Japan has started an initiative to promote its “wallet phone” technology overseas according to an Associated Press article. The initiative is led by the government along with a collection of Japanese cell phone manufacturers and carriers participating.
According to Masayuki Ito, an official at the Ministry of Internal Affairs and Communications, the initiative is an attempt to help promote Japanese cell phones outside of the home market. Japanese cell phones have failed to become popular outside of the Japanese market despite being some of the most sophisticated cell phones in the world, incorporating features such as the ability to watch television and make purchases.
The primary technology Japan hopes to promote is the “wallet phone”. The technology relies on a tiny computer chip called FeliCa, embedded in each cell phone, which communicates with a reader-device at stores, train stations and vending machines for cashless payments. FeliCa was developed by Sony Corp.
This technology is currently in use in smart cards, popular in Singapore and parts of Europe. Japan’s goal is to market the technology abroad for cell phones. In Japan, the “wallet phone” has been in use since 2004, introduced by NTT DoCoMo. Most recent cell phones in Japan incorporate the “wallet phone” function. The recently launched 3G iPhone does not incorporate the FeliCa technology and it has been pointed out as a criticism that may be slowing iPhone adoption in Japan.
Japan leads the rest of the world in 3G cell phone adoption, with nearly 104 million 3G handsets in use, or about 90 percent of cell phones being used in Japan. Older Japanese technology had compatibility problems with other global standards, but newer technology allows new products to be used outside the country, and can be more easily adapted to overseas products.
New technology often evolves to meet a particular need. The “wallet phone” may have been popular in Japan because of the proliferation of convenience stores and vending machines; along with the fact cash still plays a major role in everyday life. Conditions in other nations obviously differ.
According to Masayuki Ito, "Some critics say Japanese mobile technology tends to be quirky like the Galapagos Islands," referring to the isolated Pacific islands reputed to have averted evolutionary changes in a reference of the incompatibility of older Japanese cell phones along with their Japan specific services.
Train travel in Tokyo is a fact of life making the ability to pay for the trip by cell phone an extremely useful tool in Japan. Work commutes by train are also quite long which may explain the development of the 1Seg mobile television service. Ito also stated, "Asian nations such as Taiwan and South Korea have for years expressed great interest in Japanese cell phones.”
Details and budget plans for the government led effort are being outlined in the next few months, but a proposal was approved at a ministry meeting last month. The ministry is planning international missions and seminars to spread the word about Japan's technology according to Ito.