing to admit I could easily be wrong, having never been to Kenya. I also admit that the idea of a shop stall at a public market allowing you to pay by cell phone appeals to the geek in me. I just can't see how the infrastructure could work. I'm sure Kenya HAS large stores where investments like this make sense, but my outsider's impression was that most of the time, for most of the people, businesses were small affairs. Market stalls and modest shops are not the kinds of places this makes sense.

      Oh, and thanks so very much for the cheep American comment. It is to laugh. Ha Ha. Gosh it's like I didn't even know there were countries in Africa.

      --
      I don't need a million points of light, just two points of multi-mode fiber and a 10 Gig-E router.
    34. Re:Oyster cards! by plague3106 · · Score: 2, Interesting

      First, it's not easy, dispite what you may hear bleated by media and politians. Second, that has consequences of it's own. My wife just came out of it a few years ago (divorce lead her to bancupcy). No bank even considers her for a loan. When we refinanced, my bank wanted her not to show up on the paperwork at all. Otherwise they'd deny the loan.

    35. Re:Oyster cards! by cayenne8 · · Score: 2, Interesting
      "Spending on a card, I can see all that, either when my statement comes or online (or at an ATM). I can also see it for the last X years. If I have cash I end up thinking "where did that £20 go?" and trying to remember what I bought."

      Well, the statement thing IS nice to have a record of all your expenditures, I'll grant that.

      However, I rarely ever think of, or find the time to log on and go through that. Maybe once a month maybe I log on, when it is time to pay bills. I don't write many checks any more, so I don't really ever go on there and balance the check book or anything.

      So, when I go straight with cash, while I don't have much a record of what I buy (unless I were go keep receipts, etc), I DO have a real time reminds of the rate of my expenditures during the week. That means more to me, that at the end of the month, looking through charges, etc...and while it IS a record...doing through and figuring out what each was for, etc.

      Just the way my brain works...I do much better keeping up with my daily spending if I'm doing cash and when I pull out my wallet, I have a constant reminder of what I'm spending due to what I have left in my money clip.

      --
      Light travels faster than sound. This is why some people appear bright until you hear them speak.........
    36. Re:Oyster cards! by cayenne8 · · Score: 1
      "Maybe you should swap that car (with its attached license plate) for a bike. As a bonus, the bridge is probably free by bicycle."

      Hardly.....not on a 23 mile bridge. When there are wind warnings, they don't even let motorcycles on it, nor glass carrying trucks. Here another link to the bridges actual site. They have their own police force just for the bridge. Kinda interesting.

      I didn't mind paying the extra couple dollars a day during week days to go across it...since I was contracting, I just wrote that off as a daily expense. I just didn't want to get a speed pass, that was hooked to my bank acct, and their computer system.

      --
      Light travels faster than sound. This is why some people appear bright until you hear them speak.........
    37. Re:Oyster cards! by Rich0 · · Score: 1

      Oh, it is even easier than cash. Just find somebody else who wants your current home and swap with them. That couldn't be hard to arrange, right?

      Seriously, all this money just makes us lazy consumers. The economy would work so much better if it were so painful to buy anything that we all just grew our own crops...

    38. Re:Oyster cards! by Ecyrd · · Score: 1

      Nokia 6131nfc and Nokia 6212 already contain the necessary hardware. Both are on market, the former has been around for over a year. They are not carried by any US operators, but they are available in some European countries, like Austria.

      Check out http://europe.nokia.com/A41197323?&loc=use_nfc or search Youtube for "Near Field Communications".

      Oyster phones (=the Nokia phone with an Oyster card on board) also exist in the UK, but still in pilot usage.

    39. Re:Oyster cards! by Anonymous Coward · · Score: 0

      In other words, you want to deprive everyone of something because a few people have a problem with using it responsibly? I assume you also want to prohibit: guns, drugs, alcohol, cars, knives, sex, food, video games... shall I go on?

    40. Re:Oyster cards! by ckaminski · · Score: 1

      What I REALLY wish is for the CC vendors to allow some way of uploading RECEIPTs to my account, then I can get the receipts of my purchases with my monthly PDF statements, and go completely paperless.

      That would be a useful service.

    41. Re:Oyster cards! by The+Spoonman · · Score: 1

      You're advocating lowering consumption by making it harder to pay..

      And, you're advocating increasing unnecessary consumption just to garner more profits. Given the choice, I generally err on the side of benefiting the actual living, breathing members of our society rather than the pieces of paper that define legal entities. Will the lower costs translate into lower prices for the consumer? Historically, lower costs do not result in lower prices, just higher bonuses for the senior managers. We already have methods in place to pay that don't require physical money. Hell, I typically keep a $20 bill in my wallet and replenish it monthly or so since I have very little need to spend actual cash.

      --
      Which is more painful? Going to work or gouging your eye out with a spoon? Find out!
      http://www.workorspoon.com
    42. Re:Oyster cards! by lysergic.acid · · Score: 1

      i don't think it has anything to do with entitlement. entitlement is thinking that you deserve an unearned/unwarranted reward or benefit--especially something that others are not entitled to.

      for instance, Americans often complain about immigrants, especially Latinos "stealing" their jobs. that is entitlement. they feel that because they happen to be born in the U.S. (by no merit of their own) that they are automatically entitled to employment opportunities that they have not earned in any way. likewise, the rich often feel entitled to preferential treatment and express irritation at the lower class receiving the same basic necessities of life (such as food, shelter, and healthcare care) as them. they feel that because they happen to be born into relative comfort and privilege, their socioeconomic status entitles them to better living standards than those who were perhaps born into less fortuitous circumstances.

      someone spending beyond their means using credit cards is not demonstrating entitlement. they are demonstrating an addiction to consumption. that is the unfortunate side-effect of our consumer culture. when you live in a society that bombards you with advertisements and images of conspicuous consumption, you begin to feel that you need to own those things to be happy. that is why people become obsessed with the accumulation of wealth and possessions. someone who shops compulsively doesn't feel entitled to their purchases any more than a compulsive gambler feels entitled to losing money to the casinos.

    43. Re:Oyster cards! by MightyYar · · Score: 1

      In the UK you can use any banks card with any ATM free

      To be fair, the government does own all the banks... :)

      --
      W..w..W - Willy Waterloo washes Warren Wiggins who is washing Waldo Woo.
    44. Re:Oyster cards! by Zerth · · Score: 1

      I imagine it is probably much like India, where they are quickly phasing in using text messages to initiate bank transfers. A credit card or wire transfer will cost you X%, but sending a text, while outrageously expensive in terms of data, costs a fixed amount usually denominated in the second smallest unit of currency in a country.

      Additionally, cell phones in other countries are frequently much cheaper(like 5 bucks); much cheaper than a credit terminal and a landline or having to hire guards to carry your daily bank deposits.

      Plus, cell networks are easier to install than running landlines to each location, so most countries with little infrastructure can skip straight to cell networks and only have to build a backbone.

      So any manner of doing business through cell phones can reduce costs substantially, be implemented faster and easier, and have more of an impact in a less developed country than, say, the US.

    45. Re:Oyster cards! by cayenne8 · · Score: 1
      "for instance, Americans often complain about immigrants, especially Latinos "stealing" their jobs. that is entitlement. they feel that because they happen to be born in the U.S."

      No...I think most Americans complain about illegal immigrants, which do these days mostly happen to be Mexican or from South America. There is a big difference.

      And yes, I think the citizens of a country, any country, are entitled to first shot all all jobs there...being a member of a country is specifically for things like having first shot at your own resources. The citizens of a country do OWN their resources. But, there is nothing wrong with letting in others as guests, we just ask that you sign the fucking guest book on the way in...follow the laws and rules so the process is orderly and that the systems in place in the country are not overrun.

      --
      Light travels faster than sound. This is why some people appear bright until you hear them speak.........
    46. Re:Oyster cards! by Dhalka226 · · Score: 1

      Quick question - why am *I*, as a taxpayer, paying for this?

      Because you forgot option F: Through no fault of their own, a homeowner is now hosed by the economy falling on its face. Home prices don't exist in a vacuum; the fact that Person A might be able to make their mortgage doesn't mean their home magically retains its value and only Person B, who can't make the mortgage, suffers from their bad decisions. Nor, frankly, does it mean the home was overpriced to begin with. Given the housing bubble it probably was, but inflation and deflation happen all the time.

      It isn't an abstract problem, and it isn't a problem you can shuffle away under the rug. 20% of homeowners now owe more money than their home is worth, and that number will only keep rising as the economy keeps tanking. These people are instantly in debt, and their only way out is to hope to hell they can tread water long enough that their home value rises, then they can cut and run. No matter how good their credit, these people suddenly have no credit because they owe too much money, and the banks are scared out of their minds to lend it anyway.

      Why are you footing the bill? Because it will cost you far more to have empty homes start popping up in your neighborhoods than it will to help these people out. Because every person treading that water (or failing to tread it any longer) means one more person who has no money to spend, which means one more item goes unsold, one more company goes under, hundreds more people unemployed. Which means more people treading water, who can't spend, who can't buy.

      Aside from it being the right thing to do, do you really want to wait and declare they deserve what they get, all the while hoping you don't get hit yourself? Do you think your circumstances are immune? Don't you think they did too?

      "When your neighbor's house is on fire, you don't haggle over the price of the hose." There's plenty to discuss about what went wrong and how to prevent it from happening again, and more than enough blame to go around -- but now's not the time. Let's put out the fire first and worry about our water bill later.

    47. Re:Oyster cards! by rickb928 · · Score: 1

      My home is now worth slightly less than the mortgage balance. I have lost 35% value, wiping out my equity, in the past 3 years. My best friend's home he bought a year after I did mine. His lost about 40% value, and he now owes about 20% more than it's worth today. We both have the same mortgage payments we did when we purchased our homes, +/- variables such as taxes and insurance. We are still making the payments because we planned on making the payments.

      If I lose my job, it wil be much harder to get another one in the current economic situation. But I was always at risk of losing my home if I was out of work for too long. The current economy makes that more dangerous, but it's nto a new danger.

      I know several people who suffered. One of my tenants bailed on a house in 2007 when the mortgage payment was adjusting from $1600/mo to $4700/mo. He got caught at the end of 2006 unable to Refinance because even then the Phoenix area market was diving down fast. He had to walk away. Now he's just starting to get work (self-employed) after a 3 month lull in commercial construction work - lull that meant for him NO work at all. We're being patient with him, though he is coming up on 3 months rent due again. If he could, he would. We may have to let him go. I hate to though.

      I've been in debt most of my life. Yes, and it's painful, but I've done what a lot of people have done, and roll the dice. Some people, and I know of specific examples, speculated that they would be able to flip their house in a year and cash in. That is never prudent. You deserve your circumstances in those cases. I know of others that suffer bad timing. If I were in a different position where I work now, I would likely be gone now. Our department got hit hard, and I know some of those people will lose their homes. I'm not unaware of the pain, but there are others that deliberately overextended themselves. And ultimately, if our government will step in and make good on our bad choices, even our unfortunate ones, the question is no longer IF the government will help. It's how much will I pay for those?

      Or more precisely, did we learn nothing from the S&L fiasco in the 80s? Apparently not. We are going to bail out even the banking weasels.

      So when do we tell the shareholders they lost it all? Wait, we really can't do that, just because so many people reply on their investments for their income. Do we tell the executives to fork over their ill-gotten pay? That's a pittance in the grand scheme. Do we pretend America needs to be saved from a depression at any cost? Do we bail out the auto industry which has (or very damned well should have known for nearly two years) that they were failing, and the money would run out fast fast fast? Do we accept that there are some American *industries* that are so fragile that they cannot survive a 10% drop in sales? And that they need to be 'saved'? Too big to function any more, not too big to fail. Too slow to adapt. Dinosaurs, literally and figuratively. Where's Fat Lou Gerstner when you need him? America is a lot like IBM in the 80s. We have lost our focus. This has been going on, IMHO, since about 1996. Strange coincidence.

      I think you are telling me that like it or not, we have to spend the money and saddle me with more debt, to save the losers. Because there is no alternative.

      The alternative, sadly, is incredibly painful.

      You make the point that some people will not be able to get credit, since the banks won't touch them no matter what. Perhaps there is a lesson in that. Credit is not a substitute for earned income. You live on credit at your peril.

      Not all of us yet understand that. But the credit treadmill is so ingrained now in the American economy that we are using it as the lever to start our economy going again. We need to be careful about that. Cranking up consumer spending so we can buy more things made in China, for example, doesn't serve us well at all. How about cranking up industrial production in t

      --
      deleting the extra space after periods so i can stay relevant, yeah.
    48. Re:Oyster cards! by synthesizerpatel · · Score: 1

      That's what luxury taxes are for right?

    49. Re:Oyster cards! by vijayiyer · · Score: 1

      Based on what do you say that it will cost more to have empty homes than to help these people out?
      What's happened is that government debt itself has become abstract just like consumer debt. Someday, it won't be.
      The collapse helps those who chose not to buy a house during the boom. The government's business should not be to make housing unaffordable.

    50. Re:Oyster cards! by brkello · · Score: 1

      Yes, let's stunt technological innovation because you are worried that some people can't take care of their finances. Are you kidding me? Anything that makes my life simpler and faster, I appreciate. Don't take away my freedom to wave and pay just because some people are irresponsible. It is the same idea of taking away video games because some people can't tell the difference between fantasy and reality. Or banning books like Harry Potter because it talks about witchcraft and you are scared your kid won't grow up to be a good Christian. People will always find new ways to be stupid. That doesn't mean you should prevent responsible people from taking advantage of technology.

      --
      Support a great indie game: http://www.abaddon360.com
    51. Re:Oyster cards! by Fluffeh · · Score: 1

      We have enough of a problem today with people living way beyond their means, and impulse spending with the credit and debit cards we have today.

      Well, it might be bad for the person living beyond their means, but it's got to be good for someone else. When I spend MY money, it means someone else is getting it. A business owner, a private individual or a shareholder - someone is getting it.

      Now, not to be overly rude, but:

      They abstract the fact that you are spending REAL money. You forget that you bought those chips with cold hard cash.

      While I agree with what you are saying, I can't believe you really mean it. The world CANNOT be dumbed down to the lowest denominator. If someone finds they keep spending cash on "things" and "stuff" and "I don't know what" then I don't think the problem can be solved by replacing a a waving hand motion with a phone for cold hard currency.

      --
      Moved to http://soylentnews.org/. You are invited to join us too!
    52. Re:Oyster cards! by Hucko · · Score: 1

      As far as I can tell (No access to the actual process behind the scene), it is exorbitantly more expensive than the cost to the provider... almost like sms, movie and music media actually. The only reason obvious to me that the price is as high as it is, is pigheaded kingdom building.

      --
      Semi-automatic amateur armchair Australian philosopher; conjecture ready at any moment...
    53. Re:Oyster cards! by arminw · · Score: 1

      ...You still have to pay things back...

      Really? How do they enforce that? Sell someone into slavery, like they did in Rome or other ancient cultures? Make sex slaves out of debtors? Throw such one and/or their relatives into debtors prison?

      Even the IRS cannot always get the money some tax payers owe. Of course it there is fraud involved, threat of prison will get many to eventually pay up.

      --
      All theory is gray
    54. Re:Oyster cards! by arminw · · Score: 1

      ... when the mortgage payment was adjusting from $1600/mo to $4700/mo....

      There in a nutshell you have the biggest reason for the trouble the financial industry is now in. It is just plain and simple greed. There is no other reason why that person's mortgage payments should rise by almost a factor of three. Now the the government is bailing out these greedy bastards with printed money. Anyone who has the ability to print money and not go to jail can never go bankrupt. Most likely, the economy will recover, as it would have anyway, but all that Fiat money will cause monstrous inflation afterwards.

      Everyone who manages to hang on to this financial roller coaster of debt, will be able to pay off that debt with cheap plentiful money.

      (...Do we pretend America needs to be saved from a depression at any cost?...)

      There is no pretend here, but it is actually happening, at the expense of the value of the dollar. And foreigners, like China and others ask for the money they have loaned to the United States, the government has two choices. One is to simply stiff them and the other is to print even more money and pay them. It is the second option that was usually adopted by governments in the past. That will fuel the inflation spiral a few more turns. The situation may become like it was in Germany before Hitler came to power. My grandmother told me what happened there in her hometown.

      A man had a wheelbarrow full of paper money that he wanted to use to buy a few loaves of bread. He parked the wheelbarrow in front of the bake shop and went inside to request the baker to open the side door in order to bring the wheelbarrow full of money into the shop. While he was in the shop, someone came and dumped the money on the sidewalk and made off with the wheelbarrow!

      (...We're being patient with him, though he is coming up on 3 months rent due again...)

      You are lucky to have some real estate, especially if it has not a big debt on it. It is good that you are being patient with that tenant, if you can afford that. Maybe you will need to help him out even more by reducing the rent. That will give him hope to eventually get out of debt to you, especially if he is otherwise a decent person. If he is forced to move out because he can no longer afford to rent your unit you will have lost money. Most rental properties can always use maintenance, repair and upgrading. If this person is skilled in construction, you might check if he is willing and able to do some work for part of the rent.

      (...Like basic research into petroleum replacements, energy sources...)

      The problem here is that researchers, being highly skilled, are generally economically better off and there are not that many of them. People like your tenant should be put to work in useful public works programs similar to what FDR did in the 1930s.

      It is definitely true what you wrote. We are tapped out and are reaping what we sowed.

      --
      All theory is gray
    55. Re:Oyster cards! by Anonymous Coward · · Score: 0

      Micropayments are dead!

      Like electronic banking, consumers are not reaping rewards or discounts that they deserve, and being treated like dirt.

      Why would banks who makes 3% on credit cards, settle for competition that would undercut them?

      The phone company wants a 3% cut - so I may as well pay cash and demand a 6% discount.

      To rub salt into the wounds, the consumer is expected to pay for the 'secure' card - and a good one will cost $USD 20 - that does NOT carry credit card statutory protections.

      Oyster may claim they have fixed the problem, but at 50 cents (Mag CC) Vs ($20 ++ smartcard) the banks are not interested - not is joe average when he/she has to 'buy' a bilkcard.

      If they do ever introduce them, start collecting the expired tokens/blanks - and see what happens then.

    56. Re:Oyster cards! by david+duncan+scott · · Score: 1

      Most people will take paying £1.60 and being tracked instead of paying £4 [tfl.gov.uk] and remaining anonymous.

      So is this a reward for efficiency or simply a penalty for anonymity?

      --

      This next song is very sad. Please clap along. -- Robin Zander

    57. Re:Oyster cards! by xaxa · · Score: 1

      Most people will take paying £1.60 and being tracked instead of paying £4 [tfl.gov.uk] and remaining anonymous.

      So is this a reward for efficiency or simply a penalty for anonymity?

      The high cash fare is a penalty for inefficiency. When it was introduced the fares were similar (possible the same, I can't remember), but after a couple of years the cash fares were increased.

      TFL say the data is very useful since they can now model demand much more effectively (for instance they know if someone is using two buses in a row, and exactly which stations they're travelling between -- useful for planning routes and capacity). They also save a lot of costs from handling cash and maintaining the paper ticket readers on ticket gates. There's less opportunity for fare evasion, and there are no longer tramps (bums) hanging round station exits buying/selling used tickets -- no one gives up an Oyster card since it still has value, but it was quite common before Oyster for an unneeded day pass to be bought and sold on.

      A bus fare was £1 in 2007, in 2008 it was reduced to 90p, now it's £1 again. That's not bad when the cost of most things has risen.

    58. Re:Oyster cards! by deraj123 · · Score: 1

      And the fact that the owners of the machines don't think it would be more profitable to lower it?

    59. Re:Oyster cards! by Hucko · · Score: 1

      irrelevant... Microsoft believes it's latest version of Windows is worth AUD$299 retail... I and many other beg to differ. Problem is certain issues virtually (please note I said virtually) force the majority of end users to pay for what they can't see the value in. I am not running Vista or Windows. **anecdote** I know a significant portion of Vista users (known to me) did not want it but could not find alternatives reasonably. (Macs too expensive and in their mind the only alternative.)

      --
      Semi-automatic amateur armchair Australian philosopher; conjecture ready at any moment...
    60. Re:Oyster cards! by geekoid · · Score: 1

      Depends on implementation.

      I was on a team that implemented one of the first smart card solutions banking in the world.
      You could pay with it, or get paid onto it.

      A knowledgeable person can already see the problem.

      We removed the bank from the equation. You could totally live you life with one of these, no need for the bank.

      Obviously we had to implement some post go live changes so you could only put money on it at the bank.
      The bankers were not amused. OTOH, the bankers were driven out of the country at gun point.

      --
      The Kruger Dunning explains most post on /. http://en.wikipedia.org/wiki/Dunning%E2%80%93Kruger_effect
    61. Re:Oyster cards! by lsatenstein · · Score: 0

      I would like to see RFID or Smart Card contactless payment abilities whereever I go. I am afraid of germs, you know, the ones that come from boogers, and the ones that come from identity theft, due to keyboard loggers, cameras capturing keypresses, etc. How may cardreaders have never seen a wipe or sanitizing of the keypad? If we go the contactless route, It can be encrypted all the way, initiation to completion of the transaction, and I don't have to touch the keypads at all. (We Canadians prefer debit cards to credit cards, because we see the expense reflected in our bank statement immediately).

      --
      Leslie Satenstein Montreal Quebec Canada
  2. Micropayments. by the+cleaner · · Score: 2, Interesting

    I wish that mobile- and micropayments would gain bigger focus in the intustry. There are first pilots going on here in Europe.

    OTOH: some countries (South Asia, mostly) already have problems with malware on their phone "stealing" money by sending text messages...

    --
    Could be worse. Could be raining.
    1. Re:Micropayments. by Hordeking · · Score: 1

      OTOH: some countries (South Asia, mostly) already have problems with malware on their phone "stealing" money by sending text messages...

      In the US, we also have a problem with cell phones stealing money using text messages. All you have to do is receive them.

      --
      Disclaimer: The opinions and actions of the US Gov't are in no way representative of those held by this author or its ci
  3. Comment removed by account_deleted · · Score: 1

    Comment removed based on user account deletion

  4. Maybe it's just me by Peter+Simpson · · Score: 5, Insightful

    But I can't see how waving my cellphone over a reader is an improvement over waving my credit card. The credit card is thinner, lighter and more waterproof than a cellphone.

    When I go out, I always carry a wallet. It has my driver's license, credit card and cash in it. My cell phone may or may not be with me, depending on what I'm doing. Maybe it's in the car, or my backpack. If I were going to wave anything over a reader, it would most likely be my wallet.

    Perhaps it's because I'm over 50, but when I hear people talking about combining media player, cell phone, digital camera, [whatever] into one single unit, all I see is one item that does everything "not quite as well" as the original separate items. The cellphone/camera is only 3 megapixel...OK for some uses; but not as good as my Canon point-and-shoot. My phone can hold a few gigabytes of music, nothing like the 80 G in my iPod. If the performance of the composite were equal or better, you might have me as a customer, but for now, I'll pick and choose.

    1. Re:Maybe it's just me by InsertWittyNameHere · · Score: 3, Funny

      Swiping credit cards just doesn't have the coolness factor of the Japanese wax-on-wax-off payment method.

    2. Re:Maybe it's just me by Culture20 · · Score: 2, Funny

      I bet you don't have a clock built into your sliced bread either.

    3. Re:Maybe it's just me by xaxa · · Score: 1

      My mobile phone is always with me. I'm well under 50 though (but over 20).

      I think I'd still like a separate credit card even if there was one in my phone, for emergencies (a thief might take the phone, but probably won't be interested in a credit card they can't use and is obviously stolen).

      Combining the devices means I only have to carry one thing, and charge one. If I want to take photos -- if I'm visiting somewhere -- I'll also take my camera, but the not-as-good camera on the phone is useful for the rest of the time, and it's always there. I can use it to snap the funny street sign (or person) I saw. I won't use it for wedding photos.

    4. Re:Maybe it's just me by rolfwind · · Score: 1

      But I can't see how waving my cellphone over a reader is an improvement over waving my credit card. The credit card is thinner, lighter and more waterproof than a cellphone.

      How many cards do you carry? Not just credit cards, membership cards to stores and the like, because this tech can handle it as well.

      Now, how many cell phones do you carry?

      What would really make me want it is if it has digital receipts. Paper reciepts now pad my wallet, need to be scanned (or inputted in) to some stupid software, and many often fade away before I have the chance (they should really illegalize the one week fading receipt).

      When I go out, I always carry a wallet. It has my driver's license, credit card and cash in it. My cell phone may or may not be with me, depending on what I'm doing. Maybe it's in the car, or my backpack. If I were going to wave anything over a reader, it would most likely be my wallet.

      That's great, no one is making you use this tech or making you give up the way you do things now.

      Perhaps it's because I'm over 50, but when I hear people talking about combining media player, cell phone, digital camera, [whatever] into one single unit, all I see is one item that does everything "not quite as well" as the original separate items. The cellphone/camera is only 3 megapixel...OK for some uses; but not as good as my Canon point-and-shoot.

      My Sony is old and only 3 megapixel. Cameraphones still aren't as good as it (specifically for macro shots) but then I don't tend to take pictures at the prescribed times (birthdays and the like) but rather spontaneously. I never carry my Sony around, I do carry my cell phone.

      My phone can hold a few gigabytes of music, nothing like the 80 G in my iPod. If the performance of the composite were equal or better, you might have me as a customer, but for now, I'll pick and choose.

      I'm sure iPhones will have close to that capacity in the next year or two.

    5. Re:Maybe it's just me by Anonymous Coward · · Score: 0

      How many cards do you carry? Not just credit cards, membership cards to stores and the like, because this tech can handle it as well.

      Two. Three if you count my driver license as a card.

      Now, how many cell phones do you carry?

      Normally, zero. I do own a cell phone, but my house and job have normal land-line phones.

      I'm not trying to be a luddite here, but you did ask. Most people I know do not depend solely on their cell phones, and don't carry around a full deck of cards.

      This tech will be fun for the technophiles, but it will also be more gimmicky, less available, less reliable, and more expensive than traditional methods. Or did you not see that the blocking issue is how companies will split the additional fees this is expected to generate.

    6. Re:Maybe it's just me by jank1887 · · Score: 1

      they can't beam coupons to your credit card.

    7. Re:Maybe it's just me by gEvil+(beta) · · Score: 1

      I bet you don't have a clock built into your sliced bread either.

      I'm still waiting for someone to show me the true benefits of this so-called "sliced bread".

      --
      This guy's the limit!
    8. Re:Maybe it's just me by Nursie · · Score: 1

      You must have huge pockets.

      Device convergence is a winning strategy.

      Music player - actually there aren't that many with anything like 80G capacity these days, yet they still sell well. I have 8G in my phone (in the form of an SD card) and that's good for me. Some have 16. As flash advances in capacity, so will phones, and there are a huge amount of sales of flash iPods and other players.

      Camera - who cares if you get better quality out of your point and shoot? Not many people carry a point and shoot. It's about having an adequate camera with you at all times. It's about taking a quick snap of friends/family at a restaurant, or someone dressed up weird on their way to a party, or a funny raod sign, or burger that looks like jesus. It's for situations where the act of taking a picture is more important than the picture itself, and it's about not purposely thinking "I'll take my camera out today". Spontaneity is what it gives you.

      Convergence is great, especially for those of us that don't carry an ultra-geek backpack around with us everywhere we go.

    9. Re:Maybe it's just me by jrumney · · Score: 1

      The cellphone/camera is only 3 megapixel...OK for some uses; but not as good as my Canon point-and-shoot.

      A 3 megapixel cellphone camera is probably good enough for anyone who measures the quality of a camera in megapixels.

    10. Re:Maybe it's just me by Lumpy · · Score: 2, Funny

      Because I keep my credit cards in my wallet. my cellphone in my breast pocket. it's far easier for me to wave my phone than get out my wallet.

      and most of you youngins' have your cellphone in your hands already sending , "WTF?" "OMG!!" and "BRB BFF!!!" to everyone you know every 6 seconds so having micropayments in your phone that is already in your hands is even more convenient.

      BRB, I need to twitter this!

      --
      Do not look at laser with remaining good eye.
    11. Re:Maybe it's just me by Anonymous Coward · · Score: 0

      wow, i imagine what this guy's lifestyle is if he keeps his credit cards more handy/accessible than his cellphone.
      I'd like to think I use my cellphone more, daily, than my credit card.
      And I'd like to think when my phone rings, I can pick it up in the allotted 15 seconds, while when the register rings, I have a pretty much infinite amount of time to dig in my purse to find my plastic.

    12. Re:Maybe it's just me by Canazza · · Score: 1

      *hands gEvil a sandwich* *the sandwich is ticking*

      --
      It pays to be obvious, especially if you have a reputation for being subtle.
    13. Re:Maybe it's just me by morgan_greywolf · · Score: 1

      Agreed. If you want the best picture quality, you really need a DSLR and some nice lenses.

    14. Re:Maybe it's just me by Anonymous Coward · · Score: 0

      The cellphone/camera is only 3 megapixel...

      Current cellphones (e.g. Sony Ericsson C905) are 8 megapixels. And the GPS lets you track where you took those photos (does your Canon know where it is?)

    15. Re:Maybe it's just me by jonaskoelker · · Score: 4, Funny

      If the performance of the composite were equal or better, you might have me as a customer, but for now, I'll pick and choose.

      Then I might interest you with a toaster running BSD.

      Think about it: you put some toasts in, go back to your computer, then when the toast is ready your computer says [record a female friend of yours saying this:] "your toast is ready".

      It's also a cheap DMZ-able web server in its own right: no need to buy a different box to host your blog out of security concerns.

      [be warned though: if someone roots the box, they might run "sysctl dev.heater.enable=1; sysctl dev.heater.temp = F451" and set your house on fire.]

    16. Re:Maybe it's just me by jellomizer · · Score: 1

      Benefits of Sliced Bread.
      1. Time Saving. Before Sliced Bread the concept of a sandwich was a far more laborious job. A Soft bread was very difficult to cut, unless you have a very sharp knife. While the time of cutting bread is rather small for the one person sandwich. But for families of 3 or greater you need to cut sandwiches*2 times. And having kids you need to leave now with their lunches that time gets very hard.

      2. More uniform nutrition. Unsliced bread could be a variant amounts either too think or too thin. Sliced bread makes it more uniform so you know that Jonny and Billy are getting the same nutrition from the bread.

      3. Uniform cooking. A toaster would not have been useful without sliced bread. Sure modern ones may work now but those old ones you needed presliced bread for them to cook.

      4. Mass production and shipping. Soft bread couldn't be sold at a level for mass production as the difficulty of cutting it. Hard breads are easier to bake so people would bake them at home/from the local baker. Presliced bread allowed the massproduction of a product that is difficult for individual to make uniformly, as well the convince, of being useful. Allowing more affordable food to span the country.

      --
      If something is so important that you feel the need to post it on the internet... It probably isn't that important.
    17. Re:Maybe it's just me by riegel · · Score: 1

      Yep, and the reasons the concatenated device doesn't equal any of the individual devices may be because it give the company that makes it a reason to offer you a better version next week.

      I think a WiFi system would be pretty cool though. Some sort of OpenConf method for me to discover the merchant when in the building and have the receipt digitally sent to my phone over wifi and I just authorize the payment with a few clicks.

      Basically a local version of a web payment

      It wouldn't even require a connection to the internet just an ad-hoc WiFi network.

      --
      http://p8ste.com - Web based Clipboard
    18. Re:Maybe it's just me by Mikkeles · · Score: 1

      No, but it has a weather report.

      --
      Great minds think alike; fools seldom differ.
    19. Re:Maybe it's just me by Anonymous Coward · · Score: 0

      [be warned though: if someone roots the box, they might run "sysctl dev.heater.enable=1; sysctl dev.heater.temp = F451" and set your house on fire.]

      If your house is made of paper, anyway.

    20. Re:Maybe it's just me by Hordeking · · Score: 1

      *hands gEvil a sandwich* *the sandwich is ticking*

      They don't tick anymore. They vibrate.

      --
      Disclaimer: The opinions and actions of the US Gov't are in no way representative of those held by this author or its ci
    21. Re:Maybe it's just me by Ceryx · · Score: 1

      The mobile phone version came from the card version (Suica/Passmo), which works like a rechargeable cash card. The card version works in the readers still as well and is the same size as a credit card. I just wave my wallet or card over the reader and walk on through the station.

    22. Re:Maybe it's just me by Hordeking · · Score: 1

      3. Uniform cooking. A toaster would not have been useful without sliced bread. Sure modern ones may work now but those old ones you needed presliced bread for them to cook.

      Home-sliced bread toasts just fine over a fire. I do it all summer, every summer. No need for a toaster.

      --
      Disclaimer: The opinions and actions of the US Gov't are in no way representative of those held by this author or its ci
    23. Re:Maybe it's just me by novakyu · · Score: 1

      Some of them (i.e. AmEx) come with an RFID chip which lets you just wave the card, rather than swiping it through a reader.

      I personally put a nail through the chip on my AmEx card and wouldn't carry a cell phone that doubled as a payment methods, unless somehow it could be assured that no one but the intended reader could get the info off of these devices (through encryption and challenge-response, maybe, but that seems unlikely to happen ...).

    24. Re:Maybe it's just me by DrgnDancer · · Score: 1

      GP has a certain "you kids get off my lawn" charm, but also a valid point. Until it gets to the point where my cell phone can act as my ID, medical insurance card, library card, Barnes and Noble Club membership card, video rental place card, AND my credit card I'm not likely to get rid of my wallet. How is this really saving me much time or energy? I can't really carry less stuff (in the short term, I'll probably still need to carry the actual cards, since not everyone is instantly going to get readers for these phones), it's not really much more difficult to pull out my wallet than my phone, what's the real advantage here? I dunno, people seem to like it where it's been tried, maybe I'm just missing something.

      --
      I don't need a million points of light, just two points of multi-mode fiber and a 10 Gig-E router.
    25. Re:Maybe it's just me by Rich0 · · Score: 1

      So, perhaps the expression should be the "greatest thing since the electric toaster", or perhaps "the greatest thing since the gas/electric oven"? Or, perhaps "the greatest thing since not having to have a fire pit in your kitchen"? :)

    26. Re:Maybe it's just me by Rich0 · · Score: 1

      Perhaps. But I'll take a camera that actually has half-decent exposure and non-fixed focus.

      The typical cell-phone camera is comparable to the $10 film camera of the 1990s. Sure, it takes photos (in one sense with the same resolution as a $2000 SLR), but it leaves a lot to be desired.

      I've got the android G1 now with its 5MP camera with true automatic focus, and even that I'm finding wanting. It must be ISO 5 or something like that, and its exposure algorithm is quite wanting. It also seems to have a very slow exposure time as I can blur shots easily in bright daylight. Better than any camera phone I've used, but it pales in comparison to quality point-and-shoots from years ago let alone a typical modern crop-frame DSLR.

    27. Re:Maybe it's just me by StikyPad · · Score: 1

      The thing is that most people are satisfied with "good enough," especially younger generations. Given 'camera' (which they have never owned) versus 'camera phone' (which they have never owned), the latter wins out every time. Because it does 2 things. Duh.

      Add to that the fact that 18-25s generally have the smallest purchasing power while simultaneously representing the largest sector of personal electronics consumers, and there you are: a phone that plays music, drops calls, takes blurry pictures of the insides of pockets, provides a poor approximation of a web browser, and soon will buy a drink for whoever was walking behind them as they passed a soda machine. Or actually not all that soon, according to the article.

    28. Re:Maybe it's just me by xaxa · · Score: 1

      Looking through my wallet, most of the bulk is the wallet itself. Maybe I should just get rid of that.

      There's a debit card, a credit card, 2 store discount cards, a library card, driving license, transport card (Oyster card), work access pass, rail photo pass (season tickets aren't transferrable, so are linked to a photo card), £5 cinema voucher which came as a plastic card, tube map, and a nightclub membership card. And £45 notes plus £3 in coins.
      If I take all that crap out it's thicker than my phone, even without the coins.

      It would be nice if I didn't need so many cards anyway (I could use a less bulky wallet). For instance, I don't really need a store card, if only the store could realise that I always use the same credit card to purchase stuff. But then, linking all this together can lead to problems. There aren't the same problems with SSNs here as very few organisations have my NI number (just my workplace and bank, I think) and neither of them us it as an ID number. If an ID card were to serve as ID for the library, shops etc it could lead to data protection problems.

    29. Re:Maybe it's just me by murdocj · · Score: 1

      Convergence is a great theory, it just doesn't work for everything. For example, I have an original IPod Nano that I use when I work out. It's so small and light that it really is almost unnoticeable. I can run with it, I can slip it into any pocket and walk with it, I don't need to put it into into "music mode" in order to play it, etc. I do NOT want convergence, I want the device that is perfectly suited to its function.

    30. Re:Maybe it's just me by ArsonSmith · · Score: 1

      "...all I see is one item that does everything "not quite as well" as the original separate items"

      Except fit in my pocket.

      --
      Paying taxes to buy civilization is like paying a hooker to buy love.
    31. Re:Maybe it's just me by ArsonSmith · · Score: 1

      what are you afraid of from the rfid in the card that you are not afraid of from the signal broadcast by your cell phone?

      --
      Paying taxes to buy civilization is like paying a hooker to buy love.
    32. Re:Maybe it's just me by Nursie · · Score: 1

      That's fine, for you.

      I don't want to carry extra devices around in my trouser pocket, which is where I keep my phone.

    33. Re:Maybe it's just me by Zerth · · Score: 1

      I've only 3 cards, license, debit, and bookstore discount. My cellphone cover has a slot in the back for them and I no longer carry a wallet. Cash goes in that little coin pocket thing in my pants, or in with the cards if it is just a few bills.

      Thirties.

    34. Re:Maybe it's just me by Anonymous Coward · · Score: 0

      I agree that the cellphone-as-charge-card is pretty useless, but the idea of combining gadgets is pretty good. It's not about replacing other gadgets, but having _some_ capability with you all the time. My cellphone camera is no match for a Nikon D40, but the phone fits easily in a pocket and goes almost anywhere with me. I'd look pretty silly carrying around an SLR every day. My phone can't hold my entire music collection, but it holds enough to keep me entertained at the gym without having to carry around a dedicated MP3 player all day.

      I would argue that the combined camera/phone devices are likely to be better phones than a device that is only a phone. The better camera phones are generally not the the free-with-contract cheap phones; they bothered to design the extras well, and probably tried to design the phone well too.

    35. Re:Maybe it's just me by murdocj · · Score: 1

      That's fine, for you.

      I don't want to carry my phone in my pocket because I'm always afraid I'm going to somehow jam that antenna stub and damage it. I keep it in my day pack, along with my nano, running clothes, combo lock for gym locker, phone, and a variety of other stuff.

    36. Re:Maybe it's just me by Nursie · · Score: 1

      And you missed further up where I said I'm not a backpack carrier, my trouser pocket is my carry-around luggage allowance.

      I also deliberately buy small phones with no antenna. Holy hell, it just struck me - how old is your phone? I don't think I've even seen one with an antenna for three or more years.

    37. Re:Maybe it's just me by Anonymous Coward · · Score: 0

      Wow, you actually took the time to write that out.

    38. Re:Maybe it's just me by DrgnDancer · · Score: 1

      Maybe it's just me then. I carry debit card, library card, Barnes and Noble card, Sam's club card (going away after it expires in a few months), Costco card (replaced the former), medical insurance card, dental insurance card, library card, a credit card, video store card, and drivers license. That's 11 cards, they aren't fitting in a pocket on my cell, and I can't not carry most of them. In an average week I use all of them except the insurance cards, and I have to carry those for emergencies. I don't see this allowing me to avoid carrying my wallet.

      --
      I don't need a million points of light, just two points of multi-mode fiber and a 10 Gig-E router.
    39. Re:Maybe it's just me by Anonymous Coward · · Score: 0

      > Device convergence is a winning strategy.

      Maybe for you. I have no interest in having my phone out
      of service because playing music ran down the batteries.
      And no, I don't consider the device having two batteries
      (which has been done) to be a good solution.

      More generally, I don't want to lose *all* the various
      functions (currently on separate devices) because the
      one device is dead/stolen/lost/whatever.

      Many small, focused tools each doing one thing very well.
      (the Unix/Linux approach)

      Not one bloated thing doing everything, but none of it
      well. (traditionally the Windows approach)

    40. Re:Maybe it's just me by Zerth · · Score: 1

      Small correction, then, I do have a library card and a few other shopping cards, but they came with little "just the barcode" tags, for hanging off my keys. Same deal with the RFID tag I need to get into work.

      The insurance stuff I only carry when going to the doctor/dentist, which probably isn't smart, but I've been meaning to photograph them with my cell as they have no barcodes or magstripes.

    41. Re:Maybe it's just me by Hawke666 · · Score: 1

      How do they communicate with the cell network without an antenna?

    42. Re:Maybe it's just me by Nursie · · Score: 1

      External antenna I mean, most phones I've seen in years don't have any external antenna.

    43. Re:Maybe it's just me by brkello · · Score: 1

      That is and old concept. Something that is designed to do one thing is better than something designed to do many things. I disagree and I offer up a counter example: the PC. It is able to do so many things remarkable well because it is designed to do various functions. Cell phones are just small PCs. As memory and processing get more efficient, it makes sense to build in more functionality to them. If they fail to deliver good phone quality, that just means whoever designed it did a poor job. There is no reason why a cell phone can't be a great phone and so much more.

      --
      Support a great indie game: http://www.abaddon360.com
    44. Re:Maybe it's just me by murdocj · · Score: 1

      No, I was responding to the "it works for you", and pointed out that what works for you may not work for me. You want to jam a phone into your pocket, great. I don't. You want to carry a convergence device that's a pain the rear (maybe literally) when you exercise? I don't. You like convergence? Guess what, not everyone does.

    45. Re:Maybe it's just me by badasscat · · Score: 1

      Some of them (i.e. AmEx) come with an RFID chip which lets you just wave the card, rather than swiping it through a reader.

      There are some big differences between this and what's done in Japan.

      SUICA cards are tied to a cash account. They're like using a pre-paid phone - you refill as needed. If you have a zero balance, you can't use the card. That means if somebody steals your card, they can't do much with it if you only keep $20 or so on it at a time.

      The accounts also don't really need to have your real info on them, from what I understand. They're like PayPal accounts. I don't know anybody in Japan that uses their real info on their SUICA card.

      I am not sure about the phone situation, but my guess is that it either works like a SUICA card or it's just tied to your regular account (ie. you're billed). There's no way it's like an AMEX card where it's actually tied to your credit. That just wouldn't be accepted in Japan.

      Japan is actually a very credit-averse society. And they're absolutely paranoid about privacy. They don't use credit cards much and most stores still won't accept them. RFID credit cards tied to your real info and your real bank or credit accounts like we have here I think would be seen as laughably unsafe. The few cards they do use are tied to refillable cash accounts (JCB is another one), not credit or savings accounts.

    46. Re:Maybe it's just me by jschmuck · · Score: 1

      Actually it isnt only cell phones that have this feature, the ic chip embedded in my credit card also contains the functionality. When the balance is below a certain threshold, my credit card is charged a set amount to renew the balance. Note Japan still does have interoperability issues with these, for example within a train station or bus, the SUICA network is used, but at convenience stores other IC chips supporting other networks (PASMO for example) are required. See the interoperability matrix here at http://ja.wikipedia.org/wiki/Suica#.E7.9B.B8.E4.BA.92.E5.88.A9.E7.94.A8 (japanese)

    47. Re:Maybe it's just me by InakaBoyJoe · · Score: 1

      Basically, you can think of the phone as a user interface to your credit card. So you can check your balances and usage history easily, have multiple cards on the same phone (and manage them on the phone), and do all kinds of weird stuff like pick up coupons from NFC readers around town, and log in to karaoke machines with your favourite songs.

      As you say, right now, the advantages of mobile phone NFC versus a plain old NFC-enabled credit card are presently sorta marginal. In Japan the majority of people use static cards instead of the mobile phone version. But as the services start to expand and the marketing geniuses figure out how to eek some benefit out of this system, I think you'll see the adoption rate increasing.

      Some things that are essential when designing such a system are: ability to use the payment system even when the device is out of battery, recovery and transfer of the user IDs to another device, and remote disabling. Somehow, I doubt the US based folks have gotten their heads around these very important aspects yet.

    48. Re:Maybe it's just me by Nursie · · Score: 1

      "You want to carry a convergence device that's a pain the rear (maybe literally) when you exercise?"

      So the very fact that it's a converged device MUST mean that the form factor is wrong?

      You're a luddite.

    49. Re:Maybe it's just me by maxume · · Score: 1

      The knife you are looking for is often called a ham slicer. Works great with bread.

      --
      Nerd rage is the funniest rage.
    50. Re:Maybe it's just me by maxume · · Score: 1

      It's a horrible strategy. I don't mind phones having lots of features, but a screen big enough to be useful ends up making for an awkward phone, and a reasonably sized phone makes for an awful mp3 player.

      --
      Nerd rage is the funniest rage.
    51. Re:Maybe it's just me by novakyu · · Score: 1

      What makes you think I carry a cell phone? At least one that's powered on with a battery in it when it's on "standby"?

    52. Re:Maybe it's just me by novakyu · · Score: 1

      I don't know if you've actually used credit cards or not, but your description makes these SUICA cards actually more dangerous than carrying credit cards.

      At least in U.S., and especially with companies like AmericanExpress, which have records of siding with the customer in case of disputes, carrying and using a credit card is safer by orders of magnitude compared to a debit card.

      If the debit card has $20 in it and you lose it, you do lose $20. If you lose your credit card, you just report it and under most terms of service, you are not responsible for a single dime charged while the card was not in your possession (presumably it's up to the merchants to ensure that the person using the card is the authorized user).

      As far as personal information goes, the same deal with credit cards. They have your information on the card, such as the card number and your real name, but that's as far as it goes. They actually have to contact the credit card company to get any more information, and any company willing to release your information without further verification is a company not worth your business.

      The bad thing about RFID chip is that I won't know when the information (which can be used for fraudulent transactions, much like information off any cash cards) is stolen off of the card, so I can't report it to the credit card company---so it takes longer to clear up any incidents.

    53. Re:Maybe it's just me by geekoid · · Score: 1

      Your cell phone will be with you if you need it to buy things.
      That's why your wallet always goes with you, you need it in case you are pulled over, want to buy something or need it to store rewards cards.

      DO you realize that your are comparing technologies that are in different points of the technology curve? Single use devices will always take better pictures, or play more music.

      The phone has become a general use tool.

      --
      The Kruger Dunning explains most post on /. http://en.wikipedia.org/wiki/Dunning%E2%80%93Kruger_effect
  5. Can you pay me now? by stokessd · · Score: 3, Funny

    Hell, I'd be happy to just get cell phone COVERAGE in a lot of the US.

    Sheldon

    1. Re:Can you pay me now? by Cornwallis · · Score: 2

      Bravo! Reliable coverage IS something I'd be willing to pay for!

    2. Re:Can you pay me now? by Anonymous Coward · · Score: 0

      I know you're trying to be funny, but Verizon has excellent coverage everywhere I go. Everywhere. They do have the worst cell phones though

    3. Re:Can you pay me now? by stokessd · · Score: 1

      You caught me. I was a verizon wireless guy for years until I couldn't take the phones anymore and went for AT&T to get a jesus phone. Here in the bland midwest, my AT&T coverage is actually every bit as good as Verizon. But when I head into the eastern mountains or the southwest, Verizon kicks butt. But there's enough areas I go that have no coverage whatsoever (or coverage that is so spotty that it should not be called coverage), that I thought the off-the-cuff comment was needed.

      The verizon map isn't solid red, and there's a lot of white areas where I go:

      http://www.verizonwireless.com/b2c/CoverageLocatorController

      Sheldon

    4. Re:Can you pay me now? by sjames · · Score: 1

      Agreed. The number one missing feature on cellphones is the ability to make and receive phone calls reliably.

      Calling plans that don't include the phrase "please grab your ankles" in the fine print would be a nice addition as well.

    5. Re:Can you pay me now? by UnknowingFool · · Score: 1

      I agree. I had a former cowoker whose wife was from Norway. He couldn't get over the fact that he could use a phone reliably on a train going through a tunnel in the side of a mountain over there whereas he barely gets a good signal in the middle of his suburban neighborhood here.

      --
      Well, there's spam egg sausage and spam, that's not got much spam in it.
  6. Exists in Europe too by Swizec · · Score: 1

    We've had this in Europe for a while now, especially on vending machines and other such silly stuff, but almost nobody uses it. Not exactly certain why people don't use it, but it's just never quite caught on.

    I think it's because we're all too conscious of our phone bills and don't want things like coke and such messing them up and making us think we've blabbed our mouth off too much. Or maybe it's because only certain cell phone carriers were in on the deal, thus leaving half of us without the option.

    1. Re:Exists in Europe too by morgan_greywolf · · Score: 1

      Same thing would happen here in the States. There is no way in hell I would use my cellphone to pay for anything. Hell, I don't even buy ringtones or mobile software. (Especially not when there's lots of very nice open source J2ME spps out there. ;) )

      But the point is that I want to keep my wireless bill as close to a fixed price as I can. It makes budgeting easy when you know your wireless bill will be, say $150 every month and it's not going to go up from there. That's why plans with unlimited nights and weekends and big blocks of anytime minutes are so popular here.

  7. In Soviet Russia... by Shivinski · · Score: 5, Funny

    ...We have a similar system. You pay to wave...

  8. My bank card never runs out of battery by captainpanic · · Score: 2, Insightful

    My bank card never runs out of battery, which is quite nice.
    Also, I get it for free from the bank.

    1. Re:My bank card never runs out of battery by Anonymous Coward · · Score: 0

      They aren't always free, try a Spanish bank, 60 a year for the privilege of you trusting them with your money.

      (Captcha grovel, how appropriate)

    2. Re:My bank card never runs out of battery by badasscat · · Score: 1

      My bank card never runs out of battery, which is quite nice.
      Also, I get it for free from the bank.

      And it's tied to your bank account, which Japanese mobile phones aren't. Much more dangerous to carry around a debit card, especially as so many carry RFID chips these days.

  9. Awesome by drsmithy · · Score: 5, Insightful

    I can't wait to be able to steal money just by walking through a crowded room and "charging" each person's phone $5.

    1. Re:Awesome by troll8901 · · Score: 1

      I suspect it's entirely possible.

      However, the card's value is also logged at a central server, in addition to being stored within the card itself.

      While offline illegitimate transfers may be possible, your card may not be widely usable, due to checks being done at certain places.

    2. Re:Awesome by camperdave · · Score: 1

      I can't wait to be able to steal money just by walking through a crowded room and "charging" each person's phone $5.

      Um... How do you get everyone in the crowded room to enter their PIN and authorize the "charge"?

      --
      When our name is on the back of your car, we're behind you all the way!
    3. Re:Awesome by Anonymous Coward · · Score: 0

      How do you get people to click 'OK' to download spyware?

    4. Re:Awesome by Anonymous Coward · · Score: 0

      I won't comment on whether it's possible or not, but you don't need to enter a PIN. They're designed to be fast and convenient. Basically the same thing as the already mentioned Oyster card (used for payment on public transport in London) and similar systems used in other cities, except they can be used for other purchases as well. And of course, some of them are in mobile phone form rather than card form.

      Actually, I heard that it's planned for Oyster cards to be used in this way, for small purchases up to £10. Don't know when that's going to happen.

    5. Re:Awesome by Anonymous Coward · · Score: 0

      What part of "wave your cellphone over a reader" did you interpret as "enter a PIN"? The whole point of this system is to speed up low value transactions. There is no authorization.

      The OP's attack is possible, but relies on cashing out before your merchant account is suspended and the police summoned.

    6. Re:Awesome by drsmithy · · Score: 1

      Um... How do you get everyone in the crowded room to enter their PIN and authorize the "charge"?

      TFA says nothing about a PIN. Indeed, I would imagine having to enter a PIN would pretty much remove any of the additional convenience over a Credit or Debit Card.

      The usual defence against the idea of hijacking payments is that you need to be within a few centimetres for NFC to work, to which I typically respond "you don't catch the [subway|tube|metro|etc] very often, do you ?".

      Finally, those things can sometimes activate from a surprisingly long distance. I've seen an Oyster or SUICA card trigger the reader from a good 15-20cm away on more than one occasion (conversely, I've had to slide it across the top of the reader multiple times on many occasions, as well).

    7. Re:Awesome by Anonymous Coward · · Score: 0

      Um... How do you get everyone in the crowded room to enter their PIN and authorize the "charge"?

      Well, if its a crowded room, all you have to do is ASK them to do it! A certain percentage of people will do whatever you tell them to, as long as you pretend to be some sort of authority.

      5% of a crowded room is a lot of payments

      The captchca for this post is 'bilking' !!!

    8. Re:Awesome by Anonymous Coward · · Score: 0

      They don't require PIN's, not the kind that exist today anyway.

    9. Re:Awesome by badasscat · · Score: 1

      I can't wait to be able to steal money just by walking through a crowded room and "charging" each person's phone $5.

      This system's been in use in Japan for something like 10 years.

      Not to say it couldn't happen, but the chances of it obviously aren't very high. A lot more people get struck by lightning every year (dozens) than have ever had their phone fraudulently charged by a remote reader (none that I've ever heard of).

      Anyway, this is why you just don't load up your SUICA account with all that much money. Yet people in America are all too willing to walk around with debit cards that can access the full amount of their savings accounts, many of which with RFID chips embedded...

  10. The hard thing settling is the credit risk by chrisarn · · Score: 1

    One of the big things that is hard to settle is the credit risk. A phone operator bills the customer and there is a non zero risk that the customer won't be able to pay his bill. This is one of the issues with paying with your phone.

    1. Re:The hard thing settling is the credit risk by Anonymous Coward · · Score: 1

      One of the big things that is hard to settle is the credit risk. A phone operator bills the customer and there is a non zero risk that the customer won't be able to pay his bill. This is one of the issues with paying with your phone.

      AFAIK, billing for purchased items would continue to be done by the credit card companies. The revenue question referred to in the summary is likely a question of how much the cell phone company would be paid for expediting the transaction.

    2. Re:The hard thing settling is the credit risk by GuldKalle · · Score: 1

      As far as I understand, the payment account is pre-paid, at least in current implementations. But of course, Americans are known for liking credit a great deal, so maybe it'll change :)

      --
      What?
    3. Re:The hard thing settling is the credit risk by green1 · · Score: 1

      and how is this different from the minutes used on the phone? there is also a non-zero risk that the customer won't be able to pay his bill there, and yet they still allow you to make phone calls.

      This part would simply be a matter of deciding what level of risk the phone company is willing to take on you and putting in an appropriate credit limit. if you are on a pre-pay phone plan, you can pre-pay your account as well.

      Personally though I'm not so interested in ANOTHER way to pay for things, what I want most is for all the various stores to AGREE on a way. My wallet ends up with dozens of different "loyalty cards" and "membership cards" etc all because every store you go to insists you have theirs or they charge you a lot extra for every purchase (technically you get a discount for having the card, not pay extra for not having it, but it works out the same, prices are only competitive if you have their card) And you just end up with a ridiculous amount of plastic in your wallet, and most of it not really useful for anything except one store (or if you're lucky, one family of stores)

      currently I carry:
      - 1 Visa
      - 1 Mastercard
      - 1 debit card (stopped carrying my second debit card ages ago)
      - 1 department store credit card (cancelled my 2nd one when they started charging an annual fee)
      - 2 supermarket "loyalty" cards
      - 2 video rental store "membership" cards
      - 1 outdoor equipment co-op "membership" card
      - 1 gas station "loyalty" card
      - 1 auto-club "membership" card

      I predict that this system, if ever implemented would turn out like any of the "single sign on" things on the web, where you end up needing 20 different "all in one" logins (or in this case cards or cell phones) instead of the convergence that it touts.

  11. Everyone? by Anonymous Coward · · Score: 1

    Everyone likes it? I doubt it. It may be convenient, but convenience always comes with a price. With credit cards, it's theft of your card number, merchant fees, and risks to your credit history. What are the risks with cell phone payments?

  12. Cash! by ObsessiveMathsFreak · · Score: 4, Funny

    I've used cold hard cash, and that's neatest.

    It's light, portable, needs no batteries and isn't subject to arbitrary restrictions or revocations. No devices or readers are needed. You don't need a "credit rating" to use it. And I can pay for pretty much anything, except those services which require me to spend extra cash on an alternative transaction medium.

    Cash. Is. King.

    --
    May the Maths Be with you!
    1. Re:Cash! by Walpurgiss · · Score: 1

      While I'm sure it'd feel pretty great to buy a Car or a House with a bucket of bills, I don't think many would appreciate the kingly feel of counting all that money. Unless you met at a bank and they counted it there or something. Car wouldn't be so bad if all you had were hundreds, but a house would still be pretty shitty to count.

      Kinda like paying for groceries with pennies. Sure you could, but I don't think it would be recommended.

      Not to mention maximum carry limits for cash, and being mugged.

    2. Re:Cash! by jank1887 · · Score: 1
      No devices or readers are needed

      please show me a vending machine where the above is true. The honor system bagel/snack table at the office doesn't count.

    3. Re:Cash! by Anonymous Coward · · Score: 0

      So you want to be able to buy a car or house by waving your cell phone at someone?!? I'm pretty sure larger purchases like that go through other channels than standard cash/CC/cell-phone-waving transactions.

    4. Re:Cash! by Lumpy · · Score: 2, Insightful

      It's light, portable, needs no batteries and isn't subject to arbitrary restrictions or revocations.

      REally? Most stores TRY to impose illegal restrictions... the "no $50.00 or $100.00 bills" signs on gas pumps and store registers. That is an ILLEGAL restriction (here in michigan, refusal of legal tender as payment makes that debt paid in full)

      I have seen tons of restrictions on cash. none legal and all put in place by some really stupid and uneducated managers or store owners, but there are certainly restrictions that you have to personally fight. Or you roll over and play good doggies like you are supposed to do.

      Most people roll over and do what they are told. They obey very well.

      --
      Do not look at laser with remaining good eye.
    5. Re:Cash! by xaxa · · Score: 2, Interesting

      People paying with "cold hard cash" really slow down public transport. That's why it isn't allowed at busier bus stops in central London (there will be a machine to buy tickets from next to the stop). If you have an Oyster card you just touch it against the bright yellow reader as you get on, you hardly need slow down walking. If you've got a paper ticket, you just show it to the driver as you get on.

      On ticket barriers at stations, RFID cards are much more reliable than paper tickets (especially paper tickets which lasted a month or more and tended to lose the information in the magstrip). If I travel regularly, they also save my time. I only need put credit on the card once in a while (or set it up to happen automatically, from my credit card), rather than queue and buy tickets every day.

      If my Oyster card is stolen, I get most of the money back (I lose a £5 administration fee, I think). If my debit card is stolen, the same happens. The debit card is less useful to a thief anyway -- if I'm mugged, it's likely I'll be left with it, and only the cash will be taken.

      I also don't need a credit rating to get a debit card, at least in the UK (I do need to be not bankrupt).

    6. Re:Cash! by xaxa · · Score: 4, Informative

      Those restrictions are quite legal in the UK. The shopkeeper isn't under any obligation to sell you anything, refusing £50 notes is common and legal (and as a side-effect, if you want £50 notes for some reason you'll need to ask at the bank when you make a withdrawl).

      A debtor is always allowed to pay in cash (except you can only use up to £2 worth of 1p or 2p coins, and £5-ish of 5/10/20/50p coins, no limit for £1 or £2 coins). But there's no debt when you're buying something from a store.

    7. Re:Cash! by pjt33 · · Score: 1

      My father has bought vans with cash. I've bought construction materials costing thousands of dollars with 20s. But all of this is missing the point, anyway, as already observed by AC.

    8. Re:Cash! by scotts13 · · Score: 2, Interesting

      Hah! I recall an incident maybe 15 years ago when a customer called to delay picking up a computer system: "It'll take me a couple of days to transfer the funds to an account I can write a check from." I suggested he simply with draw the money in cash, and hand it to me. He was amazed! "I never considered you might accept cash." And I've paid for more than one new car with cash.

    9. Re:Cash! by ZombieWomble · · Score: 3, Informative
      These restrictions on cash are quite often legal - "Legal Tender" by definition is by definition only required to be accepted for debts. Until a transaction has taken place in a store, no debt is owed.

      While there are obvious exceptions (restaurants or non pre-pay gas come to mind) and there may be territories where laws handle this differently, in a large number of cases where there is no existing debt until payment has been agreed, shops are free to impose any sort of restriction they like.

    10. Re:Cash! by Idbar · · Score: 1

      I love it too! Another advantage is that if you carry more than US$1000 in any pocket, it's always convenient to find it! No "where's my wallet?" "where's the card?". If you put the cash in a front pocket some ladies will find it even more appealing! ;)

    11. Re:Cash! by ivan256 · · Score: 1

      I don't think anybody is going to buy a house or car by "waving" their cell phone either.

      Anyway, buying a house with cash wouldn't be so bad. You spend hours going through inane boilerplate at the closing, which is often done in a bank anyway, so the additional "counting" period wouldn't be so terrible.

    12. Re:Cash! by Anonymous Coward · · Score: 0

      People paying with "cold hard cash" really slow down public transport.

      Not if you require 'exact change only'. You just sling all the change in the hopper and the driver issues the ticket. Takes no longer than scanning a card. This is the system on NCT (Nottingham City Transport, UK).

    13. Re:Cash! by xaxa · · Score: 1

      The bus fare in London is £2 so there's rarely a need for change anyway. (It's £2 if paid in cash, it's £1 if paid by Oyster card). It still takes longer then electronically. You have to put the money in the hopper/tray, the driver has to see it's enough, press a button, then you need to take the ticket. Compare that with just walking onto the bus and touching a card for ~1 second as you go past the driver. (It might only be 5 seconds compared to 1-2 seconds, but that makes a difference when 10-30 people are getting on.)

      I think the saving on my time of rarely having to use a ticket machine (neither for season tickets or one-off journeys) is the best bit though. I only need to use one if I'm going outside Greater London (or forget my Oyster card).

    14. Re:Cash! by martyros · · Score: 1

      Aren't you legally required to accept cash? I.e., "This note is legal tender for all debts, public and private"?

      --

      TCP: Why the Internet is full of SYN.

    15. Re:Cash! by Vancorps · · Score: 3, Interesting

      Except that you have to file an IRS form to carry any amount of cash over $10k.

      Also when carrying even that much cash it really sucks to get mugged as you simply won't be getting that money back as opposed to carrying an insured debit or credit card.

      For large purchases there's no reason wire transfers don't work which is how most people conduct large transactions these days anyways. Between wire and checks you've got what you need for large purchases so its all about the smaller purchases. Should you be able to buy a TV with your cell phone? I wouldn't trust the current phone companies to add up the bill reliably as they can even bill reliably for what they currently provide. That just means it's more of a hassle instead of less when compared to a credit card that is.

    16. Re:Cash! by sjames · · Score: 1

      I would expect buyer and seller would happily put up with the counting in exchange for the certainty of the transaction. No checks coming back a month later, banks holding the funds 'just because we can', nobody wanting to clip 10% off the top, etc.

      Cash has it's disadvantages as well, but it's really underrated.

    17. Re:Cash! by Your+Pal+Dave · · Score: 1

      You're required to accept cash as payment for an existing debt, but there's nothing to stop you from walking away from a potential buyer if you don't want him to pay in cash.

    18. Re:Cash! by AK+Marc · · Score: 1

      I've used cold hard cash, and that's neatest.

      Really? If I were mugged and someone took my wallet, the credit is unusable by them. Sure, they can charge things with it, but I'm not held responsible for any costs. But if they get my cash, that's a loss. Instant and permanent. I don't think that as neat. Also, when I use cash, I end up with scraps. These scraps collect in a jar, and I have to take effort to either spend these scraps to keep the number of them down, or let them collect and try to convert them back to while demonimations. And these scraps weigh significantly more than the whole denominations. So my preference is to swipe everything, then electronically transfer to cover the swipes, and I don't have to hold too much of the lossy "cash" think of which you speak, and those scraps don't build up.

    19. Re:Cash! by ckaminski · · Score: 1

      Um, I'm pretty sure this isn't true...

      File with the IRS for any banking transaction greater than $10K, yes, but actually to carry it?

      You have a citation for that claim?

    20. Re:Cash! by cyn1c77 · · Score: 1

      Cash. Is. King.

      Not when you get mugged, it isn't.

      Or when you lose your wallet. Or when you want to dispute a payment. Or when you buy something over the internet.

      Unless you are buying a prostitute or drugs, you should be using a credit card. Preferably one with benefits like cash back or miles. Or maybe you don't want a discount on everything you buy, with all purchasing risk carried by your credit card company. Maybe you don't want to build up your "credit rating" so that you can buy a house. And all for free if you can manage to pay your CC bill on time.

      Seriously, the only people I know who use cash are my grandfather who doesn't trust banks and my uncle who doesn't declare his income to the IRS.

    21. Re:Cash! by mishehu · · Score: 1

      The only time I think you have to fill out any such form is for Customs (not the IRS as far as I know) declarations when you are carrying cash or "monetary instruments" in excess of $10k. At least I believe that is the regulation.

    22. Re:Cash! by ivan256 · · Score: 1

      File with the IRS for any banking transaction greater than $10K, yes, but actually to carry it?

      Even that is only partially true. There's no filing requirement for large bank transactions, unless there is a transferral between multiple parties. You can move however much money you'd like between bank accounts and from cash and back as you'd like without filing.

    23. Re:Cash! by badasscat · · Score: 1

      Aren't you legally required to accept cash? I.e., "This note is legal tender for all debts, public and private"?

      Nobody "has to" accept any amount of cash, be it pennies, twenties or ten thousand dollar bills, regardless of what it says on the front.

      The note about it being "legal tender" is telling you that it's an official bill. It's not saying anything about a private individual being required to accept it for payment. All it's saying is that it is a government-backed piece of paper. But a private company or person can choose to do with it, or not do with it, whatever it/she/he wants.

      In fact, these days, when it's so easy to counterfeit, that "legal tender" line is more symbolic and traditional than anything else.

    24. Re:Cash! by Vancorps · · Score: 1

      No, to carry more than $10k in cash you have to file an IRS form. I work for a car auction company and we routinely have people trying to buy cars with cash to hide their money. It never works as we're legally required to report it which is easy since there are police officers literally 50 feet from our office at all times during our event.

      Here is my citation IRS 8300

      This form requires that you submit your social security number along with cash so that you may be identified.

    25. Re:Cash! by Vancorps · · Score: 1

      Citation

      Not to actually carry it, but to do anything with it. It is the responsibility of the receiving party to file this form which requires your social security number or some other tax identifier.

    26. Re:Cash! by RzUpAnmsCwrds · · Score: 1

      First, you don't need credit to get a debit card in the US either. You can simply open a checking account at a bank or credit union and they will give you a debit card. My credit union can actually produce a card in about 2-3 minutes while you wait.

      The debit card is accepted as a debit card (using your PIN) or as a credit card (mine is Visa, some are MasterCard). You can use it pretty much everywhere, including at fast food places, gas stations, or online. There are very, very few "cash only" places left anymore in my area.

      Second, many major metro areas in the US have RFID-based cards. The SmarTrip card (Washington DC) is very similar to the Oyster card.

      Credit/Debit cards (RFID or magstripe) are cheap, compact, and easy to replace if they're stolen. Maybe some sort of consolidated "digital wallet" could replace my real wallet, but considering that I have cards from many different systems (State Driver's License / ID, University ID, Credit/Debit Cards, Transit Card, Health Insurance Card) it would take a huge consolidation effort to come up with a single interconnected system. Not to mention cash.

      So, basically, I need to keep my wallet anyway. Carrying a couple of thin plastic cards isn't the largest of my concerns.

    27. Re:Cash! by ckaminski · · Score: 1

      That has nothing to do with carrying cash, but about reporting cash transactions that total more than $10,000.

      I can carry $100,000 in hundreds in my pocket if I want, and buy things at stores all over America but if I spend less than $10,000 in any one store, I don't have to go on a list or file paperwork.

      Kudos on the citation though.

    28. Re:Cash! by ivan256 · · Score: 1

      As I said in my post, and as your own reference confirms... You are only required to file when said cash is transferred from one party to another. You can carry it around with you all day if you'd like without filing anything.

    29. Re:Cash! by Vancorps · · Score: 1

      You are correct in that I combined the two ideas because I can't imagine wanting to carry that much cash unless I was buying something big which would require me to fill out the form.

  13. CC's are american ... by YeeHaW_Jelte · · Score: 1

    ... most ppl outside of the US don't have one. I only have one for my internet purchases and international travels.

    And I'm not quite sure how you do your payments with credit card, but I haven't ever used it by just waving it. I always have to use it by swiping it through something to read the magnetic strip, a technique which is well overdue for replacing as it is prone to misreadings and wear and tear.

    Moreover, I think paying by mobile phone does not require the person payed to to actually check you balance, it's a kind of load the thing with credits payment. So it speeds up transactions.

    I think the advantages over credit cards and magnetic strip cards in general are numerous.

    --

    ---
    "The chances of a demonic possession spreading are remote -- relax."
    1. Re:CC's are american ... by onkelringnes · · Score: 1

      ... most ppl outside of the US don't have one. I only have one for my internet purchases and international travels.

      That's a bit of a broad statement isn't it? If you're only counting the developed world outside the US then I would think the opposite would be true. Wherever I go travelling I see credit cards being used all the time. I've got a stack of them, most of them I never use, but they get literally thrown after me.

    2. Re:CC's are american ... by YeeHaW_Jelte · · Score: 1

      As I said, international travel is one of the reasons to own a credit card, which is why you see them all over the place when traveling.

      But, sure, if you want to hear it more with more nuance, I know that the prevalence of CC's outside the US is much lower than inside the US and most people in the Netherlands and Europe would not think of using their cc (if they have one) for buying train tickets or paying at a supermarket.

      Moreover, note that most of the large CC companies are american, which is a telltale sign of which markets are important for CC companies.

      --

      ---
      "The chances of a demonic possession spreading are remote -- relax."
    3. Re:CC's are american ... by Nursie · · Score: 1

      I'm not sure where you come from, but most brits have one or two as well. Not sure about continental europe, mind.

    4. Re:CC's are american ... by Anonymous Coward · · Score: 0

      In the UK, most people seem to have credit cards, although debit cards are a lot more common than they seem to be in the US.

    5. Re:CC's are american ... by Anonymous Coward · · Score: 0

      Credit cards are also very popular in the UK. And, like the USA, we are drowning in an ocean of consumer debt.

    6. Re:CC's are american ... by morgan_greywolf · · Score: 1

      Actually, in the U.S., for paying at the supermarket or paying for fares or tolls, or other everyday purcahses, most of us don't use our credit cards for that. That's what debit cards are for. Most of our debit cards have a Visa or MasterCard logo, so they are indistinguishable from credit cards in almost every way.

      Credit cards are more for things that you don't have the money for right now, but will have the money for later or for buying things that you will pay for over a short period of time. They're a bit safer for using over the Internet, too.

    7. Re:CC's are american ... by Anonymous Coward · · Score: 0

      English guy living in Australia here...

      In the UK, ATM cards are pretty much all usable as debit cards as well. You use the ATM card to make a payment, and the funds immediately come out of your bank account. I believe it uses the same payment system and infrastructure as credit cards, so the number on the card is also a credit card number.

      In Australia, bank cards can be used the same way, but using a completely separate payment system to credit cards. Which is very annoying if you want to pay for stuff online, because you're forced to get a separate credit card. Real debit cards are almost unheard of here.

      I've seen very few people here actually use credit cards to pay for things, unless they don't have enough money in their bank account, or they've run into the typically low ($500 per day) limit on bank card use.

    8. Re:CC's are american ... by xaxa · · Score: 1

      I'm not sure where you come from, but most brits have one or two as well. Not sure about continental europe, mind.

      They are more likely to have debit cards (but as they look exactly the same, and use the same processing companies, it would be difficult to notice the difference).

    9. Re:CC's are american ... by drsmithy · · Score: 1

      ... most ppl outside of the US don't have one.

      That's a mighty bold claim. The only country I've been to where cash is used more often that credit or debit cards, is Switzerland.

    10. Re:CC's are american ... by jhesse · · Score: 1

      but I haven't ever used it by just waving it. Paywave If you thought RFID was scary...

      --

      --
      "I have also mastered pomposity, even if I do say so myself." -Kryten
    11. Re:CC's are american ... by drsmithy · · Score: 1

      In Australia, bank cards can be used the same way, but using a completely separate payment system to credit cards. Which is very annoying if you want to pay for stuff online, because you're forced to get a separate credit card. Real debit cards are almost unheard of here.

      In Australia, bank-issued credit cards can almost always be linked to a savings account, so they can operate as either an "ATM card" or a credit card (note that overseas ATMs typically cannot access the linked savings account, however - VERY IMPORTANT). Obviously this requires you to have a savings account at the same bank that issued your credit card.

    12. Re:CC's are american ... by Hordeking · · Score: 1

      As I said, international travel is one of the reasons to own a credit card, which is why you see them all over the place when traveling.

      There's not much difference between cash and credit cards, really. You still get charged a moneychanging fee (even though it doesn't involve human interaction) even if you use a credit card. Maybe there are more compelling reasons to use one, but I think I'd prefer not leaving a trail.

      --
      Disclaimer: The opinions and actions of the US Gov't are in no way representative of those held by this author or its ci
    13. Re:CC's are american ... by xaxa · · Score: 1

      The most compelling reason for using a card of some kind is not having to carry large amounts of cash round an unfamiliar city.

    14. Re:CC's are american ... by Rich0 · · Score: 1

      It depends very much on the individual. I NEVER use a debit card unless in a situation where a credit card won't be accepted. I don't pay a dime in interest as long as the bill is paid off every month.

      The danger of using a debit card is that if somebody manages to run up a ton of charges you may be stuck with them. Credit cards are much more heavily regulated and if you didn't personally authorize the charge you're generally not liable for it (after a token $25 or something like that, which almost all companies waive anyway).

      Now, carrying debt on a credit card is a whole different matter, and credit card terms are horrible as far as loans go.

    15. Re:CC's are american ... by DrgnDancer · · Score: 1

      When they talk about this kind of tech I'm pretty sure they're including CC branded debit cards in the mix. I try to avoid using credit cards too, but I use a card to pay quite a bit. I just use the debit card 99% of the time.

      --
      I don't need a million points of light, just two points of multi-mode fiber and a 10 Gig-E router.
    16. Re:CC's are american ... by Anonymous Coward · · Score: 0

      I know that the prevalence of CC's outside the US is much lower than inside the US ... most people ... would not think of using their cc (if they have one) for buying train tickets or paying at a supermarket.

      Cite please - your comment is totally different to what I've experienced.

    17. Re:CC's are american ... by badasscat · · Score: 1

      That's a mighty bold claim. The only country I've been to where cash is used more often that credit or debit cards, is Switzerland.

      It may run counter to the article summary here, but Japan is also much more cash-based than credit or other card-based. A lot of first-time visitors to the country can't seem to get their head around this - they see people swiping their way through the Tokyo subway, or waving their phones at vending machines, but then they walk into a major clothing store chain and find they only accept cash. So they walk into another and find the same thing. So they go to a bank to get a cash advance and find that their credit cards don't even work.

      The trick is, most of all this waving and swiping you see in Japan is linked to refillable cash accounts, not credit. And because of that, these networks are not linked to foreign banks. You can't go to Japan and pay for much with a US-based Chase bank or credit card. (Citibank is your best bet, but still most stores don't accept anything.) You have to have a local cash account specifically for these Japan-issued cards.

      About the only places that credit cards work reliably in Japan is hotels.

  14. Candy?! by dvh.tosomja · · Score: 2, Funny

    >> candy in vending machines

    Sure, some of the rubber has fruity flavour but calling them candy?

  15. Edy by Anonymous Coward · · Score: 0

    http://en.wikipedia.org/wiki/Edy

  16. Think of the children! by Thanshin · · Score: 1

    Children have mobile phones before having credit cards.

    Phones linked to their parents' accounts.

    Giving children the ability to spend money on a whim is quite profitable.

  17. Re:I don't see what the problem is... by BazilBBrush · · Score: 1

    And I bet patents are blocking other companies from working together on it.

    Possibly, but I reckon it is more a case of the attitude of the relevant players.

    In some cultures, companies still approach their business from a "provide a quality service for a reasonable price and the customers will come" philosophy. Are you old enough to remember companies like that in western countries?

    Unfortunately in our capitalism at all costs way, too many companies approach their business from a "how much can we milk em for, how do we lock em in" philosophy.

    So when there is some new you beaut tech just waiting for everyone, we get a situation aptly described in TFA as

    "it is completely possible nothing will happen in mobile payments in the next five years if everybody keeps thinking only about their own piece of the puzzle."

    Read as "piece of the pie"...

  18. You bought how many train tickets? by OhMickey · · Score: 1

    ... I've got MS and wound up paying for like 30 tickets one day because I stood there shaking.
    The resultant discussion at customer service brought out my turrets.
    r--Micke

    1. Re:You bought how many train tickets? by serviscope_minor · · Score: 1

      You have turrets? That's unfortunate. Those battlements can really flare up and they itch like mad.

      --
      SJW n. One who posts facts.
  19. I for one am glad by gelfling · · Score: 1

    I just can't see an American company getting this right w/o 'accidentally' overcharging me or just screwing it up completely. I don't need another billing problem to call Sprint about.

  20. Government intervention by Fjan11 · · Score: 1

    Although I'm a staunch believer in free markets, for basic infrastructure like payment systems perhaps a guiding role by the government wouldn't be a bad idea, just like they have a role with regular old currency.

    --
    This sig is just as redundant as the rest of this posting
  21. Privacy Anyone? by JWman · · Score: 1

    I'm not a fan of the "Pay Wave" features on credit cards even. I don't especially like the idea of my information being transmitted from my wallet anyone in my immediate vicinity with a reader. Especially when the payoff to me is zero. I think "Pay wave" is a useless feature. Is it THAT hard to swipe a card instead of "wave" it in front of a reader? Then at least I don't have to worry about other people on a bus/subway/crowd who are close enough to steal my info without ever touching my wallet.
    Given my distaste for this feature on credit cards, I sure as hell don't want it on my cell phone.

    The real story here is the failure of businesses to work together to deliver a feature to consumers (many of whom would no doubt enjoy this feature).

  22. It's been 5 years . . . by AncientPC · · Score: 3, Interesting

    And yet I've yet to see one in use in Japan. Granted I only stay a month there every year, but cash is king in Japan and Asia in general. I rarely see credit cards being used (although it has become a bit more common over the past 15 years).

    1. Re:It's been 5 years . . . by Jesterboy · · Score: 1

      I think you just didn't notice people using them; they are not only limited to cell phones and credit cards, you can buy Suica / PASMO cards and load them with money. They can be read through a wallet or purse too. They are a godsend for trains; you can skip the crowed ticket vending machines, and go directly to the tracks. You wave your wallet / cell phone / purse over the blue IC reader on the turnstile and you're in. You ride to which ever station, go to the exit turnstile, wave it again, and it automatically deducts the appropriate amount. It makes dealing with transferring train lines so much easier to; just walk through the turnstiles you need. The paper tickets support some limited transferring, but you have to know exactly where you're going and how much it costs, and buy the combined amount of money for the station you want to end up in. If you make a mistake, you either throw away the ticket and the money or have to talk to a station master to pay the difference.

      They were all over the place two years ago, but I noticed a sharp increase when I was in Tokyo two weeks ago. Every station on the Yamanote Line has added pink Suica / PASMO only turnstiles, something you learn to watch for after trying to use a paper ticket on them. It wasn't just Tokyo, either; Niigata, Kyoto, Oosaka, all of them had these at every turnstile, on vending machines, and at every convenience store I went to. They seem pretty dangerous, though; they're even faster and easier to use than a credit card. You think American's average debt is large now...

    2. Re:It's been 5 years . . . by Anonymous Coward · · Score: 0

      Ahh OK, that makes more sense. I was under the impression that everyone was just using an IC card for the pink turnstiles.

      Likewise US is behind UK in terms of credit card ICs as well.

    3. Re:It's been 5 years . . . by InakaBoyJoe · · Score: 1

      I was about to reply and say, "what rock have you been living under?!" The payment terminals are simply everywhere in Tokyo; you can't miss em.

      But the parent has a point: in rural and more old-fashioned areas of Japan, it's true that NFC payment systems are a bit more rare and cash is generally preferred. The exceptions are the national chain stores and convenient stores, which accept NFC payments, but for a rural resident, there might not be enough "critical" mass of stores to justify signing up.

      So here we have another article that says Japan is somehow unique, homogeneous and therefore "easy" to set up NFC payments. But that's a rather flawed and tired excuse. The NFC payment systems in Japan are just as fragmented as anywhere else, with lots of mutually incompatible systems (Seven-Eleven being a prime example, accepting only their homegrown "nanaco" card). The difference is that the hardware aspects are all based on the FeLiCa standard, thus, much as different protocols can run over Ethernet, you don't need to invest in various mutually incompatible hardware sets.

      People outside of Japan should follow this model too. First decide on a widely compatible communication standard (FeLiCa is a decent one and already used internationally) and then let the various billing companies fight it out.

  23. Another feature I don't need by Jason+Levine · · Score: 3, Insightful

    Now, when the salesman gets finished telling me about their latest phone which can do everything short of transforming into a giant robot (feature available in the next model) and asking what I'd like to do with it, I'll look like even more of a Cellphone Luddite by saying "make calls." I don't text, rarely take cell phone photos, and don't check the Internet from my phone. I upload my own ringtones ( http://www.myxer.com/make/ ) and don't care about applications or games on my phone. All I do is make phone calls.

    --
    My sci-fi novel, Ghost Thief, is now available from Amazon.com.
    1. Re:Another feature I don't need by pimpimpim · · Score: 2, Informative

      These phones are available in Europe in all kinds and shapes. Mostly in prepaid packages for 10-20 euros, but also without a sim lock for about 50. Didn't have a phone with a camera yet. I guess there is a substantial market for it and the manufacturers recognize it.

      --
      molmod.com - computing tips from a molecular modeling
    2. Re:Another feature I don't need by Anonymous Coward · · Score: 0

      Shut up.

  24. The downsides of cash by jonaskoelker · · Score: 1

    I've used cold hard cash

    It has some drawbacks as well:

    • If you get mugged, the cash is lost [in the same way money "on" your credit card isn't]
    • It's not waterproof
    • It's flammable
    • It's not loch Ness monster-proof if you have at least treefitty. On the other hand, it cures AIDS.

    Strokes for fokes, horse for coarses... I think.

    1. Re:The downsides of cash by timeOday · · Score: 1
      "It's not waterproof"

      Heh, you never accidentally laundered your jeans with some cash in there? It doesn't harm anything.

      I think authorities around the world want to marginalise cash because it's not traceable. If you think that's paranoid, consider they already stopped printing large denomination bills in the US because they're too handy for the drug trade.

    2. Re:The downsides of cash by js_sebastian · · Score: 1

      I've used cold hard cash

      It has some drawbacks as well:

      • If you get mugged, the cash is lost [in the same way money "on" your credit card isn't]
      • It's not waterproof
      • It's flammable
      • It's not loch Ness monster-proof if you have at least treefitty. On the other hand, it cures AIDS.

      Strokes for fokes, horse for coarses... I think.

      I would say the main downside of a credit card (besides not curing aids like cash-injected-in-the-vein can) is that credit card companies are pocketing a few percentage points of each transaction you make. You think the vendors are paying it, not you. Think again. The consumer ultimately pays for everything.

    3. Re:The downsides of cash by dkf · · Score: 1

      I would say the main downside of a credit card (besides not curing aids like cash-injected-in-the-vein can) is that credit card companies are pocketing a few percentage points of each transaction you make. You think the vendors are paying it, not you. Think again. The consumer ultimately pays for everything.

      It cuts both ways. Handling cash is tremendously expensive (or did you think that armored cars and security staff were free?) and ultimately that increases the price of goods as well. You might not see it as a line-item on the receipt, but it's still there.

      I've absolutely no idea about the relative cost of handling cash or credit cards.

      --
      "Little does he know, but there is no 'I' in 'Idiot'!"
    4. Re:The downsides of cash by assassinator42 · · Score: 1

      Most of the cheaper stores around here (dollar stores and Aldi) only take cash or debit, so they obviously think taking credit cards is a net loss.

    5. Re:The downsides of cash by ckaminski · · Score: 1

      This is thanks to the two part transaction fee exacted from the vendor.

      A flat-rate transaction charge (say $.25) and a negotiable rate for the dollar value of the transaction, say (2-5%).

      For a large transaction of $100, those charges get lost in all the noise. For a $3 cup of coffee and danish, it might be the difference between turning a profit, and breaking even.

      I think that fee is still present for debit cards, but the percentage isn't.

  25. Re:Speaking of pennies.... by SIR_Taco · · Score: 1

    I once got a parking ticket in the downtown core of my city... a ticket in which I disagreed with (only $7, but still, it's the principal).
    So, I went to the bank and got $7 worth of rolled pennies, opened the rolls into a bag and proceeded to City Hall to pay my fine (being the smart-ass that I am).
    To my surprise they refused the payment and it turns out there was an active by-law prohibiting the same thing that I was doing.
    I guess sometime (about 30+ years ago) a man was upset for a $200 fine that he received from the City. He went to the bank and withdrew $200 in nickels and dimes, loaded them into a large bucket, went to City Hall and dumped it all over the floor. He then asked them to count it and get a receipt.
    Here I thought I was crazy...

    --
    I say don't drink and drive, you might spill your drink. Before you get behind the wheel just stop and think.
  26. Well, we have all have our personal hells by Anonymous Coward · · Score: 0

    "I always have to use it by swiping it through something to read the magnetic strip"

    I know, damnit! Why can't people stop this kind of thing. It's like an English workhouse from the 1800's the way we have to go around swiping cards. It's against the Geneva convention!

    Thank god I'll soon be able to wave my phone. About time!

  27. Mark of The Beast? by CranberryKing · · Score: 1

    Seriously, people are really disconnected from their money when they are disappointed they can't just bump their phone but have to manually swipe a card. Everyone is in such a rush to let the government control their money (and that's going well) & have convenience that they don't realize it's having less and less worth. Just a bunch of credits in a computer which soon you won't be able to get by without. As for me, cash is always the way to go. If it 'holds up the tube', it's the system's designers fault, not the cash paying customer. "Hi sorry, all I have is real money". I'll give you three chickens for that iPod.

    1. Re:Mark of The Beast? by zrq · · Score: 1

      Given that the paper and metal tokens are just that - tokens that represent a promise to pay (something - now no longer certain) at a later date.
      What exactly is 'real money' ?

    2. Re:Mark of The Beast? by Anonymous Coward · · Score: 0

      Cash not allowed on bus. Buy prepaid cards at the local store/kiosk. TYHAND.

    3. Re:Mark of The Beast? by Anonymous Coward · · Score: 0

      In this context, "Real Money" is something that has to be physically taken away from you for you to lose it. It can't be stolen remotely, it can't disappear due to an electronic glitch and generally (except possibly some Rfid chipped high-value notes in some coutries) can't be traced automatically by the authorities. "Real Money" doesn't dissappear when your bank collapses - only when your entire economy and currency collapses.

  28. Why stop there? by Anonymous Coward · · Score: 0

    Hell, just get the damned thing implanted in your hand. Why introduce an intermediate step when you can just skip right to the inevitable solution. Eventually human embryos will be engineered to grow a number of "diagnostic" and "communication" devices inside of them.

  29. Just like the waving of credit card by SupremoMan · · Score: 2, Interesting

    It would be cool feature, if there were readers for it. As is, I can barely use my card with RFID at 2 local establishments. And at one it does not work properly all the time. Everyone else still has old credit card readers, and they have no incentive to throw away what works.

  30. Fraud risk too by bbernard · · Score: 1

    Absolutely. That, and the fraud risk. Who is responsible when my cell phone is stolen, cloned, etc. and somebody runs up a huge bill using it to pay for things? If my credit card is stolen, US law limits my responsibility to $50. If there are fraudulent charges, I can contest them with my credit card company and they and the retailer bear the liability to validate the charge. I'm sure that the cellular companies aren't too keen to take on these risks themselves, so they'll either try to find a partner (the credit card companies or banks) or they'll try to pass the liability all the way to the end user.

    One thing that will completely prevent me from being interested in this form of payment is the level of risk I am assuming when I use it. Ask me why I don't use a debit card? Because there's a higher risk to my cash flow if somebody drains my checking account than if somebody hits my credit card limit.

    --
    ----- Connection reset by beer
  31. Crap! by Anonymous Coward · · Score: 0

    I think I'm getting old because this article SUCKS! Just like Broadband in the US, these stupid god damn american companies cant figure out how to split revenues. C'mon...Japan gets 100MB connection for 14.95 and we'll never see that here due to corporate GREED!!!! Just like these dumb ass phones that would probably work relly well...we'll never see it because these stupid dumbass american corporate heads are so faggity and greedy that you couldnt even give each one of them a quarter anyway because they would all be standing around wondering:

    1) Why it's just a quarter
    2) Should the persons building you are standing in be the person who gets 2 quarters becasue they own the building you are all standing in
    3) Can you possibly give away 2 quarters?
    4) The guy who poured the cement for the ground you are stadning on to make this whole transaction happen probably deserves a few quarters too
    5) Starbucks
    6) ?
    7) Profit

    1. Re:Crap! by Anonymous Coward · · Score: 0

      I think I'm getting old because this article SUCKS! Just like Broadband in the US, these stupid god damn american companies cant figure out how to split revenues. C'mon...Japan gets 100MB connection for 14.95 and we'll never see that here due to corporate GREED!!!!

      It's more like $25 a month here for unlimited 100MB connections. See, you don't have it bad.

  32. I guess I don't see the appeal of this. by fotbr · · Score: 1

    Why do people want to do EVERYTHING with their cell phone? Not trolling, I just don't understand the desire to have a cell phone do everything except wipe your butt for you. I sort of understand the Japanese, since their culture has a special place for gadgets -- but why the expectation that since it was popular there, it should be popular everywhere?

    Besides, with the inability of people to keep track of their phones, do you really want whoever finds / steals your phone to buy a bunch of stuff in addition to running up a big list of international calls, all for you to pay for?

    1. Re:I guess I don't see the appeal of this. by argent · · Score: 1

      I'm not even big on having a camera and mp3 player in my cellphone. Or running applications in it. My ideal cellphone would have a battery the size of a candy bar with a basic cellphone with maybe a 4 line B&W display, and a PAN link to my *separate* PDA. It would have 8 days hold time, and at least 8 hours talk time, and the battery would have a swing-out USB connector so I can use anything with a USB port to charge my spare battery.

      That way all the important stuff (data and software) would be on my PDA, so I wouldn't need to "buy the white album again" if I replaced my cellphone. And I wouldn't worry about running my cellphone down playing Tetris.

    2. Re:I guess I don't see the appeal of this. by DrgnDancer · · Score: 1

      That way all the important stuff (data and software) would be on my PDA, so I wouldn't need to "buy the white album again" if I replaced my cellphone.

      By "buy the White Album again" I assume you mean, "Transfer the MP3's you had on your old phone onto your new phone". Which is really awful, I agree. It took like 30 minutes last time. I was traumatized. Good thing I could still listen to them on my computer while they were transferring to my new phone or I might not have made it.

      I'm being obnoxious I know, and you were probably talking about have to require software when you change platforms (which actually can be a PITA if you have something you liked that doesn't run on the new platform), but really how is this any different than having to go through the same stuff every time you replace your PDA? I don't see how you would replace your phone platform (with PDA built in)any more or less often than you would replace your PDA platform (with external phone).

      --
      I don't need a million points of light, just two points of multi-mode fiber and a 10 Gig-E router.
    3. Re:I guess I don't see the appeal of this. by argent · · Score: 1

      but really how is this any different than having to go through the same stuff every time you replace your PDA?

      To begin with... for the price of a smartphone I can buy two PDAs.

      But beyond that, my PDA is also a good deal less likely to get dropped or broken than my phone (this is just my experience here... I'm not likely to get an important "PDA call" when my hands are occupied, it's a device with a more leisurely lifestyle), and it's a simpler device and so it's got fewer innards to go wrong. And I've had good luck being able to buy used (even reconditioned or refurbished) old PDAs when mine breaks... reducing the likelihood that I'll have to upgrade to an incompatible model (and, perhaps, a sign that I'm not the only one who takes better care of PDAs than phones). My current PDA is a five year old Sony, on its second battery, and I've been through three phones since I got it. Right now, I don't see a PDA I like enough to replace it.

      I have in the past had a Handspring Visor and an HP Jornada, and found that I couldn't "cut the cord" from my Visor and just depend on the Jornada... which is why I bought the Clie: it had most of the features I liked from the Jornada, and it was compatible with my "white album" ... the software that was tethering me to the Visor.

      I could probably switch now... the software available for the Pocket PC is no longer so limited... but it would still be a substantial extra cost. There's no way I'd have been happy to take that hit every time I replaced my phone.

    4. Re:I guess I don't see the appeal of this. by DrgnDancer · · Score: 1

      Maybe it's just the way I buy phones. I had my Treo for three and half years, and I don't plan to replace my iPhone anytime soon. I can handle having to reacquire software every 3-4 years. Unless things change drastically I'll probably just replace the iPhone with whatever the current version of it is, so in theory I should be able to keep all of my applications (We'll see though, two years is a long time and something else may come up that I like more). I could never really get used to carrying a PDA, so integrating it into my phone was nice. Adding in the MP3 player was a nice bonus. Now I have one device that does everything I need on a day to day basis. This is good, as my phone is the one device I can reliably say I won't lose.

      --
      I don't need a million points of light, just two points of multi-mode fiber and a 10 Gig-E router.
    5. Re:I guess I don't see the appeal of this. by argent · · Score: 1

      I can handle having to reacquire software every 3-4 years.

      That's another difference, perhaps. It could well be that I get more software, or weirder software, than you, because after 2 years I could NOT find software for the Pocket PC to replace all of the programs I used on my Visor... and I suspect Apple will never allow me to get some of them for the iPhone without jailbreaking it. The iPhone isn't even on my *long* list just because it's not open-source friendly.

    6. Re:I guess I don't see the appeal of this. by Anonymous Coward · · Score: 0

      The Japanese cell phones can be configured to require a password to use the card features, which is separate from the password you can set to lock the entire phone. So theft is a controllable risk if you're paranoid enough to trade convenience for security.

  33. Re:Speaking of pennies.... by Hillgiant · · Score: 4, Insightful

    Never underestimate the lengths to which some jerk will go to make some poor government employee's job miserable. Especially if they (a) have nothing to do with why the jerk is upset, (b) are powerless to change it, and (c) would be likely to commiserate with the jerk's predicament if he weren't being such a dick about it.

    --
    -
  34. Fees and chargebacks are the problem. by Animats · · Score: 1

    The US was the first country where credit card verification machines were widely deployed, and that infrastructure seems to satisfy most needs. There's also a tradition that the merchant eats the credit card fees, and law that the bank and merchant are responsible for errors. So from a consumer perspective, it's a good system.

    Redwood City, CA just installed a parking meter system which accepts payment via text messages from cell phones. You can even extend your parking time remotely. But there's a $0.35 "convenience fee" for this, because the mobile operator and the payment system operator both want a cut. That kind of thing seems to be typical for US phone-based payment schemes.

    When the payment processor is a telco, rather than a bank, they're not subject to bank-type regulation, which means fixing errors is more of a hassle.

    We may see more US regulation in this area under the new administration. More "bank-like entities", like hedge funds and "non-bank banks" are being brought under banking and securities regulation, for obvious reasons. That trend may sweep up PayPal, eGold, and other money-handling systems. It used to be expected that entities that handled other people's money were regulated, but over the last two decades or so, ways around this were devised. That didn't work out too well.

  35. Comment removed by account_deleted · · Score: 1

    Comment removed based on user account deletion

  36. Bad manners. by sunking2 · · Score: 1

    This means I'd have to interrupt my important conversation that I'm having in line and take the time to swipe my phone. I doubt all the people around me listening want me to be inconsiderate to the other person on the other end.

  37. theft and loss vs. security vs. convenience by Anonymous Coward · · Score: 2, Informative

    You're not eager to introduce a payment option that has less overhead costs than physical money?

    The problem is overloading functions on one device / card.

    If I lose my mobile now, it's going to painful and annoying to get it replaced. If I lose it and it has cash deposited on it, then it's just more of a loss.

    If I'm being mugged (or pick pocketed), then all I'm askied for now is my wallet. I don't want to have to lose my mobile as well (which I could otherwise use to call for help, a taxi, or the police).

    It's the same idea with having driver's licenses or other cards that can hold monetary value (which I think a few US states have). If I have my cash stolen, no big deal, I don't carry a lot; if I have my debit card stolen, it's not too bad as they need to know my PIN, and I have it limited to how much I can withdrawal or purchase on it; with credit cards, I can deny payment.

    When all of those functions are on one or two objects (cards or a mobile), then I'm really SOL if I lose it or have it stolen.

    Overloading is nice for convenience, not so nice for security.

    1. Re:theft and loss vs. security vs. convenience by badasscat · · Score: 2, Insightful

      If I lose my mobile now, it's going to painful and annoying to get it replaced. If I lose it and it has cash deposited on it, then it's just more of a loss.

      The money isn't tied to the phone, it's tied to an account to which the phone is tied. Big difference. The account goes nowhere if the phone is lost.

      It's really no different than if you lost your phone now - would your phone bills suddenly stop coming? No, obviously your account is separate from your phone. Your bills will keep coming until you tell the wireless provider that you no longer have a phone. Same thing in reverse with payment. You have an account, your phone is tied to it to monitor usage but it's not as if all that money suddenly disappears with your phone if it's lost.

      If somebody steals your phone, it's your responsibility to notify the carrier within a certain amount of time to avoid fraudulent charges; no different than our current system. You need to do the same now to avoid fraudulent usage charges; this is the same thing.

  38. If we had this here by Rudy+Rodarte · · Score: 1

    I would probably burn $100 bucks a week on peanuts and cokes at work. Would still like it, though.

  39. Problem solved. by fahrbot-bot · · Score: 1

    Simply get one of those Visa (PayWave) or Mastercards (PayPass) cards and tape it to your cell phone. Geesh, was that so hard?

    --
    It must have been something you assimilated. . . .
  40. Why are Carriers involved? by dalhamir · · Score: 1

    Am I missing something? Why the hell would you need carrier's okay for this? It doesn't use their network. It seems like all you need is the electronics manufactuer and the credit card company, which have very compatible business models. One time pay for electronics for providing a secure platform and hardware, and then either fee based or interest based income for credit cards for maintaining the network and handeling the individual payments. It really shouldn't be that hard. If the carriers are being annoying just cut out the middle man.

    1. Re:Why are Carriers involved? by Stradivarius · · Score: 1

      That was my first thought too.

      After all, if we do electronic transactions online with nothing more than the card number, expiration date, and CVV number; surely you could just have a simple app on the phone in which you can enter/store that info, and it will transmit it to the reader when you want. That doesn't require complicated coordinations between all these different businesses.

      However, since most people get their phones through their carrier, the carriers are probably using their power as gatekeeper to take a cut of these transactions. Carriers such as Verizon have used this power before to cripple phone capabilities that allowed users to do for free those things that the carriers wanted to charge for (e.g. certain Bluetooth profiles). Manufacturers that don't comply don't get their phones sold by that carrier. My guess is they're pulling the same stunt here - the carriers win, and consumers lose.

  41. Useful in Japan by Kashell · · Score: 0

    When I lived in Japan this was an incredible feature. This is primarily because cellphones are so important in Japan compared to the rest of the world. If you don't have a cellphone in Japan, you don't exist.

    Not only are their basic cellphones more intuitive, but also more useful. DoCoMo, SoftBank, AU... all of the Japanese cellphone companies are extremely competitive and offer incredible services. You can watch TV on your phone, scan a "cell phone UPC" code on a movie poster and watch the preview for the movie, use your phone as a debit card, call your girlfriend, email your mom, look up maps, or install open source applications.

    You heard that laughing sound when Apple tried to market the iPhone to Japan? It's because their basic phones already had those features and more.

  42. Re:Speaking of pennies.... by Anonymous Coward · · Score: 0

    Let me know if you've EVER come across a government employee who "would be likely to commiserate" with the citizen he's supposed to be serving. Personally, I doubt such a mythical creature exists.

    It's only anecdotal, but my entire experience with "government employees" has been one of inefficiency, surliness, and general hostility toward their work, the people they interact with, and the world at large. In many cases, they seem to take a perverse pleasure in doing the worst job possible. Honestly, it's hard not to generalize about this group. as my encounters with them have been universally negative.

  43. Re:Oyster cards! Not a Chance in the States by Phoenixhawk · · Score: 2, Interesting

    Love the idea, but I don't see it working. Basically what we are talking about (Sooner or later) is the Credstick from Shadowrun. Your whole ID/Bank/Credit etc all on stick to "slot and run" The whole "Its Credit" thing is crap, it could be attached to a credit system, or it could be debt system or pre-paid. But then again Pre-paid is crap as well, its the same as gift cards, your giving money for a service your not using/getting, if the store / company goes away you lost the money, if you didn't spend the credit within a certain time, you lost the money. And then you have the problem of readers. If I win/loose the bet with the guy in the cube next to me. We have to have a reader just to know exactly what our balances are, have a way to transfer the balance, and someway of that change update to the master database. which at the root of it all is what your really talking about. But Personally putting it on your phone is a bad idea. In the last year I had 5 phones. 1 stolen, 2 upgrades, and 3 destroyed. Anyone know where your info goes, when your cell is off to the shop to be repaired or stolen. Anyone ever dropped a cell. (FYI 250$ for a new screen on a iPhone) Now ask a cabbie, or someone that works in a restaurant how many cells get left behind.... I one saw a guy with a briefcase walk through a subway station and come back with the data from every phone and pda that was powered on in the place at that time, and if you feel safe putting your funds into it go for it. It is making a more hackable, destroyable, losable, more expensive credit card that needs changed all the time. (Not to mention cellular contracts) RFID is not new, its been in use in the states for a long long time, on a lot of toll highways and bridges for commercial use. Could it be done as a sole means of monetary usage in the states, Not a Chance. US is nowhere near as small as Europe, Nor does it have the years of infrastructure in place. Unless your talking about one of the major cities (NYC, LA, etc) and even then we don't even have complete cable coverage or cell coverage here yet! Trains, Bus's, don't exist outside of those major cities which is where most people live. To Put things into comparison, for those that think that one can simply say poof and have miles and miles of line ran, and towers put up. The Whole of The UK is 245,000 km that is all of England, Northern Ireland, Scotland, and Wales The Whole of the single state of Florida is 170,304 km The Whole of the United States is 9,158,960 km of land. You do the math, and please think of the Cat(6)'s

  44. Round Peg .v. Sq Hole problem by ElitistWhiner · · Score: 1

    Digital payments processing should "just work" capturing transaction informations and validating exchanges without selling private behaviors to the highest bidder (including participants) and unwind in accountable fashions

    The US banking system is forced by law to process payments by "cheque" or "credit card" period. Every transaction ultimately passes down one of these two legislated payment paths.

    Without new legislation for digital transactions that establishes digital protocol, it perverts commerce into this circus of new product actors that are only entertaining instead of simply working. Hence, the money grab of the gatekeepers.

  45. more harm than good by Anonymous Coward · · Score: 0

    It is a convenience that is just not needed. Cell phones have become so common and cheap that the incentive for stealing them has gone way down (also because of the decrease in the price of long distance calling). But, if you turn cell phones into credit cards, you will see a sudden increase in stolen phones. Thieves will steal any phone they can on the CHANCE that it may also be a credit card!

  46. Hackable, in a good sense by Ecyrd · · Score: 1

    There is no need for a self-respecting geek to wait for others to get their stuff together. These phones (e.g. Nokia 6131nfc and 6212) have an RFID reader AND writer as well as a programmable platform (Java MIDP) and cell connectivity in a single package.

    So a shop owner could create his own loyalty card system (just read the Oyster card's ID and put it in a database) or make up a game of geotagging.

    Why bother to wait for the payment stuff? It's cool as it is. :-)

    Yeah, I'm biased, having worked in the area for quite a while. But there's no need to wait - just get the phones and hack away :-)

  47. I'd like to wait for the legal protections... by userw014 · · Score: 1

    So, the cell phone takes the place of the wallet?

    Right now, if my wallet gets wet (rain, fall in the lake, etc.), it's a nuisance but it'll dry. The cell phone is hosed.

    It also ties my finances to the cell phone provider.

    I have (or had) a wide choice of credit cards, different plans, different banks/credit unions/etc. I don't have the same kind of choice of phone providers.

    I don't like this. It's indentured service to a phone company. Banks are bad enough.

    And the whole issue of transactions getting hacked, etc. I much prefer physical contact between something I have and the payment device.

    This is a BAD idea, but I fear that I won't be able to avoid it if I keep a cell phone.

  48. Re:Speaking of pennies.... by ckaminski · · Score: 1

    Oddly enough, the DMV in Reading Mass appears to be the complete opposite, and the MA Department of Fisheries and Wildlife where I get my lobster license is pretty solicitous.

  49. Most a just using credit card numbers! by John+Sokol · · Score: 1

    These idiots are still tiring to just use credit card numbers stored in people phones.
    Like this isn't a security disaster just waiting to happen. If someone get a CC number tied to someone checking account, they could take 10's of 1000's of dollars from just one individual.

    There is no way to limit ones exposure of the vulnerability like paper money does.

    With paper money, if I loose my wallet, they only get the $200 or what ever I just took from my ATM and no more. But with the cards, sky's the limit.
    If I have a CC card with a 10K limit they can take it all, and leave me on the hook!

    http://www.decash.com/ is my solution.
    http://www.wipo.int/pctdb/en/wo.jsp?wo=2005048082 my patent.

    This limits one liability, not with legalize but technology, where cash is transferred to the phone like real money. It's done like you would with an ATM! If the phone is compromised, they only get the cash loaded onto the phone and more more.

    --
    I am always doing that which I can not do, in order that I may learn how to do it. - Pablo Picasso
  50. Here's the thing by SpanishInquisition0 · · Score: 0

    Cellphones are used for EVERYTHING in Japan. Best-selling novels have been written on and for cell phones there. There are cellphone-only social networking sites in Japan. Cellphones just don't have that that "one device for everything" status here in the US.

  51. Another idea by Anonymous Coward · · Score: 0

    Just rip the RFID PayPass chip out of your debit card and have it surgically implanted underneath your fingertip.

  52. This wouldn't work in the U.S...... by PirateBlis · · Score: 0

    only because a good percentage of the female population would just stand there, staring at the screen in limbo trying to decide if they should get off the phone or not. God forbid if they were at the register and got a text message...

  53. Good Thing by DaMattster · · Score: 1

    What happens if your cell phone gets stolen? I am sure this idea would make the criminals here in the US salivate. This may work well in a culture such as Japan where crime rates are very low and heavy emphasis is paid on proper respect and saving face. To commit a crime in Japan is to bring shame onto oneself, one's family, and one's peer group. The family is a big focal point for crime prevention so large scale crime other than small, petty stuff is more uncommon.

  54. Best if no readers needed by Cigarra · · Score: 1

    I don't know how it works in Japan, but in my country the two major cellphone companies are implementing their own "mobile cash replacement" systems since months ago. They work on sms/mms platform, without any readers needed on the vendor side. All you do, as a customer, is enter a menu and transfer the money to the recipient.

    It's really understandable: suddenly some financial operations (debit card simile, money transfers) are available to the almost 90% of the population with a cellphone. Most of them were simply off the Banking System before. The percentage of people with access to "classical" finantial institutions / services, such as credit cards or checking accounts is less than 20%. There was clearly a niche to be filled.

    Then again, I don't know how viable would the system be, in countries where most of the population do have credit cards.

    --
    I don't have a sig.
  55. It's not just you by Anonymous Coward · · Score: 0

    At times, separate items are desirable:


    http://www.bbc.co.uk/dna/h2g2/A13483 h2g2 : the Stick

  56. And be considered a terrorist by Anonymous Coward · · Score: 0

    the governments would prefer you don't use cash because it's not traceable.

    So they go on about how criminals and terrorists use cash transactions to hide what they are doing.

    And what they are doing is exactly what you are doing.

  57. This sounds so familiar. by CherniyVolk · · Score: 1

    The companies that must work together to give the technology to the masses can't agree on how to split the resulting revenue.

    All the reasons I read on the reason why we aren't using hydrogen powered cars...

    The bottom line is this. Major oil companies, like Exxon, benefit from the fact no one can just dig a hole and have their own gasoline. First day of Chemistry class in high school everyone is shown how to seperate hydrogen and oxygen from tap water.

    Until the oil companies can find a necessary mixture of hydrogen and some other highly processed chemical that can't be made on any ones kitchen table, or with two empty peanut butter jars...

    We will be using gasoline. Period. They can't find a way to make it difficult for people to acquire "hydrogen" fuel. So they'll lose their grip on that portion of the market and revenue flow. That is the only real reason we aren't using powered cars.

    However, back to the topic. The differences in the technology are just in the names, in regards to the economic incentives and judgements. It's just easier for them to admit this motive for something so... trivial. But for cars... it's a much bigger business and better to make such publicity seem a conspiracy theory.

  58. In Korea ... by Anonymous Coward · · Score: 0

    only old people use cash or credit cards.

    Korean Telcos To Roll Out Contactless Payment
    http://www.cardtechnology.com/article.html?id=20060427H8XYKY8U

  59. How it really works by Anonymous Coward · · Score: 0

    There's a lot of misinformation floating around in this thread. I'll try and clear some of it up.

    Contactless RFID cards have been widespread in Japan for years now. It was started by the train companies, but now you can use them in buses, convenience stores, vending machines and some eateries.

    They are easy to use and reliable. The RFID part requires no power source apart from the reader's field. You just wave the card over the reader (you can leave it in your wallet) and it just works.

    The system works by you storing money "on" the card (actually on a server). People buy and recharge cards from vending machines at train stations. The classic model is just like cash... lose the card and the money is gone.

    You can now register a card in your name and have it cancelled if lost/stolen, and get any remaining balance back.

    Most people, however, now have the RFID function embedded in their credit card or phone. They still work as stored value cards... when the balance drops below a threshold it is topped up automatically from your credit card (typically by around $30). Nothing is charged to your phone bill, as has been erroneously suggested.

    The security on the Sony Felica cards used in Japan is basically built on 3DES secret keys. Yes, you can conceivably build a reader and mine data like balances and the last 5 transactions while walking around the room. Adding and subtracting money is hard. While probably possible (I'm thinking side channels or implementation bugs), you will leave a trail due to discrepancies with server records. Enough to quickly mark the card as compromised and flag the next use as "call the cops".

    Overall, these devices are a huge win. They get rid of the need to carry pocket change. They reduce transaction costs for retailers. They are safer than cash. You still have anonymity if you want it (the Japanese still believe in civil rights).

    Welcome to the future.

  60. Comparison with Japan? What Revenue by Anonymous Coward · · Score: 1, Informative

    Ok, they seem to be missing an important fact. When you use Mobile Suica, it's the same as when you use Normal Suica cards, except instead of charging by putting cash in a machine, you charge from a menu on your phone which takes the money from your bank account or credit card. The bank doesn't charge any fee, and neither does the credit card company (unless you carry a balance). If you charge 2000 yen, that's what you pay, and that's what goes on the card - meaning Japan rail doesn't take a cut either. The phone company has nothing whatsoever to do with it, it's a hardware feature of the phone. The phone can be *off* and the IC chip still works, just like the cards (which have no batteries). The only thing it needs the rest of the phone for is when you charge it occasionally. The article mentions the "virtual credit card"? No, it's pre-paid, that's why it can authorize instantly.

    The point is, there's no need to squabble over the revenue from it, because there is none to be made directly from it. It saves Japan Rail from dealing with paper tickets, and saves them money that way. It saves stores from having to deal with as much cash, and gets more customers through in less time, and so helps them that way. It saves consumers time and lets me go to the ATM less often.

    Suica isn't the only card, but all of the cards use the same hardware standard (Sony Felica - which, unlike the cards they want to use in the us - hasn't been hacked), so the readers are compatible. The cards differ at the application level for storing other things besides money. Instead of bickering about it, the US should try something different - adopt a standard already in use. Then when it does become popular in the US, travelers won't have to deal with two different systems in the US and Japan.

  61. no readers needed by jipn4 · · Score: 1

    There are many different ways in which you can build payment systems on top of existing phone technologies.

    But why tie this to a phone? Standard smart card or RFID technologies are already used for "waving" payment systems; they can easily be offered in a form that you can stick to the back of your phone if you like.

  62. you're in a minority by jipn4 · · Score: 1

    Even my parents (in their 70's) text, chat, send E-mail and take photos with their phones. They like playing with themes and ring tone. And if video calls, podcasts and movie making worked better, they'd be using that, too. And they are not technical people at all.

    In fact, in my experience, many people find using a phone for some task easier than using a computer for the same task.