The pieces appear to be falling into place for the launch of Google Wallet today.
Last night, social-media blog TechCrunch
posted an image purporting to be from Google Wallet partners, showing documentation on the service. That documentation says that "Google Wallet is launching September 19, 2011."
Earlier this morning, another blog, GigaOm,
posted an image, taken by one of its reporters at a coffee shop in San Francisco, of a Google Wallet payment reader. The reader provides directions on it, saying users must "tap" their smartphone against the device in order to "pay by smartphone."
Google unveiled its Wallet service in May. The offering, which relies upon near-field communication to work, allows users to pay for products by simply tapping their smartphone against the Google Wallet-enabled reader.
However, there are a few barriers to entry to get Google Wallet running. For one, users need the Android-based Nexus S smartphone, which has an NFC chip in it. In addition, the service is only available with MasterCard's PayPass system. According to the Google Wallet site, the service will work with Citi MasterCard credit cards and the Google PrePaid Card. In addition, Google Wallet can store "gift cards from participating merchants," Google says.
Mobile payment systems are viewed by many as the next big thing in the marketplace. A slew of companies are vying to carve out a portion of the mobile-payment service in addition to Google, including PayPal, Visa, American Express, and others. There is also rampant speculation that Apple's iPhone 5 will come with near-field communications, paving the way for that company to also enter the space.
However, such fragmentation could prove troublesome for consumers. In order for mobile-payment services to work, several stakeholders need to be on-board, including merchants, credit card companies, and mobile device vendors. All the major U.S. wireless carriers are also planning to make a splash in the market, which could drastically alter which service comes out on top.
Regardless, it appears that companies see a bright future for people paying for products from their smartphones, rather than being forced to open their wallets and take plastic out. Google has been especially focused on driving home the value of a mobile-payment system. Last week, the company unveiled an ad for its Wallet service showcasing Seinfeld character George Costanza's troubles with his own, massive wallet. The ad ends with a simple catchphrase: "Goodbye, wallet. The phone will take it from here."
