Skip to main content

Verizon Wireless to Add Payment Option

By Andy Yang – June 10, 2011
OfflineAndy Yang

Verizon will partner with Payfone Inc. to bring a one-click payment option to cellphones.

By ROGER CHENG

Verizon Wireless plans to offer another way for its customers to make purchases through their phones beyond its venture with AT&T Inc. and T-Mobile USA to create a broad mobile-payment system.

Verizon will partner with Payfone Inc. to bring a one-click payment option to cellphones. Customers can use the Internet on their phones to order digital items such as music or e-books and have the charge placed on their monthly Verizon bill. For tangible goods and more expensive products, customers can link the service to their own credit card.

Any Verizon customer using a phone with a browser will be able to use the service. No upgrades are needed; the one-click payment option will appear as a link on retail websites.

Verizon is part of a joint venture with AT&T and T-Mobile called ISIS, which is designed to let people pay for goods at a store by waving their phone at the checkout counter. Verizon, which is jointly owned by Verizon Communications Inc. and Vodafone Group PLC, said the move doesn't indicate a break with ISIS.

The Payfone capability is an evolution of Verizon's BilltoMobile service, which allowed customers to make some mobile online purchases, but the goods and availability were limited. Together with its participation in ISIS, Verizon believes it is giving its customers multiple options for mobile payments.

"We have the gamut covered with mobile payments," said Greg Haller, vice president of marketing for Verizon. "This is one of the big pieces for us to finish that mobile commerce strategy."

T-Mobile representatives weren't immediately for comment, while AT&T declined comment.

Mobile payments has long been discussed as a opportunity for growth, but has exploded over the last few months as companies race to roll out new systems.

Payfone is working with merchants to place a link on retail websites that will allow customers to easily order tickets or buy the latest soundtrack. Mr. Haller said Verizon plans to launch the service with Payfone later this year. He declined to name any of the retail partners, but said that some have already signed up to work with Payfone.

In April, Payfone struck an alliance with American Express Co. to create a mobile checkout service.

Verizon's early foray into mobile payments through its BilltoMobile initiative hasn't been broadly adopted as the company and the industry have had to combat security concerns over making transactions with a cellphone.

"It's a new market," Mr. Haller said, noting the progress with BilltoMobile. "Payfone helps us get wider adoption."

ISIS, meanwhile, is in talks with a several parties, including payment-network giant Visa Inc. But it doesn't plan to have a trial until next year. ISIS executives have said they want the system and necessary partnerships to be in place and broadly available before commitment to a major deployment.

Google Inc. is already rolling out its Google Wallet feature in New York and San Francisco this summer. Google stitched together a broad alliance including Sprint Nextel Corp., MasterCard Inc. and point-of-sale terminal makerVerifone Systems Inc.

Visa, which acquired mobile-payment company Fundamo for $110 million on Thursday, is also exploring their own options.


Write to Roger Cheng at roger.cheng@dowjones.com

 

About the author

3 Comments

Offlinerekha keer rekha keer said 3 months ago

am more than happy to seek out this internet-site.I wanted to thanks in your time for this glorious College Scholarships read!! I positively enjoying each little bit of it and I have you bookmarked to check out new stuff you weblog pos


Offlinerekha keer rekha keer said 3 months ago

Mobile payments has long been discussed as a opportunity for growth, but has exploded over the last few months as zoloft side effects companies race to roll out new systems.


Offlinenaksh wall naksh wall said 4 weeks ago

Substantially the article is really the best on this laudable topic. I concur with your conclusions and will eagerly look forward to your future Debt Relief Grants updates.Just saying thank you will not just be enough for the wonderful lucidity in your writing.


Would you like to comment?

You must be a member. Sign In if you are already a member.


Viewed 1,322 times