- 20 April 2006 -

Up to 25 m US cellphones could also be mobile wallets by 2011

According to new analysis from In-Stat, as many as 25 m wireless phone subscribers in North America could be using their mobile phones as mobile wallets by 2011. Unlike M-commerce, the mobile transaction concept touted in the 1990s that never took hold, the mobile wallet is a much more versatile application that includes elements of mobile transactions, as well as other items one may find in a wallet, such as membership cards, loyalty cards, and other forms of identification.

"In-Stat believes that the market can grow only by adopting a technology that offers the most versatility by providing both transaction capability and content discovery," says David Chamberlain, In-Stat analyst. "There are several technologies that could enable mobile wallet operations of handsets, including Near Field Communications, Radio Frequency ID, bar codes, and visual recognition. Standardization efforts around NFC may give that system the edge."
According to an In-Stat consumer survey, attitudes of US users towards mobile wallets are at best, lukewarm, with roughly one-third of respondents interested, one-third indifferent, and one-third uninterested.

The research, "Mobile Wallet: More than M-Commerce" (#IN0602908MCM), addresses the North America market and includes forecasts for mobile wallet users in North America from 2005-2010. The report was developed through the results of an online survey of In-Stat's Technology Adoption Panel (TAP) and on interviews with key players in the sector including credit card company JCB, semiconductor vendor Philips, credit card terminal company ViVOtech, and traditional wireless companies such as Nokia and Cingular Wireless.

Web: http://www.in-stat.com