Nokia has introduced a service that lets people without bank accounts pay bills and retailers, send money and save money through their handset to revive its fortune. Nokia Mobile Payments, a company formed by the Finnish firm to roll out this service, branded Money, across the country after pilots in Pune, Nashik and Chandigarh. And it will not use the 'Nokia' name because it is accessible on all mobile phones.
Gary Singh, Nokia Mobile Payments, GM, said that they have branded the service as Money because it is built on open architecture and works on all phones. Unlike mobile banking, which is an additional channel to those with bank accounts, mobile money is positioned as an alternative to cash for the unbanked and underbanked population. They aim to work across all handsets, all operators and all banks.
Despite the launch of pilots by all, mobile money is still to gain popularity. The number of registered mobile money users has risen to 1.13 crore in June 2011, from 400 in August 2010, but the number of transactions has lifted to 6,401 from 430.
Observers say none of the operators, banks or even the RBI is promoting mobile money. On the ground, agents find it challenging to convince end-users.
