In ABI Research’s newest market study analysis, NXP Semiconductors has reportedly claimed the top spot in the contactless ticketing market with 74% of the market share.
Historically, the market has been dominated by proprietary systems such as MIFARE and Calypso, despite some security concerns. Although, moves are currently underway that could potentially open up the market. For example, open loop payments using the EMV platform are becoming a hot topic and there has already been a large scale implementation throughout transport for London’s network in preparation for the 2012 Olympics.
The convergence between open-loop payments and contactless ticketing would allow seamless transaction completion between multiple, international networks and also provide a launch pad for other platforms such as NFC.
“The integration of NFC will present new opportunities to transit authorities,” comments ABI, “By partnering with local businesses, transit operators are able to offer value added services, providing partnering businesses the opportunity to offer consumers vouchers or marketing via NFC handsets. This will generate new revenue streams for transit operators.”
The report, “Contactless Ticketing for Transportation”, provides regional shipment data on smart card and disposable RFID solutions by region and product type. The report also provides ABI Research’s view of the most likely future market changes and developments.