Thursday, May 26, 2011

Google Mobile Wallet: Who Controls the SIM?

Google is expected to announce today its mobile wallet program, working with MasterCard. To do that Google will need to have control over the near field communications secure element, which it does on the Nexus S. That obviously raises the question of which participant in the ecosystem will control the credentials loading function as mobile wallet or NFC-based mobile payment services proliferate.

Mobile service providers will want to control that credentials process themselves, to retain a vital role in the mobile payments and mobile wallet businesses. Handset manufacturers, for the same reason, will want to maintain control of the credentials management to add value to their handsets and create the platform for new revenue streams.

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