Discussion on felica sony


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Discussion on felica sony

  1. 1. Technology Innovation and Standardization IILOGO Sony’s Business Strategy on FeliCa Nur Ahmadi – 11M51169 Dept. of Communication & Integrated Systems
  2. 2. About Sony FeliCa Sony produce FeliCa chip All Osaifu-ketai use FeliCa chip Sony is a major investor to FeliCa Networks (57 %) Perhaps, FeliCa networks is quite profitable Sony is one of the main member of NFC forum Protocol is common Sony not a GSMA member Whether operators will keep using FeliCa networks is the operator’s decision Operators may go toward “Wave and Pay”
  3. 3. Latest Updates US & UK operators established “Wave & Pay” company based on GSMA “pay by mobile” technology Google announced and run Google Wallet Philips released a new NFC enabled chip Samsung & Nokia set to use Philip’s NFC technology Sony launched new FeliCa Lite-S chip All the next chip will support NFC (type A, type B, and FeliCa) as stated by NFC forum More many coming handsets will enable NFC technology
  4. 4. Sony FeliCa: Strengths The new FeliCa Lite-S has faster response It offers better security It is going cheaper It becomes smaller Sony makes NFC controller which enables type A and type B used together with FeliCa chip in the same handset The NFC controller costs cheap enough By NFC controller, the handsets can be used both inside and outside Japan FeliCa chip provides up to 3 space for application use
  5. 5. Sony FeliCa: Weaknesses The price of FeliCa chip is more expensive than Philip’s chip Previously (without NFC controller), FeliCa chip can only be used inside Japan (can not expand the market outside Japan) Tend to manage its brand which affects to the price The FeliCa network is closed, it’s expensive to buy the license
  6. 6. Sony FeliCa: Opportunities Sony can get bigger market (including outside Japan) if they can pursuade operators and handsets vendor to use their FeliCa chip and NFC controller Sony can keep the market in Japan by providing more secured FeliCa chip with lower price, smaller size, and faster response Sony may reduce the license fee of FeliCa network to get more market (especially for operators that use NFC enabled chip instead of FeliCa chip
  7. 7. Sony FeliCa: Threats It’s highly possible Sony will lose their market because operators change their chip into Philip’s NFC based technology since the FeliCa chip costs more money The future trend is using SIM enabled technology which likely change Japanese & Korean operators’ mind to use Philip’s NFC chip
  8. 8. Solution This is the best solution that Sony will offer to the operators and handsets vendor The mobile payment application needs very secured transactions as it directly dealing with the money inside. That’s why FeliCa chip will be the most suitable choice
  9. 9. Solution  The main problem of using FeliCa chip in the operators’ head is the high price and incompatibility outside Japan. It is solved by reducing its price yet with great improvement on the response speed and the chip size, and by making NFC controller to communicate with type A/B (NFC)
  10. 10. Solution  The use of NFC controller chip also anticipates the future trend of using SIM enabled so that it can be used anywhere in the world  The operators can install other applications (up to 3) in FeliCa chip, e.g. Suica, Edy, Nanaco, etc
  11. 11. Thank You