Today, Canadian banks unveiled a blueprint that will enable mobile payments, allowing consumers to pay for goods with a single tap on their smartphones.
Thousands of retailers across Canada have already adopted the necessary technology to faciliate mobile payments. Now the Canadian Bankers Association is forging ahead with voluntary guidelines by which to employ the new process.
The situation is complex and a little slow because four types of companies must all work together: banks, telecoms, credit card companies, and retailers. While retailers are eager to get started, banks and telcos are exercising their notoriety for slow adoption of new technology and remain vulnerable to the burden of bureaucracy.
The first agreement to be reached as between the Canadian Imperial Bank of Commerce and Rogers Communications.
CBA says this new framework allows for different business models to be implemented, allowing for innovation and creativity. CBA notes that it also ensures competition, which will accelerate adoption—all while keeping users' confidential data secure and aligning with the existing bank regulations.