Google Wallet goes live as next generation of e-commerce arrives

Google has announced that its much vaunted Wallet application is now live and ready to use in the US to pay for goods and services wirelessly using near field communication (NFC) technology.

The service is currently synchronised only with Citi MasterCard credit cards, but an in-built Google Prepaid Card can be topped up via any credit card, so customers can still use the technology.

Google vice president of payments Osama Bedier explained in a blog post that other payment cards will be accessible on Google Wallet in the future to expand the reach of the service.

"Visa, Discover and American Express have made their NFC specifications available that could enable their cards to be added to future versions of Google Wallet," he said.

"Our goal is to make it possible for you to add all of your payment cards to Google Wallet, so you can say goodbye to even the biggest traditional wallets."

Peter Ayliffe, European chief executive at Visa, said that Google Wallet will usher in a new era of payment systems.

"The convergence of payment applications on the mobile handset presents an exciting opportunity for banks, mobile operators and manufacturers to work together to offer choice in the way consumers make and manage payments," he said.

"Building Visa technology into Google Wallet gives our member banks a revolutionary way to meet their customers' needs through the smartphone."

Fred Huet, managing director at telecoms consultancy Greenwich Consulting, agreed that the launch of Google Wallet could have several benefits for end users.

"The prospect of contactless payments hitting the mainstream market has got retailers, banks and manufacturers excited, and Google was astute to announce its product when it did," he said.

"The beauty of Google Wallet is its simplicity, bringing NFC to the masses via an application that allows for coupons and loyalty cards, thus making the whole process seamless."