Contactless smartcards take off in the Far East

Two contactless smartcard applications sweeping the Far East herald the eventual dominance of radio frequency identification...

Two contactless smartcard applications sweeping the Far East herald the eventual dominance of radio frequency identification (RFID) technology for e-payments, a leading Web technology consultant told the UK's top finance institutions.

According to David Birch, director of Consult Hyperion, the two areas to watch are the Octopus card used for the Hong Kong public transport system, and Sony's EDY e-purse, active in Japan.

The average payment over Octopus is low, while those via EDY, which is designed to enable people to buy online, is larger, he said.

"RFID is wiping the floor with everything else," Birch said.

He warned delegates that the technology threatens to allow transactions independently of traditional banks or of the telecoms companies.

In Hong Kong, RFID cards with a range of 10cm, are used to pay for transport and for products such as newspapers. Octopus' target is to increase non-transit applications from the current 10% to 50% of e-payments, he said.

Read more on Business applications

Start the conversation

Send me notifications when other members comment.

Please create a username to comment.

-ADS BY GOOGLE

SearchCIO

SearchSecurity

SearchNetworking

SearchDataCenter

SearchDataManagement

Close