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1 © NOKIA Nokia_P&T T.Zalewski 1005 Driving the Contactless Experience with Mobile Phones Tom Zalewski Nokia Ventures Organization October 11th, 2005 Miami, FL

Driving the Contactless Experience with Mobile Phones€¦ · 11/10/2005  · with the Nokia 3220 Phone • NFC enabled mobile phone for secure mobile contactless payments and ticketing

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Page 1: Driving the Contactless Experience with Mobile Phones€¦ · 11/10/2005  · with the Nokia 3220 Phone • NFC enabled mobile phone for secure mobile contactless payments and ticketing

1 © NOKIA Nokia_P&T T.Zalewski 1005

Driving the Contactless Experience withMobile Phones

Tom ZalewskiNokia Ventures Organization

October 11th, 2005Miami, FL

Page 2: Driving the Contactless Experience with Mobile Phones€¦ · 11/10/2005  · with the Nokia 3220 Phone • NFC enabled mobile phone for secure mobile contactless payments and ticketing

2 © NOKIA Nokia_P&T T.Zalewski 1005

Nokia at a GlanceNokia at a Glance• Nokia is about connecting people • Over 50,000 employees from more than 120 countries• 2004 net sales: 36 billion, net profit: 3.9 billion• Sales in more than 130 countries• Approximately 500 – 600 million Nokia phone users globally• 4 business groups:

Mobile Phones Enterprise

Multimedia Networks

Page 3: Driving the Contactless Experience with Mobile Phones€¦ · 11/10/2005  · with the Nokia 3220 Phone • NFC enabled mobile phone for secure mobile contactless payments and ticketing

3 © NOKIA Nokia_P&T T.Zalewski 1005

The mobile phone has become one of The mobile phone has become one of the essentials that consumers carry with the essentials that consumers carry with

themthemMobile phone subscriptions globally, millions

1992 1993 1994 1995 1996 1997 1998 1999 20001991 2007e20022001 20030

200

400

600

800

1,000

1,200

1,400

1,600

1,800

2,000

Current global

penetration 24 %

Source: Nokia 2004

Page 4: Driving the Contactless Experience with Mobile Phones€¦ · 11/10/2005  · with the Nokia 3220 Phone • NFC enabled mobile phone for secure mobile contactless payments and ticketing

4 © NOKIA Nokia_P&T T.Zalewski 1005

Rapid Mobile Technology Development Rapid Mobile Technology Development Fuels New Innovation OpportunitiesFuels New Innovation Opportunities

Mobile software

Software driven innovation is accelerating

Strong trend towards multi-radio access and IP convergence

Rapid development processor technologies and key electronic components

New digital convergence product and services

Mobile access

Mobile Hardware

Page 5: Driving the Contactless Experience with Mobile Phones€¦ · 11/10/2005  · with the Nokia 3220 Phone • NFC enabled mobile phone for secure mobile contactless payments and ticketing

5 © NOKIA Nokia_P&T T.Zalewski 1005

Life goes Mobile: Device ConvergenceLife goes Mobile: Device ConvergenceMultimedia Messages

InternetBrowsing

Corporate e-mailconnectivity

Payment &Ticketing

Vertical Applications /Enterprise Solutions

Share Pictures, Music and Video

VideoDownload

Mobile meetings

Set-top-boxes

Interactive on-line gaming

Rich MediaDelivery

Real Time Video Sharing

Page 6: Driving the Contactless Experience with Mobile Phones€¦ · 11/10/2005  · with the Nokia 3220 Phone • NFC enabled mobile phone for secure mobile contactless payments and ticketing

6 © NOKIA Nokia_P&T T.Zalewski 1005

New touchNew touch--based mobile services based mobile services emergingemerging

TOU CHTOU CH

Your phoneis your travelcard!

Your phoneis your eventticket!

Get informationby touchingsmart posters!

Your phoneis your creditcard!

Download contentby touchingsmart posters!

Buy goods fromvending machineswith your phone!

Page 7: Driving the Contactless Experience with Mobile Phones€¦ · 11/10/2005  · with the Nokia 3220 Phone • NFC enabled mobile phone for secure mobile contactless payments and ticketing

7 © NOKIA Nokia_P&T T.Zalewski 1005

Early Experience with Contactless Early Experience with Contactless PaymentsPayments

Page 8: Driving the Contactless Experience with Mobile Phones€¦ · 11/10/2005  · with the Nokia 3220 Phone • NFC enabled mobile phone for secure mobile contactless payments and ticketing

8 © NOKIA Nokia_P&T T.Zalewski 1005

Mobile Phone Payment Mobile Phone Payment RequirementsRequirementsConsumer

• Speed and convenience• Transparent, hassle-free technology• Beneficial, value-add service• Wants a better experience• Wants to be treated special

Merchant• Provides clear benefits• Technology that works • Cost effective, efficient and secure• Enhances Brand awareness• Ability to connect with the customer

simple, reliable, secure

Page 9: Driving the Contactless Experience with Mobile Phones€¦ · 11/10/2005  · with the Nokia 3220 Phone • NFC enabled mobile phone for secure mobile contactless payments and ticketing

9 © NOKIA Nokia_P&T T.Zalewski 1005

Retail Payment Retail Payment -- Irving, TX 2003Irving, TX 2003•Payment for small retail purchases

•Passive RFID tags in Nokia phone SmartCoversTM for 3300/3500/6360

•Nokia, MasterCard, Chase, AT&T, 8 retailers

•Messaging Platform for retail advertisements

Page 10: Driving the Contactless Experience with Mobile Phones€¦ · 11/10/2005  · with the Nokia 3220 Phone • NFC enabled mobile phone for secure mobile contactless payments and ticketing

10 © NOKIA Nokia_P&T T.Zalewski 1005

NFC NFC -- Near Field Communication Near Field Communication TechnologyTechnology

Improved Usability in the Physical Environment

Page 11: Driving the Contactless Experience with Mobile Phones€¦ · 11/10/2005  · with the Nokia 3220 Phone • NFC enabled mobile phone for secure mobile contactless payments and ticketing

11 © NOKIA Nokia_P&T T.Zalewski 1005

Near Field Communication (NFC) is an Near Field Communication (NFC) is an Evolution of Contactless and Short Range Evolution of Contactless and Short Range

RFID TechnologiesRFID TechnologiesWhat is Contactless / RFID?• Stands for Radio Frequency

Identification

• The data carrier is generally called a Tag and attached to an item or location

• Tags are passive (battery-less), in sticker or disc format

• The data gatherer is termed a Reader

• Radio frequency 13.56 Mhz

What is NFC?

• Operating distance of a few centimeters optimized for service initiation and discovery

• Standardized in ISO 18092 and backwards compatible with 80% of existing contactless solutions, i.e. MiFare and FeliCa

• Expands “RFID reader”-only, “RFID tag”-only and “SmartCard”-only solutions for consumers

• Radio frequency 13.56 Mhz

Page 12: Driving the Contactless Experience with Mobile Phones€¦ · 11/10/2005  · with the Nokia 3220 Phone • NFC enabled mobile phone for secure mobile contactless payments and ticketing

12 © NOKIA Nokia_P&T T.Zalewski 1005

NFC Supports 3 Main Mobile NFC Supports 3 Main Mobile ApplicationsApplications

Mobile Payment & Transaction

Mobile Payment & Transaction

Peer-to-Peer Communication

Peer-to-Peer Communication

Access to Info On-the-move

Passive RFID Tags

SecureSmart CardTechnology

Service Discovery

Simple Connectivity

Page 13: Driving the Contactless Experience with Mobile Phones€¦ · 11/10/2005  · with the Nokia 3220 Phone • NFC enabled mobile phone for secure mobile contactless payments and ticketing

13 © NOKIA Nokia_P&T T.Zalewski 1005

NFC Complements and Simplifies SetNFC Complements and Simplifies Set--up up

for Bluetooth, WiFi and Other Bearersfor Bluetooth, WiFi and Other Bearers

Near Field Communication

ILLUSTRATIVE

Suitability for service initiation

Long range and more permanent connections

Close range and simple interaction

Barcode

Infrared

Bluetooth

WiFi

Ease of useMore setup or precision required

Easy setup and intuitive use

Note: Specific applications of technologies may differ

Page 14: Driving the Contactless Experience with Mobile Phones€¦ · 11/10/2005  · with the Nokia 3220 Phone • NFC enabled mobile phone for secure mobile contactless payments and ticketing

14 © NOKIA Nokia_P&T T.Zalewski 1005

Secure NFC payment and ticketingSecure NFC payment and ticketingwith the Nokia 3220 Phonewith the Nokia 3220 Phone

•• NFC enabled mobile phone NFC enabled mobile phone for secure mobile for secure mobile contactless payments and ticketingcontactless payments and ticketing

• Incorporates secure Java smart card chip in the shell

• Various smart card applications, such as Visa and MasterCard PayPass can be stored

•• Compliant with existing contactless smart Compliant with existing contactless smart card infrastructure for point of sales and card infrastructure for point of sales and public mass transportpublic mass transport

•• Open system to support additional Open system to support additional applicationsapplications

•• Over the air application management and Over the air application management and value downloadvalue download

Page 15: Driving the Contactless Experience with Mobile Phones€¦ · 11/10/2005  · with the Nokia 3220 Phone • NFC enabled mobile phone for secure mobile contactless payments and ticketing

15 © NOKIA Nokia_P&T T.Zalewski 1005

SummarySummary

Contactless and NFC support the Touch-paradigm =An easy and intuitive way of using the phone in consumer / retail environments

Easy access to services, which means

• High Return of Investment (ROI) consumer use cases

• Intuitive way to service discovery, ticketing and payment

www.nokia.com/nfcwww.nokia.com/rfid

Page 16: Driving the Contactless Experience with Mobile Phones€¦ · 11/10/2005  · with the Nokia 3220 Phone • NFC enabled mobile phone for secure mobile contactless payments and ticketing

16 © NOKIA Nokia_P&T T.Zalewski 1005

-Lopetuskalvoksi tämä + Nokian logo keskelle-Lopetuskalvoksi tämä + Nokian logo keskelle

www.nokia.com/nfc