CIBC and Rogers Communications announced an agreement to launch a joint Canadian mobile payment solution, allowing Canadians to pay with their CIBC credit card at the checkout counter using their Rogers NFC enabled smartphone. Beginning later this year, customers will be able to use this payment capability at merchants across Canada where contactless credit card payments are accepted.
This announcement represents the first time a bank and a wireless carrier have joined forces to offer a commercially available mobile payments solution to Canadians that leverages the secure SIM card inside an NFC-enabled Rogers smartphone. This new solution aligns to guidelines announced recently by the Canadian Bankers Association for mobile payments in Canada, as well as those developed by the GSM Association (GSMA).
“Canadians are embracing new technologies at an accelerated pace and we know they’re interested in using their smartphone for mobile payments,” comments Rob Bruce, president of communications, Rogers Communications. “We’ve been laying the foundation for mobile commerce and the ecosystem is ready to give Canadians the convenience, security, and peace of mind they deserve. This announcement with CIBC represents an important first step toward a whole new world of mobile transactions which is a key growth area for the company.”
MasterCard’s Mobile Payments Readiness Index ranks Canada ahead of the United States and second out of 34 countries. A key finding emphasizes that partnerships among the key players in the mobile payments ecosystem – financial institutions, payment networks, telcos, governments, technology providers – are essential to accelerate the commercialization of mobile payments.