Mobile operator Telefónica group and Visa Europe have expanded their payments partnership to Telefónica’s European operations, marking the third tie-up between a major European mobile operator group and international payment network this year.
The deal, like the partnership announced last week by Deutsche Telekom group and MasterCard Worldwide, and an earlier agreement announced by Visa and Vodafone Group, will help Telefónica make further inroads into the payments market in Europe, including in NFC-enabled mobile wallets the telco plans to introduce in its various markets. The tie-ups promise to create more headaches for major banks in Europe.
Visa and Telefónica have already been working together in the UK, with a virtual and physical Visa-based O2 Money card in Telefónica UK’s O2 Wallet introduced this spring. The wallet is expected to have an NFC component–with a Visa payWave application issued by O2 itself–as early as this year.