CES: Nokia, 2Scoot begin trials apps to enable m-commerce transactions

<%=company1%> and 2Scoot have teamed to begin technology trials enabling customers to use their Nokia phones for mobile cashless payments. Using new Nokia 5100 Series SmartCovers with Nokia 5100 Series mobile phones, the initiative will offer users additional convenience and functionality as their communication devices become trusted payment devices through integration of a Radio Frequency Identification (RFID) chip into the Nokia changeable Xpress-on phone cover. The new SmartCover can easily be snapped on a Nokia model 5100 Series phone in the same way consumers now change the color covers of their phones.

The trials, done in conjunction with two national chains of quick-service restaurants in Raleigh, NC, will ultimately provide a new level of convenience and speed to the quickly emerging mobile commerce market.

RFID is a short-range bi-directional RF transmission system that operates at 134.2 kHz or 13.56 MHz. RFID applications include transportation (i.e. toll booths), asset management (i.e. airport baggage tracking, parcel delivery), access control (i.e. employee badges for corporate campuses), user validation (i.e. electronic ticketing, automotive anti-theft systems).

Combining a Nokia SmartCover with any Nokia model 5100 Series phone and 2Scoot's network, the fast cashless payment works with customer's existing credit card making it possible to make purchases using a model 5100 Series mobile phone. When a customer is ready to pay for goods and services he can present the phone to the 2Scoot scanner at the point of sale and payment is made conveniently. For example, a consumer can drop by a fast-food restaurant, place an order, drive to the pick-up window and present her phone to the scanner and have paid for her meal quickly and conveniently. 2Scoot's technology links to a customer's existing credit card, automatically authorizing and clearing payment at sub-second speed at the point of sale while taking measures to guard the consumer's privacy.

The SmartCovers are expected to be available during the first half of 2001 following successful technology trials. Customers will be able to use a RFID mobile payment application in establishments that will be rolling out the technology.

Source: Nokia Inc.
With contributions by Ellen Jensen, Managing Editor