No global NFC evolution for Pixel 4?

iFixit posted a teardown of the Pixel 4 and we have a new NFC chip: STMicroelectronics ST54J NFC controller. This replaces the NXP PN81 used in Pixel 3 but still has a embedded secure element (eSE) that supports all the global NFC technologies: NFC A-B-F/EMV/FeliCa/MIFARE.

NFC Forum device certification requires NFC A-B-F hardware support, but Google went the cheap route again with the extra step of not installing FeliCa transaction keys in non-JP Pixel 4 models. This means only Pixel JP models are global NFC devices, users with non JP models cannot add and use the Japanese Suica transit card or Hong Kong Octopus. iPhone and Apple Watch have global NFC as a standard feature on all worldwide models since iPhone 8/X and Apple Watch Series 3.

Pixel 3 was step towards global NFC with the Japanese models. The Pixel 3 Global NFC Evolution post examined the possibility of Google creating their own ‘in house’ embedded secure element (eSE) for all NFC transactions technologies implemented on their own Secure Enclave Pixel platform. I was wrong and made some bad assumptions:

  • Apple was already doing global NFC transactions on the A/S Series Secure Enclave, so Google would try to do the same with their Titan chip.
  • The Pixel Phone hardware page states: if you purchased your Pixel 4, 3a or 3 phone in Japan, a FeliCa chip is located in the same area as the NFC. The wording suggests a separate FeliCa chip for JP Pixel models but this is not the case.

FeliCa Dude was very considerate of my Pixel global NFC fantasy even though it made no sense at all cost-wise or software-wise having an extra NFC FeliCa chip and multiple eSE just for JP models. He extensively tested a Pixel 3 JP model, a single global NFC NXP PN81B chip was the only answer.

The iFixit teardown confirms that Pixel 4 simply repeats last year’s Pixel 3 strategy of having global NFC hardware but only buying FeliCa transaction keys for JP models. It’s a weird strategy because the whole point of the NXP PN81 and ST54J chips is to provide customers with a convenient off the shelf global NFC package with all the hardware (NFC A-B-F) and software (EMV/FeliCa/MIFARE) ready to go.

The Pixel 4 looks like a great device but the NFC story angle remains a disappointment. As I have said before, the Android equivalent of global NFC iPhone and Apple Watch has yet to appear.

UPDATE
FeliCa Dude posted a deep dive into the Pixel 4 ST54J NFC chip and comes up with some fascinating analysis. He points out there were three model classes for Pixel 3:

  • Devices with eSIM functionality and without Mobile FeliCa
  • Devices without eSIM functionality and without Mobile FeliCa: the carrier-neutered model with a locked bootloader.
  • Devices without eSIM functionality and with Mobile FeliCa (the G013B/G013D models)

Pixel 4 delivers eSIM and FeliCa together to the Japanese market for the first time and this appears to be a reason behind Google choosing the ST54J that has eSIM + global NFC eSE on a single die. FeliCa Dude does not have a Pixel 4 yet so there is more analysis to do, but the important point is this:

if the Japanese SKUs of the Pixel 4 are indeed based on the ST54J, then there should be no technical reason why such <Mobile FeliCa> functionality can’t be delivered OTA <over the air update> to the ROW <rest of world> SKUs should Google desire to provide that service

The Pixel 4, the ST54J and Mobile FeliCa

It would be nice indeed if Google left the door open for adding Mobile FeliCa later to all non JP Pixel 4 models with a software update, especially for markets like Hong Kong that can use it. Whether Google will actually do that is another matter entirely.

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iOS 13.2 Suica Express Transit Update: same great performance, same sloppy UI

iOS 13.2 is in the last beta stage, the official release is due October 30. I am happy to report that Suica Express Transit performance levels remain at the same solid benchmark set by iOS 12.4 and later. This is very good news.

Suica notifications are another matter. Notifications have not recovered from the fast sloppy iOS 12.2 Suica Wallet UI redo in preparation for iOS 13 dark mode and the transition from 3D Touch to Haptic Touch. Regular Suica notifications for transit and purchases work fine, but 3D Touch/Haptic Touch notification shortcuts and user set reminders are still broken. Here’s a quick list of the remaining problems. Let’s hope Apple recovers their attention to detail.

Missing Suica notification Haptic Touch global shortcuts: iOS 12 Suica notification 3D Touch shortcuts for recharge and commute plan renewal were global in nature and appeared on all Suica notifications and user set reminders. Recharge shortcuts have reappeared in regular Suica notifications but are still missing in user reminders. Commute plan renewal reminder shortcuts are completely missing.

Commute Plan Renewal Reminders: In iOS 13.2 no matter the what the user set reminder interval is, the renewal reminder only appears once per current commute plan period and never again, which is useless. iOS 12 Suica commute plan renewal reminders would appear after every transit until the commute plan was either renewed or expired.

Sloppy Japanese localization: Suica is a Japanese card and has specific Japanese terms for card operations: adding money is ‘Charge’= ‘チャージ’. The iOS 13.2 shortcut JP text label shows ‘Add money’ instead of ‘Charge’. This is incorrect and does not match the Suica Wallet card UI label for the same operation. iOS 13 has a sloppy reputation and Suica still has plenty of UI bugs such as the Australian/New Zealand English Suica bug.

The JAPAN CASHLESS Rebate Week 1: MiniStop Reports 6% Cashless Payment Use Increase in First Week

This is what we were waiting for. After all that hassle of getting ready for the CASHLESS rebate program, how many people were actually going to go cashless to get the rebates? NHK reports that the MiniStop convenience store chain saw a 6% rise in cashless payments use rates in the first week of the rebate program, rising from 24% to 30%. MiniStop president Akihiro Fujimoto said he was surprised at the quick uptake. I’m not.

30% was the informal Apple Pay Suica use rate I found in station areas in 2017. The MiniStop number is just one data point from one store chain, so it will be interesting to see how cashless use rate averages pan out over time. Convenience stores chains offer 2% rebates with cashless purchases, calculated and deducted from the customer bill at checkout. Smaller store 2%~5% rebates are post-transaction refunds. Despite the small data sample size, I think we are already seeing the beginnings of a tipping point here.

Tokyo Cashless 2020: Blame the Japan Cashless Payments mess on VISA and EMVCo, not FeliCa

1️⃣ Dear JR East, we need a new Suica Charge App
2️⃣ Consumption tax relief with the CASHLESS rebate program
3️⃣ Are Apple Maps and Siri really Apple Pay level ready for the Tokyo Olympics?
4️⃣ > Blame the Japan Cashless Payments mess on VISA and EMVCo, not FeliCa

Tokyo Cashless 2020 is a series covering all things cashless as Japan gears up for the big event. If there is a topic that you’d like covered tweet me @Kanjo


Japanese journalist Akio Iwata just published a piece explaining why VISA has not signed with Apple Pay in Japan. It is paywalled and I have not read it, but Japanese readers noticed similar points in my earlier piece Why Visa refuses to join Apple Pay Japan and tweeted about it. The subject is timely and worth visiting again after the events of the past year.

Some western business journalists and industry pundits look at the Japanese payments market and write about failure: the failure of FeliCa to be universally accepted, the failure of Japanese society to use cashless payments instead of hard cash. It’s a kind of cut and paste narrative construct journalism that you see too much of these days, like the recent Financial Times piece, or worse the NFC TIMES. The narrative is persuasive enough to blind some Japanese journalists as well.

This kind of reporting plays to the expectations of a certain readership, but it completely fails to capture or explain the massive changes happening in Japan right now, set in motion by the arrival of Apple Pay in late 2016. The bulk of the cut and paste argument is that FeliCa failed to take off in Japan and because Japan failed to switch to the EMV ‘world standard’, that’s why we have the current messy situation. End of story. I don’t buy this argument at all.

FeliCa was around long before the EMVCo consortium got it’s NFC act together in the early 2000s. NFC-A is Philips, NFC-B is Motorola, NFC-F is Sony. The ISO/IEC 14443 standard was supposed to include NFC-F but the ISO ultimately decided not to include it. EMVCo created the EMV contactless standard on ISO/IEC 14443 NFC A/B.

With lots of help from JR East, NFC-F was added to the ISO/IEC 10373-6 and GSMA/GCF (Global Certification Forum) TS. 26, TS. 27 specifications. From April 2017 GCF certification for all NFC mobile devices requires NFC-A, NFC-B and NFC-F support.

It is this later development, and especially the fruit of that development, Apple Pay Suica, that I believe is unacceptable to VISA and by extension EMVCo. VISA cooperates with Apple Pay in other countries because it promotes EMV, VISA refuses to cooperate with Apple Pay in Japan because it promotes FeliCa. Instead of promoting bank card use and new services VISA is promoting technology.

I have long suspected that VISA simply does not want anything to do with Apple’s support of the Global NFC standard put in place by the NFC Forum and GSMA/GCF in 2017. It’s not only Apple…VISA refuses to support dual mode (EMV/FeliCa) Docomo iD/NFC for Android Osaifu Keitai users abroad which Mastercard, American Express and JCB do. VISA simply wants to bide time until NFC Pay/EMV contactless support in Japan is everywhere and then simply ignore FeliCa (NFC-F) all together…

Unfortunately this strategy has only accomplished one thing: it provided an opening for QR Code payment system players…

Why Visa refuses to join Apple Pay Japan

My argument is simple. The VISA and EMVCo mindset is stuck in the one size fits all single mode plastic card era. This is easy to understand as the plastic card issuing business is a very lucrative one.

But like all things there is a downside: instead of embracing the full promise of global NFC digital wallets that can match the best NFC technology for the job with multiple mode cards that do everything and ‘just work’ everywhere, we have the contactless payment turf wars which are really just plastic era fighting moved to a digital arena.

Instead of pursuing the advantages of digital wallets that merge the best of native transit cards on the front end with the best of bank cards on the back end, where they perfectly complement each other, we have bank cards fighting to be everything, which they are not and will never be. This is why Apple markets Apple Card as ‘a new kind of credit card, created by Apple, not a bank.’ It’s the reason why Apple Card is Mastercard brand, not VISA.

In Japan specifically we have VISA refusing to join Apple Pay Japan and for the most part Google Pay, and VISA Japan key player Sumitomo Mitsui fighting on and off with Mobile FeliCa key player Docomo. And the result? None of this nonsense helped strengthen VISA Japan’s market position one bit. On the other hand VISA’s arrogance pulled all the other card companies down with it and provided a huge opening for the Japanese QR Code players like PayPay.

When I wrote Why Visa refuses to join Apple Pay Japan the frenzy of Japanese QR Code payments was just getting underway. Over a year later I think this conclusion is stronger than ever and the only one that explains the reality of the current market. VISA may like to think that the Tokyo Olympics is the last great opportunity to finally kill FeliCa. That’s not going to happen.

Only by setting aside the past and embracing the multimode digital future with forward looking cooperation, can VISA (and by extension EMVCo) help bring order to the payments chaos of the Japanese market. Only cooperation can deliver the promise of cashless payments to Japan, and strengthen the long term market opportunities for all players.

JRE POINT Issues Apple Pay Suica Notice

With the JAPAN CASHLESS Rebate program in full swing, many Apple Pay Suica users are suddenly paying attention and signing up to get those post-transaction rebate points. The sleepy JRE POINT site is suddenly a hot bed, and users are advised to steer clear of registering Suica cards during the peak evening hours of 22:00~24:00.

JRE POINT issued a notice today reminding users with plastic Suica cards registered with JRE POINT, that they need to re-register the Suica as Mobile Suica if they transfer it to Apple Pay.

JRE POINT allows multiple Suica cards to be registered, but only a single Mobile Suica card (green) can be registered at any one time, and one Mizuho Suica (blue). Once a Apple Pay Suica/Mobile Suica card is registered however, users don’t need to worry about the Suica ID number changing when migrating to a new device or moving Suica from iPhone to Apple Watch. The number usually doesn’t change but even if it does, the Mobile Suica/JRE POINT system takes care of it.

UPDATE: I forgot to mention that MIZUHO Suica does not count towards the Mobile Suica limit, you can have one Mobile Suica card (green) and one MIZUHO Suica card (blue) both in Wallet, both earning JRE POINT.