Alipay to launch mobile-based payment system next month - executive
Beijing. June 17. INTERFAX-CHINA - Alipay.com Co. Ltd. (Alipay), an online payment service provider affiliated with Alibaba Group, plans to launch a mobile phone-based payment system next month, an Alipay executive said June 16.
Alipay users will be able to pay for goods and services at point of sale by placing their smartphones near a virtual payment terminal, according to Stephen Zhu, General Manager of Alipay's mobile payment unit.
The as yet unnamed system will not utilize near field communication (NFC) wireless technologies to facilitate transactions, Zhu said at The Future of Mobile Payments seminar in Beijing, without elaborating on what technology will be used.
Alipay is China's leading online payment service provider, with more than 550 million registered users. The company processes RMB 2.5 billion ($386 million) worth of transactions every day.
Alipay was embroiled in controversy last month after Yahoo Inc., a majority shareholder in Alipay's former parent Alibaba Group, alleged that Alibaba Group chairman Jack Ma transferred all of Alipay's equity to another entity without seeking board approval or properly notifying shareholders.
-RL