[credit provider=”Steve Kovach, Business Insider”]
For a complete round-up of everything that took place at the event, click here, or see below for minute-to-minute reporting on everything said at the event.We’re live at Google’s NYC headquarters where the company will announce its new NFC payments system.
The NFC system will allow users to make payments with smartphones at special kiosks at retailers. Google is also expected to announce retailer partners, including The Container Store.
11:55 Waiting to begin. The Google offices are pretty Googly. Of note: Razor scooter parking in the lobby.
The show begins at noon.
12:00 Here we go! Stephanie Tilenius VP of commerce is on stage. She joined Google a year ago to work on mobile payments.
Announcing Google Wallet and Google Offers. Open invitation to merchants and other partners to join Google to create the next best shopping experience.
The platform will be opening, offers and payments at the point of sale.
“Your phone will be your wallet. Just tap, pay, and save.”
12:01 Some stats on e-commerce: Poised to exceed a trillion by 2013.
70% of consumer pay for things online. But e-commerce is still only 8% of all retail.
12:04 MasterCard rep on stage now. Google’s system will work with MasterCard’s paypass system. Over 300,000 merchant locations are ready to go with Google Wallet.
12:07 Tilenius back. Joining forces with Citi, Sprint, MasterCard to launch Google Wallet. They’re calling this “MOLO” or Mobile Local Commerce. Cute name.
12:08 Merchants can acquire new customers with special offers based on location and transaction history. You can offer different levels of incentives.
Field test for Wallet starts today. Launches for everyone this summer. Tap, pay, and save money while you shop. Uses NFC tech.
Whoa, the “Wallet” logo looks a lot like the Google Wave logo. RIP.
12:10 Google prepaid card can be funded by existing credit cards. Right now only Citi MasterCards work. Works with MasterCard’s PayPass network.
12:11 Field testing starts in San Francisco and New York. Nationwide later. Macy’s, Subway, Walgreens are all partners.
12:12 Now we’re talking about Google Offers. Offers delivered to inbox (like Groupon.) Offers works with Google Wallet. You save the offers to your wallet and redeem by tapping your phone at merchant.
Portland, San Francisco, and NYC get Offers first.
There will be offers on Google Places too. Kind of like Foursquare.
12:14 Long Term plans: eventually everything will go in Google Wallet such as tickets, drivers licence, etc.
12:14 Osama Bedir, VP of Mobile Payments on stage for a demo. Using a Nexus S that has the Wallet app on it. Asks to attach your wallet to Google Account. This is how offers sync with your phone.
Create a PIN, which keeps everything secure. You can now add a credit card. Fill out your credit card information, and your card is live and ready to go.
12:17 Whoops! We accidentally saw Bedir’s credit card on his phone! Process is entirely secure. Verified through bank and FirstData.
The card shows up in the Wallet app. It looks just like the real plastic card.
Now we’re talking about the Google prepaid card, which lets you add cash from any other credit card. This is used if your bank doesn’t work with Google Wallet yet.
The platform is open, so other banks can join the system too.
12:22 Ralph Von Barron on stage talking about security. Uses secure element chip which is already in the Nexus S. Same kind of chip used in electronic passports, etc.
Everything is stored on the chip and not accessible anywhere else. No one can scan your phone and get your information. It only turns on when you open your wallet app.
12:24 Bedir back on stage. Google offers are built in to Google search. You can print the offer from the cupon on screen or add it directly to your phone’ wallet. The offer loads on the phone in seconds. Very cool.
12:26 Lots of promotion for partners. American Eagle! Subway!
Now on to Loyalty Cards, where you get offers for returning to the store. Beth McCormic from American Eagle on stage too. Showing off point of sale system that’s used in stores. Bedir showing how he can buy a piece of clothing.
Bedir taps his phone on the terminal and his offer is automatically redeemed at the same time the shorts are paid for. This kills Foursquare offers.
12:29 Engineer Jonathan Wall on stage to talk about the tech behind the Wallet system. Receipts will be stored in your wallet, no need for paper. You can also sign up for loyalty programs from the phone. Future: Possibility for games, rewards, etc.
12:31 Bedir back on stage. Showing how print ads in public billboards can have NFC with cupons. Tap your phone to the billboard and the cupon is added to your wallet.
12:33 Video time! Showing the possibilities of Google wallet. This stuff isn’t ready yet, but it could be. Lots of supermodel-looking actors are using their Nexus S phones to buy stuff.
12:35 Bedir asking people to join Google Wallet. The platform is open, so they need help and more partners. Now he’s getting all philosophical on us. Google is open, friendly, etc.
APIs coming so anyone can participate. Working on open standards.
Launch partners are here! Citi, MasterCard, FirstData, and Sprint
12:38 Paul Galant from Citi on stage. Citi is proud to be a part of this, etc. etc. Nothing really special to note here.
12:45 Ed McLaughlin from MasterCard is up. It’s a snoozefest.
12:47 Ed Labry from FirstData up. He’s talking about the history of credit cards and payments. FirstData has 4 million merchant locations where it processes electronic payments. Now they work with Google Wallet.
12:53 Fared Adib, Sprint’s product chief, is up. Talking about Sprint’s dedication to Android, including the Nexus S 4G and Google Voice. Sprint is one of the first carriers to integrate Google Wallet into its phones from partners like Samsung, HTC, and Motorola to bring this tech to more devices.
12:57 Tilenius is back. Showing us another video with interviews from merchant partners. Macy’s, Subway, American Eagle, Walgreens, Container Store…they love Google Wallet!
1:00 Presentation is winding down. Field testing begins today. Full release this summer. That’s it, Q&A time!
Google will be the merchant of record when you use Google Wallet.
Consumers must give permission for location and transaction history. This will make offers easier to target.
What happens if you lose your phone? Cards are stored on the chip, so you can’t pull the card and copy it. You can pull cards off the wallet by calling Google.
What about non Google phones? It’s coming. The goal here is to show other manufacturers why NFC is important. Sounds like this project isn’t complete yet.
What about transaction fees? Google makes money on offers and advertising. Wallet app is free.
Phones that don’t have NFC can use Wallet to redeem offers.
What about security and privacy issues? Consumer and retailer owns the data.
How will they pitch to consumers? Starting in NYC and San Franciso. Once the infrastructure is ready, Google will begin marketing Wallet.