Phones used as payment devices in Japan

TOKYO-Japanese credit card companies and carriers are working together to allow consumers to use their phones as payment devices.

Operators KDDI and Vodafone Group’s Japan unit have teamed with JCB and other financial companies to promote a standard and build an infrastructure to support QuicPay, a contactless payment system for mobile phones. QuicPay was launched last year by JBC International, a Japanese credit card firm, using NTT DoCoMo handsets embedded with Sony’s FeliCa IC chip. The system allows users to hold their phone next to a scanner that can complete transactions more quickly than traditional credit card machines.

DoCoMo, which has sold more than 5 million “wallet phones,” is not part of the new alliance, which boasts 39 member companies and was announced Tuesday. Japan’s No. 1 carrier said earlier this year that it would partner with Sumitomo Mitsui Financial Group to develop a competing service.