MasterCard 2011 Annual Report Download - page 17

Download and view the complete annual report

Please find page 17 of the 2011 MasterCard annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 156

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124
  • 125
  • 126
  • 127
  • 128
  • 129
  • 130
  • 131
  • 132
  • 133
  • 134
  • 135
  • 136
  • 137
  • 138
  • 139
  • 140
  • 141
  • 142
  • 143
  • 144
  • 145
  • 146
  • 147
  • 148
  • 149
  • 150
  • 151
  • 152
  • 153
  • 154
  • 155
  • 156

Our focus in emerging payments includes:
•e-Commerce. e-Commerce involves the purchase and sale of goods over the Internet. Our initiatives
focus on:
Othe development of e-Commerce capability through internet payment gateways (including DataCash
and MiGS) to support growth in the e-Commerce area,
Othe development of programs and services intended to drive GDV and transactions and to improve
the consumer experience, including: (1) the development of OpenAPI, our application programming
interface through which we can more easily integrate with our customers to deliver our products and
solutions; and (2) expanding the use of MasterCard-branded cards for e-Commerce transactions,
including by enabling Maestro cards for this purpose, and
Othe development of tools to help customers prevent fraud over the Internet.
We have entered into a strategic relationship with Intel Corporation to provide consumers and
merchants enhanced security and convenience with e-Commerce shopping by enabling consumers
using Intel’s Ultrabook PC devices to make purchases using MasterCard PayPass-enabled devices
(described below) at e-Commerce site checkouts which feature enhanced authentication.
•Contactless Payment Solutions. MasterCard PayPass, our “contactless” payment solution, utilizes
radio frequency, or near-field communication (NFC) technology, to securely transmit payment details
wirelessly through payment devices to PayPass-branded contactless-enabled payment terminals for
processing through the MasterCard Worldwide Network. This technology enables consumers simply to
tap their payment card or other payment device, such as a key fob, wristband or PayPass tag that adheres
to the back of a mobile device on a PayPass-enabled terminal to complete a transaction. Our mobile
contactless payment solution, MasterCard Mobile PayPass, is used to enable consumers to use their
mobile devices in a similar way through integrated payment solutions. Our PayPass program primarily
targets everyday purchases that rely on speed and convenience (such as supermarkets, fast food
restaurants, parking, and transit). As of December 31, 2011, PayPass programs have been rolled out in
37 countries worldwide.
•Mobile. MasterCard works with customers and leading technology companies to develop products and
solutions for mobile commerce payments. These initiatives generally focus on:
OMobile Wallets and Mobile Alliances: MasterCard works with strategic partners to develop
infrastructure and applications to enable smartphones with MasterCard Mobile PayPass, our mobile
contactless payment solution, to provide integrated payment solutions, or “digital wallets”, which
enable consumers to securely use their phones to make payments and obtain other related services.
Recently, MasterCard has partnered with Google, First Data and Citibank in the United States to
launch a digital wallet featuring an integrated MasterCard prepaid card. MasterCard has also
partnered with our customers in Korea, the United Kingdom and Turkey to launch digital wallets
enabled by MasterCard Mobile PayPass. In addition, MasterCard has licensed Mobile PayPass to
ISIS (a joint venture formed in the United States by AT&T, Verizon and T-Mobile) and to others to
ensure that third-party digital wallets are embedded with MasterCard payment functionality.
OMobile Money Services: MasterCard provides various services to customers to enable consumers
to pay from any type of mobile phone. These services include linking mobile accounts to virtual
MasterCard account numbers to allow subscribers (many of whom do not have traditional payment
cards) to shop online, enabling person-to-person transfers (including MasterCard’s money transfer
solution, MasterCard MoneySend®) on behalf of MasterCard’s customers for their consumers using
mobile devices, and enabling mobile subscribers to send payments to handsets of merchants who
otherwise do not accept electronic payments. Mobile money services are provided through mobile
payments gateways, such as the MasterCard Mobile Payments Gateway, commercialized through
our MPS joint venture with Smart Hub. These gateways are turnkey mobile payment processing
platforms that facilitate transaction routing and prepaid processing for mobile-initiated transactions
13