Mobile payment: Who will die before dawn?

If the mobile payment is likened to a building, the first floor of the house is certainly mobile phone manufacturers, unfortunately, most of the applepay evolved into a formidable business form; the second floor is a third-party payment platform, there is Alipay, outside PayPal, the most scenic at this stage of payment means The third floor is the square mode of peripheral hardware, the star of the past is now fast to pay the mortgage, the House will be redeemed, UnionPay's role is not so much like the tenants, a bit like the building manager, he and everyone has the intersection, but with all the Shanta; it's more embarrassing than UnionPay. Communication operator, it's a bit like a property, Efforts to maintain the normal operation of the entire building, but the tenants of any business is unrelated to them. As for some of the traditional retail to pay the group as a stall outside the building, a whim to enter the building to do the bottom business, too difficult.

In this miniature of the pig cage city, not everyone has a chance to see the dawn.

Bigger than bigger business! Apple Pay's leading manufacturer group

Over the past two years, mobile payments have been hot, texting, sweeping, fingerprint payments, and sound waves paid off, but Apple has been hidden, stemming from his philosophy of innovation: it is never easy to get into danger until the technology and experience are ripe. The birth of Apple's pay, which means the company is determined to move, has integrated the fingerprint payment +NFC near-field payments to Apple Pay to secure enclave's underlying technical support, security and experience are guaranteed. Before Apple, no few vendors have paid the idea, but most of the brain after the screen, still like "wait for Gordo" like the Apple to point out the direction, Apple Pay as promised, we just suddenly, it is.

Apple Pay the three core principles on which mobile payments depend:

1, let the user peace of mind

Google Wallet, which has been launched in 2011, has NFC, Gmil mailbox payments, instant-purchase APIs that can be linked to several magic weapons, but Android's openness makes it possible for handset makers and distribution channels to be on one side, Google does not have enough means to communicate with users in the real world, which has led Google Wallet to stagnate.

Apple has no such trouble, the App store already has a sense of payment form, and Passbook has a membership card associated experience, TouchID experience is better than most Android phones, plus secureenclave information storage security mechanism, Can handle attacks including brute force, which is enough to reassure users.

2, let the financial rest assured

The traditional financial system has been deeply 戒惧 to any innovation in the field of payment, but Apple Pay is particularly careful not to touch the last cheese, it is simply to enrich the use of credit cards, rather than trying to replace it, all the information encrypted all the way, Apple does not obtain credit card information, which is enough to reassure the financial system.

3, let the retail comfortable

This is only half of the Apple, McDonald's, Game Hundred, Starbucks is willing to cooperate, and Wal-Mart always boycott. In normal terms, retailers have no reason to reject Apple's pay users, and this is a high-end crowd, Wal-Mart's refusal stems from the old entity is brewing a far more than traditional retail business in the new thinking, no such "giant disease" businesses do not worry.

Third party payment: A tree pear pressure begonia?

In the PC era, to pay treasure as the representative of the third party to pay a single show, No to but, but the rapid advent of the mobile era let Hu overnight payment treasure suddenly lost in the sense of crisis, because mobile payment by WHO to dominate the pattern is far from formed.

2014 Q3 data, the third party paid the mobile payment market is still Alipay purse a single large, share reached 79.26%, in the application of the payment market, Alipay also to 66.82% of the share leader, the surface scenery, but in fact both markets are not stable. Micro-mail and QQ mobile phone payment is fast growing, and the integration of pay after the Baidu wallet can not be slighted, especially the direct number of the mobile portal if the real force, Baidu Wallet will have to challenge Alipay and micro-letter strength.

The bigger threat is Apple. "Look what we can do together!" Mr Ma's offer to Apple is not surprising, because Apple is flirting with traditional finance, and once the two sides reach deep cooperation, all payment information can be encapsulated in the Apple Pay Cloud encryption operation, Apple naturally has a direct access to the banks, card issuers and offline businesses on the road, The worst result is that all third party payment platforms will be out. So the partnership between Apple and Ali's two U.S. stock giants is really exciting at the capital level, and Mr Ma's ambition is to turn Apple Pay into a giant online channel for Alipay, who is thinking of bypassing the long and arduous negotiations with traditional finance to quickly enter the Chinese market, Apple Pay and Alipay cooperation is not so much who fooled who, it is better to say is to do what, phase Gu Xingan.

What bothers Alipay is the ever-overflowing dream of paying for social applications, and in the United States, not only are Facebook and Twitter, and even Snapchat, offering payment and shopping capabilities, such as can and Dwolla. They are promoting direct links with financial institutions without exception. In China, a variety of Airbnb driven by the sharing of the spirit of Peer-to-peer services more and more popular, peer-to-peer payment is inevitable, the future payment form may not be Alipay imagine.

Waiting for happiness to knock on the square mode

Some time ago with PayPal China executives chat, deep feeling Apple Pay to his great shock, but for the first to bear the brunt of the impact is square instead of PayPal, he also a little schadenfreude.

The core of square mode is the hardware combination of peripheral mobile card reader + smartphone, with the application to complete the card payment, strictly speaking it is not like a system and similar to the handheld checkout, square hardware is free, the revenue is mainly from trading Commission, this model represents the initial form of mobile payment, There are also followers around the world, such as Lakara.

In Square's worldview, it does not contradict anyone, it is ready to connect to Apple Pay, it supports the U.S. public comments on Yelp and after the burning Snapchat, it seems to have a very negative sense of innovation, can shoot square wallet instead of supporting square Order and square Cash, to support the credit card from the magnetic stripe to the chip's replacement, it also introduced the latest reader, Square and Starbucks cooperation has been a relish.

However, the mode of using peripheral hardware to get through mobile payments is inevitably outdated, and in times of rapid and light time, additional hardware can only be a burden, and perhaps Square's tame integration with Apple Pay or a strong application that serves Snapchat is a viable solution. As for its Chinese Mensera Calla long ago switched to play Community electric dealer.

There's a happy line behind the clouds? -Traditional Financial Camp

This camp is alienated into two categories: one is obsessed with the control of the settlement channel and the monopoly of the line to receive orders of the channel financial aircraft carriers, such as UnionPay, the other is in the internet era feel frustrated, was described as a murderous impulse of traditional banks and financial institutions.

The mobile era UnionPay has two hands to prepare, but can not do both hands to be hard:

1. Prohibition

Since 2012, UnionPay's third party payment on the frequency of rectification notice, August 13, 2014 also convened a special meeting, recently issued the "on further clear violations of the relevant requirements of the notice", given to cut off the third party to pay a clear timetable, but the UnionPay lack of the strength and means to fulfil the threat, The central bank in the statement of support, but also borrow the deputy director of the Shingwen to clarify the attitude of the mouth: "If it is administrative supervision, UnionPay far not!" "The so-called rectification is defined as" recoverable error correction, not a fine! ”

2. Cooperation

UnionPay has been seeking a breakthrough through cooperation, it is optimistic about NFC technology deployed more than 3.6 million flash POS, but because the security mechanism of the Android phone is not perfect, the apple is sitting still, UnionPay can only expect the era of chip credit cards to come soon. The introduction of Apple pay made UnionPay see the perfect opportunity to pay off a third party, and the Android pay followed suit, no wonder Mr Ma's panic, which is probably depressing years after the first chance for UnionPay to really threaten to pay for a third party with Alipay at its core.

China's major state-owned banks in fact also have mobile payment products, such as CCB mobile Phone Bank, ICBC e payment, etc., but these products are still in the "chief leader, director of the" development model, poor user experience in the mobile era is extremely lack of survival opportunities.

An operator who is as quiet as the sea and almost lost its voice

At least China communications giants Mobile, Unicom and Telecom are interested in mobile payments, and basically is the NFC mode, mobile has and package, Unicom has to pay, telecommunications have wings to pay, but these products in the system supporting the resources are too small, the application of the scene is very scarce, more like the mobile era had to hand in the work, sincerity owed. Operators ' mentality is also very complex, they enjoy a variety of innovations brought about by the flow of dividends, on the one hand, fear of being Ott nightmare again.

In the rise of near-field payments, China Mobile once challenged the bottom control of UnionPay, Proposed unique 2.4G standard, PK UnionPay based on the 13.56MHz band NFC program, but in China UnionPay control of basic financial facilities, the premise of China's mobile standard is completely not popular, it and the joint advantage of the bank of the company's mobile payment market is increasingly marginalized.

When creating a payment system, operators instinctively reject third-party payments, they rely more on fast payments, online banking payments, balance payments, mobile phone payments, fixed-power payments, POS receipts, and corporate pay-for-money models that make it possible for them to become allies of UnionPay and handset makers, and if the three are really allied, they can really trigger a dramatic change.

No unrelated bystanders! Wal-Mart-led retail camp

Wal-Mart's refusal was particularly unusual when mobile pioneer Starbucks in retailing moved to Apple Pay, and Wal-Mart, which has tens of thousands of stores in 27 countries, is clearly unwilling to do nothing in the mobile era.

First, the vast majority of companies in the United States have strong online awareness, Wal-Mart is not "brain blindness", in the top 500 electric power brands in the United States, 205 are pure electricity quotient, accounting for about 41% of the total, the remaining 59% are traditional enterprise's online platform, Wal-Mart is one of the leading. For three years it has had 12 acquisitions in the electric business sector, with electric operators operating centers in Texas, Pennsylvania and Brazil, employing more than 1000 employees in Silicon Valley, and this year the total online sales will reach 13 billion dollars, and 30% is growing even more than Amazon, according to Wal-Mart's own estimates, In two years, you can compete with Amazon in the distribution and delivery time.

It is this emboldened Wal-Mart to plan mobile payment layout, it led the mobile Payment Network Alliance MCX (Merchant Customer Exchange), insisted on the development of mobile payment tools CurrentC, iron heart to sniper Apple Pay. This obsession has almost caused a fragmentation and confrontation in the entire American retail industry. The Apple pay camp has Starbucks, Whole Foods, McDonald's, Disney, Macy's, Silk Orchid, Mei-Jie supermarkets, the MCX camp has Wal-Mart, Best Buy, Target, Sears, Cole, Lloyd's Retail, Dirham, Southwest Airlines, Exxon Mobil and so on, the two sides are evenly divided.

CurrentC used a sweeping-code payment because Wal-Mart found a "neglected truth" in the way retailers think: All phones have cameras, but not all phones support nfc! At the same time, CurrentC also collected a large number of data, such as driver's license number, social Security number, birth date and other non-essential privacy information, is said to improve the certification system, Wal-Mart also deliberately stated that it will not use information for marketing. Still, CurrentC was hit by a hack that was not yet online.

Wal-Mart also has a grander plan to push for a mobile-payment-banking product called "GoBank", an attempt to shut down all transactions in an exclusive payment network of smartphones by providing payment accounts, a thing that clearly does not put all banks in the way.

It may not be a good thing for Wal-Mart to be so spirited and passionate, especially when it is putting all its energies into the wrong direction, perhaps someone should say to Wal-Mart: "Wash and sleep, or at least say:" You really want more.

We have done so much analysis, as a reference, and finally add two points:

1, if the above is really unfortunate fell in the dawn, please do not learn "the Thai door in Athens" complaining, the truth is that the business model is not the death of the competition in the hand, the user has always voted with their feet, the real killer must be they!

2, we mortals, just for the sake of the truth, really do not guarantee a garage or café in the corner of the next generation of Edison or Steve Jobs, secretly tinker with enough to change the world of innovation, that can die all products of seconds kill device, don't be a science fiction ah!