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Verizon: We're Blocking Google Wallet for Good Reason, Honest
Even Though App Competes With Our Own Mobile Payment Ambitions
by Karl Bode 05:39PM Thursday Dec 13 2012
In a new filing with the FCC, Verizon insists that the carrier is not blocking Google Wallet anti-competitively, though the company has a vested interest in promoting its own Isis mobile payment platforming. Google Wallet was launched last year but still isn't available on NFC-enabled Verizon devices by default, the carrier insisting last year they were simply interested in "the best security and user experience in the market around m-commerce."

Click for full size
In a new FCC filing, first spotted by Droid Life, Verizon insists that they're blocking the app because of "integration obstacles," and not because they're trying to protect their own Isis payment platform, being developed in conjunction with AT&T. From the filing:
quote:
"This is a secure and proprietary piece of hardware built into some devices, but fundamentally separate from the device's basic communications function or its operating system. Google Wallet is different from other widely-available m-commerce services in that it requires integration with this 'secure element.'"
Verizon's insisting that because Google Wallet uses the "secure element" on devices, it needs to go through an elaborate new screening process before approval. However, Google Wallet simply uses the secure element to store a unique Google ID which is used to access your real information in on Google's servers, and a year is a long time to approve something so simple. Verizon suggests that Google could remove this added layer of security to get approval, though that of course would diminish the value of Google Wallet.

Granted given this is Verizon, and Google Wallet is a big threat to their own Isis mobile payment ambitions, you can judge for yourself just how technical this hurdle actually is on Verizon's end.

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sk1939
Premium
join:2010-10-23
Mclean, VA
kudos:10

1 recommendation

Verizon

Verizon, you and AT&T seem to like to block most anything that threatens your revenue streams don't you.

FFH5
Premium
join:2002-03-03
Tavistock NJ
kudos:5

Re: Verizon

Google Wallet works just fine on Sprint CDMA phones. Why not on Verizon phones?
rradina

join:2000-08-08
Chesterfield, MO
There's nothing wrong with them trying. All corporations try to make as much money as possible. However, this type of activity should cause the "ref" to throw a flag and at the very least, request a booth review.
Kearnstd
Space Elf
Premium
join:2002-01-22
Mullica Hill, NJ
kudos:1

Re: Verizon

The problem is the ref is on the payroll of the bigger team.
--
[65 Arcanist]Filan(High Elf) Zone: Broadband Reports
jc100

join:2002-04-10

Re: Verizon

Google needs to "pay up" on their bribes a bit better it seems if the refs are in ATT and Verizon's court. You'd think Google would have a team of lobbyists on its side, too.

sk1939
Premium
join:2010-10-23
Mclean, VA
kudos:10
Reviews:
·T-Mobile US
·Verizon FiOS

Re: Verizon

said by jc100:

Google needs to "pay up" on their bribes a bit better it seems if the refs are in ATT and Verizon's court. You'd think Google would have a team of lobbyists on its side, too.

I'm sure they do, but they are new to the lobbying game; the Ma Bell companies are old hats at lobbying, and have been funding many of these politicians before there was something called the internet.
jc100

join:2002-04-10

Re: Verizon

Very true. Hard to "Buy or Bribe" your way into an entrenched market. That takes serious capital and I wonder if Google is ready to dump that level of cash to make these folks see their side of the light.
dra6o0n

join:2011-08-15
Mississauga, ON

Re: Verizon

Why do you think Google uses the 'people' to pressure entrenched corporations to move?

cdru
Go Colts
Premium,MVM
join:2003-05-14
Fort Wayne, IN
kudos:7
said by Kearnstd:

The problem is the ref is on the payroll of the bigger team.

Who's the bigger team though?

Verizon: $127b market cap, $2.4b 2011 net income
Google: $230b market cap, $8.5b 2011 net income
dra6o0n

join:2011-08-15
Mississauga, ON

Re: Verizon

Google has the bigger community too.
Something bad happens, Google uses them fight back.
jc100

join:2002-04-10
You forgot to add ATT + Verizon Vs. Google. Both Att and Verizon are unified against Google.

cdru
Go Colts
Premium,MVM
join:2003-05-14
Fort Wayne, IN
kudos:7

Re: Verizon

said by jc100:

You forgot to add ATT + Verizon Vs. Google. Both Att and Verizon are unified against Google.

Ok, I'll revise my statement:

AT&T: 193b market cap, $3.9b 2011 net income
Verizon: $127b market cap, $2.4b 2011 net income
Google: $230b market cap, $8.5b 2011 net income

Part of my point is also that at these numbers, there isn't really a "bigger" team to pay off the refs. It's an irresistible force meeting an immovable object scenario.

workablob

join:2004-06-09
Houston, TX
kudos:4

Familiar?

This reminds me of when V blocked Google Maps from accessing the GPS on the phones while trying to get users to pay for VZNavigator.

Hmmm.

Dave
--
I may have been born yesterday. But it wasn't at night.

amarryat
Verizon FiOS

join:2005-05-02
Marshfield, MA
Reviews:
·Verizon FiOS

Re: Familiar?

said by workablob:

This reminds me of when V blocked Google Maps from accessing the GPS on the phones while trying to get users to pay for VZNavigator.

Hmmm.

Dave

I was going to say the exact same thing. I had a Blackberry at the time and called to complain. They said it was a security issue. And then they unlocked them a year later.

rit56

join:2000-12-01
New York, NY

Verizon

Would anyone really use Verizon as their "credit card"? No way will that ever happen. Denying Google wallet is no different than Visa imposing rules that you can't use Master Card. The whole "it's their network" is bull. They can't be allowed to force you to but products through them only. Total bullshit.
TBBroadband

join:2012-10-26
Fremont, OH

Re: Verizon

And would anyone really use Google? I'd trust VZW with my information before Google and their data bank that is open to the highest bidder, and how has a track record of selling that information.

ArrayList
netbus developer
Premium
join:2005-03-19
Brighton, MA

Re: Verizon

do you seriously think that verizons not selling your information? I'd rather give my information to the company that does a better job managing it.
dra6o0n

join:2011-08-15
Mississauga, ON
Reviews:
·ITalkBB

Re: Verizon

Correct, smaller corporations have a better chance of selling your information off to ad agency and such.

Google is more of the 'freelance' type that not only collect information, but doesn't really 'need' them as they look through the info and then stash it.

ArrayList
netbus developer
Premium
join:2005-03-19
Brighton, MA

Re: Verizon

Google provides a service with it at least. I don't get anything from Verizon if they were to get that information.

morbo
Complete Your Transaction

join:2002-01-22
00000

Verizon plays dirty

Verizon is in the wrong here. However, with a impotent FCC leadership the consequences are a verbal reprimand or worse yet -- no action at all.

This is a bigger story than what it seems.
IONEX

join:2001-12-09
Austin, TX

APK

You can't download Wallet through the Play Store on Verizon phones but if you download the APK from somewhere else it works fine. I use Google Wallet on my Verizon Galaxy Nexus using the above method and thankfully I did as I forgot my wallet the last time I went to CVS and it came in handy...
Happydude32
Premium
join:2005-07-16
kudos:1

Re: APK

I can download Google Wallet on my Droid DNA via the Play Store, in fact it came preloaded on the phone. Since it's basically useless on Verizon, I uninstalled it. When I would launch it, I'd get the same message that's in the picture above.

Jackarino
YacCity
Premium
join:2006-12-28
Allendale, NJ
kudos:1

Are they bored

I use Google wallet for many things! ugh
--
Romney - Ryan 2012
Christie 2016

IowaCowboy
Iowa native
Premium
join:2010-10-16
Springfield, MA
kudos:1
Reviews:
·Verizon Broadban..
·Comcast

Which is why I like Apple

Apple would not allow this. Apple controls the carriers, not the carriers controlling Apple. Verizon had to cave in since there was market demand for the iPhone on Verizon.

I bet Isis will fail as the number of merchants that will accept Google Wallet will outnumber the merchants who will sign onto Isis.

It would be nice if I could use my phone to pay my bus fare. The PVTA just put in new fareboxes. iPhones with a barcode scanner attachment and an iPhone app would have been cheaper. The new fareboxes function the same way as the old ones, they are just slightly fancier and are so late '90s tech wise whereas the old ones are '80s era tech. Smartphones are so 21st century tech.

As the debate over the dollar coin continues, I have a feeling that US currency will go paperless/coinless someday and go all digital with debit cards and smartphones.
TBBroadband

join:2012-10-26
Fremont, OH
Reviews:
·AT&T U-Verse
·MegaPath

Re: Which is why I like Apple

funny!

If T or VZW went to Apple and told them to remove something from the iTunes store it would be GONE. Apple only cares if they get their $$$ or not.

And before you start becoming an iProduct fan boy and VZW fanyboy- NOT everyone uses nor cares about iProducts so by using only their technology, limits the others from using it.

And as far as SmartPhones being 21st Century- that leaves Apple out on a LOT of things. Especially when many phones have better and higher specs than most of the iPhones. Apple has you over their desk bent over and they know it.

88615298
Premium
join:2004-07-28
West Tenness
said by IowaCowboy:

Apple would not allow this. Apple controls the carriers, not the carriers controlling Apple. Verizon had to cave in since there was market demand for the iPhone on Verizon.

I bet Isis will fail as the number of merchants that will accept Google Wallet will outnumber the merchants who will sign onto Isis.

It would be nice if I could use my phone to pay my bus fare. The PVTA just put in new fareboxes. iPhones with a barcode scanner attachment and an iPhone app would have been cheaper. The new fareboxes function the same way as the old ones, they are just slightly fancier and are so late '90s tech wise whereas the old ones are '80s era tech. Smartphones are so 21st century tech.

As the debate over the dollar coin continues, I have a feeling that US currency will go paperless/coinless someday and go all digital with debit cards and smartphones.

Please Apple is the worse at proprietary tyrany. Apple allows Google wallet on Iphones?
puck0114

join:2005-12-24
Portland, OR
Reviews:
·Comcast
·Stephouse Wireless
Here in Portland, our public transit service is planning to begin smart phone ticketing this Spring on both Android and iOS. This will let you buy your tickets and display them on your phone. No more paper! I read that Boston is currently doing something similar. So there's some hope.

morbo
Complete Your Transaction

join:2002-01-22
00000
Reviews:
·Charter
Many countries offer NFC wireless payment for bus and subway fare. The USA is a bit behind with that, but wireless credit card terminals are starting to show up in more places. You should know that the iPhone does not have an NFC chip and is unable to use Google Wallet or similar systems.

Bill Neilson
Premium
join:2009-07-08
Arlington, VA

Why should Verizon care if they are following the rules?

Who would actually stop them?

Oh no, they are fined another $10,000 for that financial scheme that netted them over $100,000,000 dollars? What a reason to not do that again!

f_verizon

@comcast.net

f_verizon

anyone still paying out the nose for verizon deserves what they get. i went from paying them over 100 a month with a crippled galaxy nexus to a nexus 4 on tmobile's 30 per month plan. big woop no lte im happy on hspa+ and it doesnt drain my battery.
TBBroadband

join:2012-10-26
Fremont, OH
Reviews:
·AT&T U-Verse
·MegaPath

Others

Others do this same thing. Google is only in the news because its "Google" and nobody else.

BlackBoard the high school and secondary education software provider is only available on Sprint and certain devices. Maybe I should complain because it's not available on TMO??? And claim its a TMO issue.

If Google thinks they're above everyone else, well they need to just buy up someone and build out on their own, but wait! they decided they couldn't do that and had no intent in starting their own networks.

••••

jseymour

join:2009-12-11
Waterford, MI

"Smart" Phone Security

I'd never use a "smart" phone that way, anyway, even if I did have one. Due to a pretty serious bug in Samsung's mobile devices, I've been looking more closely at the whole Android universe. What I'm seeing is not reassuring. Between Google's loosey-goosey control of the Play Store, and manufacturers and carriers mucking-about with the Android OS to suit their needs, I trust the platform even less than I do MS-Win.

Jim

morbo
Complete Your Transaction

join:2002-01-22
00000

Re: "Smart" Phone Security

Back to using tin cans and string for communication?
ConstantineM

join:2011-09-02
San Jose, CA

"integration obstacles"

I LOL'ed!

First, create an imaginary obstacle yourself. Then, claim that there's an obstacle, and it's someone else's fault!

Good job, Verizon! Don't know why people would pay more to have less; "can you hear me now" must have been a really good ad campaign on their part.

They are already shutting down their own stupid app store; but haven't actually learned anything from the experience and the wasted resources?
TheRogueX

join:2003-03-26
Springfield, MO
Reviews:
·Mediacom

So.. wait..

It's an 'integration problem?'

Tell that to someone who has a Galaxy S III on Verizon (who can't use Google Wallet because it is 'unavailable on his device') to a guy who has a Galaxy S III on Sprint (same device, and oh look, it's totally available and works just fine!).

In my line of work, we call what Verizon is saying a 'boldfaced lie.'