Several years ago, a former business partner and I were speculating about how the mobile operator industry would evolve. The mobile phone business was booming, but it was already clear that growth had limits. What to do once every citizen had a handset?
The solution seemed obvious even then. As mobile services evolved, the phone would eventually be used as a payment mechanism. By controlling the payment interface, operators stood to make a fortune from transaction fees. Could mobile operators eventual evolve into financial institutions or even banks?
Something like this has happened in Austria, as I learned at a recent conference, IIR’s Mobile and NSF Payment Strategies, held here in Budapest.
Continue reading ‘Want to launch mobile payments? Buy a bank’

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