Research In Motion today announced that its “secure element manager” solution for near field communication mobile payments has been approved by Visa. The greenlight from Visa gave RIM’s stock a boost in trading today.
Also pushing the Canadian company’s shares higher was a rating upgrade from Charter Equity analyst Ed Snyder, who changed his rating to buy from underperform on the stock. He’s one of many analysts who have grown more optimistic about BlackBerry 10 in recent weeks.
“The approval from Visa of RIM’s SEM solution is an important step in that it will enable carriers to support Visa issuing banks and financial institutions,” said Frank Maduri, Senior Director, NFC Services and TSM Product Management at RIM. “We now offer carriers a robust solution with around-the-clock global support that works on any NFC-capable device, and meets the stringent technology and usability guidelines for Visa.”
Visa’s approval brings us one step closer to a world where smartphones replace wallets. Most mobile payments in Canada are powered by EnStream, a joint venture of Bell, Rogers and Telus. EnStream uses RIM’s SEM solution.
“RIM’s success in gaining Visa’s formal approval as secure element manager is a crucial step in expanding RIM’s role as a key security partner for mobile payment solutions around the globe,” said Andy Castonguay, Principal Analyst, at Informa Telecoms and Media. “RIM’s secure network operations center provides a unique combination of global geographic reach, and has established trusted relationships with hundreds of carriers around the world with an unparalleled reputation for security, which sets RIM apart as an SEM partner in the growing mobile payments space.”
RIM launches BB10 on January 30.