The Secure Element in the Cloud solution from token management software provider, Bell ID, has been selected by a top Canadian bank to support the delivery of its mobile payments service. The solution is the first of its kind in Canada, allowing customers to securely purchase goods and services with debit or credit by simply using their smartphones.
The bank is using the Bell ID hybrid Secure Element in the Cloud software to support the execution of mobile payments. The hybrid solution combines the advanced storage and processing power of the cloud with the strong authentication offered by the existing physical SIM card in the customer’s smartphone.
Using the cloud, the bank can continue to store sensitive customer account data on-site before encrypting and transmitting it to the customer’s mobile device to be decoded locally on the SIM. As the SIM does not host the payment application – its role is to exclusively authenticate the customer – there is no requirement for re-certification and re-issue of SIM cards.
The platform solution will initially focus on near-field-communication (NFC) technology but can also support new payment methods such as quick reference (QR) codes and barcodes. It also allows offline transactions through the process of tokenization.
Pat Curran, Executive Chairman of Bell ID, adds: “Innovation is a trademark of our activity in Canada and we are delighted to work with this partner to support its industry-leading transition from trial to full-scale commercial deployment. We believe that the cloud will be an important factor in driving mass adoption of NFC payments and that this is an important advancement for the industry. We predict more mass market mobile payment implementations in 2014.”
Bell ID has worked with the bank for a number of years and has previously implemented the Bell ID Trusted Service Manager which manages the deployment and lifecycle of mobile payment applications. The Secure Element in the Cloud solution will be integrated by Bell ID into its existing software and legacy IT architecture. The ‘open wallet’ framework will enable the bank to support non-payment activity, such as loyalty and couponing.
Bell ID announced the launch of its Secure Element in the Cloud solution in June 2013.