Carriers Do Not Correspond With Credit Card Companies Mobile Payments: Report

Isis, in collaboration with mobile payments started a joint venture with three major telecom operators in the United States is scaling up its efforts to compete with the credit card industry.

Created in a joint effort by T-Mobile, Verizon and AT & T, Isis was the first to allow customers to pay for purchases in stores with their smartphones, with a network of credit card payments independent company. Purchases and account information have been handled by the companies.

Instead Isis now look a little lower. According to sources who spoke to The Wall Street Journal, Isis is currently working to produce a kind of "mobile wallet". Customers will continue to use their smart phones to make purchases, but rather an independent payment network operated by airlines, telephones use your credit card information available.

"Visa and MasterCard are also universal at this stage that the barriers to entry for new payment system is almost insurmountable," IDC analyst Aaron McPherson said in an interview with Wired.com last year. Isis had previously claimed Using Discover Financial Services for the launch of the payment system of the joint venture. But is Visa or MasterCard, Discover, and merchants were not enthusiastic about the idea of ​​cutting the two giants.

And why should they? There's really no reason to reinvent the wheel, just to create an enabling technology, which operates the parties who are already working and do better. The point is to replace a wallet full of cards, create new maps.

Isis is currently in negotiations with Visa and MasterCard to negotiate the agreement that the card information will be integrated into smartphones customers, sources said the magazine.

With the proliferation of NFC-enabled smartphones like the Samsung Nexus Future Galaxy S S 2 and Research In Motion BlackBerry Bold, companies are struggling to become mobile payments space. Google is working on its own mobile phone payment system, Visa and Mastercard, which has been studied in four major markets in the coming months.