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LogicaCMG Pilots Mobile Phone Payment System in Dutch Supermarket

3rd Oct 2007 12:25

LogicaCMG, a major international force in IT and businessservices, today announced details of a pilot project at a branch ofthe Dutch supermarket, C1000 in Molenaarsgraaf, near Rotterdam where100 customers will be able to pay for their shopping by mobile phone.This six-month pilot is an open innovation initiative led by LogicaCMGand Schuitema, owners of the C1000 supermarket chain, in closecooperation with Rabobank, KPN, NXP Semiconductors and RFID PlatformNederland. £ The payment system is one of the first European mobile paymentsapplications that is directly linked to online debit accounts. Thesolution uses the existing online PIN payment infrastructure, with thedebit card replaced by a mobile phone. The mobiles are equipped withNFC technology (Near Field Communication), which supports contact-freeexchange of information, such as payments, over a short distance. Forcustomers, the key benefit is convenience. They no longer have tocarry cash or debit cards to pay for shopping, but can simply taketheir mobile phone. £ For the customers taking part in the experiment, groceries can bepaid for by simply holding the mobile phone next to the NFC reader atthe checkout and entering their individual PIN. In addition to payingfor shopping by mobile phone, bottle deposit refunds can also bestored on the phone. £ Gerben Mak, innovation director from LogicaCMG in the Netherlands,commented, "We are on the verge of a revolution in how we will use ourmobile phones going forward in Europe. We've gained momentum due to acombination of increasingly mobile savvy generations, emergingtechnological advancements such as NFC, and a timeframe of crucialdevelopments in banking infrastructure across Europe such as theSingle Euro Payments Area. The ability to pay by mobile phone is notin itself revolutionary, but what it paves the way for will be." £ "Molenaarsgraaf was an obvious choice for this pilot. It is in anarea with many Rabobank customers and there was strong support fromthe local C1000 supermarket branch. While only 20 kilometers fromRotterdam, Molenaarsgraaf is a small town where most people use theC1000 supermarket, meaning that we could quickly get a large part ofthe community to try this new technology. The application fits in withthe expectations and behaviour of the consumer. The initial receptionhas been positive and we believe that European consumers could benefitfrom the convenient retail experience currently being enjoyed in thissmall town in the Netherlands." £ About LogicaCMG £ LogicaCMG is a major international force in IT and businessservices. It employs around 40,000 people across 41 countries.LogicaCMG's focus is on enabling its customers to build and maintainleadership positions using LogicaCMG's deep industry knowledge and itstrack record for successful delivery. The company provides businessconsulting, systems integration and IT and business processoutsourcing across diverse markets including telecoms and media,financial services, energy and utilities, industry, distribution andtransport and the public sector. Headquartered in Europe, LogicaCMG islisted on both the London Stock Exchange and Euronext (Amsterdam)(LSE: LOG; Euronext:LOG) and traded on the Xternal List of the NordicExchange in Stockholm. More information is available atwww.logicacmg.com Copyright Business Wire 2007

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