Tap & Pay Becoming a Mass-Market Reality with Android 4.4

 

The launch of Android OS 4.4 (code named KitKat) has opened up a plethora of new ways to use mobile devices. One of the new features that has Clearbridge really excited is Google opening up the Near Field Communication (NFC) capabilities. Now, secure NFC transactions can happen without the need to access the underlying hardware (i.e. secure element – talk to our CTO if you need the finer details!).  Simply put, app developers can easily create secure NFC transactions, as roadblocks (such as dealing with handset vendors and carriers) have been removed.

 

While BlackBerry was the first to provide open NFC capabilities with its latest series of devices, Google will propel “Tap & Pay” into the mass market with the launch of this feature in OS 4.4. In the info graphic below, we estimate that the mobile “Tap & Pay” US market in summer 2014 will exceed 60+ million users. With Google taking this leadership position, we believe that Apple will incorporate NFC at some point- given its ubiquitous nature.

 

 

With 4.4 Android devices, users will be able to:

• Pay with their mobile phones.
• Access loyalty programs.
• Use their phones as transit passes.
• Use their devices as security cards and corporate IDs.

 

At Clearbridge, we have done pioneering work in the NFC payments using Android and BlackBerry, with major quick serve restaurant chains like Tim Hortons and several other clients. 

 

If you are interested in talking more about NFC, please reach out to us.