Chunghwa Telecom has launched a trial project that will enable smartphone users to pay for certain services by waving their phone at a sensor at the point of sale, reports The China Post. Some 500 to 600 subscribers to Chunghwa Telecom's mobile services are expected to join the first phase of the trial project, which will last for six months. The project's participants will need to install a customised Sim card in their smartphones to be able to use the new mobile payment service, which relies on NFC technology. The technology will enable them to make contactless payments at Taipei's MRT and at local retail stores equipped with electronic wallet services. Certain financial functions of the NFC-enabled phones, such as credit card payments and mobile recharging for pre-paid cards, might need to wait until early next year, when Taiwan's financial regulator is expected to approve the new functions. Although Chunghwa Telecom is expected to purchase fewer than 1 million NFC enabled smartphones in 2013, the company will likely buy more than ten models in the category. Chunghwa Telecom is collaborating with three handset makers: Taiwan's HTC, South Korea's Samsung and Japan's Sony Mobile, to introduce NFC phones. HTC is expected to introduce more NFC-ready smartphones in Taiwan in cooperation with Chunghwa Telecom. The integrated card enables contactless payments in 12,000 local stores through the EasyCard function and in 350,000 shops worldwide with MasterCard's PayPass electronic wallet service when it is inserted into the HTC Incredible E NFC smartphone.
