LINE Pay for Apple Pay

LINE Pay said years ago they would add NFC/FeliCa support if customers wanted it. Now that Apple Pay is gaining QR Code Payment support in iOS 14, LINE Pay announced Apple Pay support ‘in 2020‘ at the online LINE DAY 2020 (2:34:00 mark) media event today. The announcement has special meaning as LINE is the first QR Code payment player to announce Apple Pay support and did so before AliPay.

The timing makes sense now that iOS 14 is nearing official release, but Apple has not officially announced Apple Pay Code Payments yet though they may reveal something at the online September 15 Apple Event. Things will be damn awkward if they don’t.

There are lots of questions: will LINE Pay Apple Pay be a NFC/FeliCa + QR Code Payment in one Wallet ‘card’, or will it be the Apple Pay flavor of the Line Pay JCB prepaid card already on Google Pay that works on the FeliCa QUICPay network.

LINE Pay implied the intention of leveraging Apple Pay Code Payments and NFC but there isn’t much to go by at this point, except that LINE said Apple Pay will ‘complete the LINE PAY contactless payment platform.’ Whatever that means.

Now that LINE has made their Apple Pay move, PayPay is sure to follow. The trend to offer flexible NFC + QR payment solutions started with Toyota Wallet and will surely gain momentum with iOS 14 Apple Pay, especially with App Clips.

Smells like Super Suica: Sony unveils next generation FeliCa

Sony announced the next generation FeliCa chip on September 8. Next generation FeliCa was mentioned in the September 2018 next generation Suica, aka Super Suica, press release. This is the first glimpse into some of the new FeliCa features that Super Suica will use. The Japanese and English press released highlight different feature sets. A basic rundown:

  • Extended Overlap Service: different service providers can share additional services, while making the most of existing systems.
  • Value-Limited Purse Service: purse data can be set as a negative numerical value, and enables “Upper Limit Value” and “Lower Limit Value” to be specified.
  • FeliCa Secure ID: on the surface this cloud based service sounds exactly like the digital car key feature Sony and NTT Docomo demoed at the Docomo Open House back in January and exactly like Apple Pay Car Key sharing. Dare I say there seems to be more web service functionality that might relate to the NFC Tag Maas Suica hinted at by AquaBit Spirals CEO Tomohiro Hagiwara.
  • Additional Security Options: state of the art encryption, integrity protection option for ‘cost-balanced system solution use cases where higher priority is given to high-speed transactions while meeting the required security needs’. The new chip also complies with Public Transportation IC Card Protection Profile (PTPP).

The new hardware chip is NFC Forum Type 3 Tag compliant and works with NFC Forum certified devices.

As I explained previously, one big aim of Super Suica is sharing resources and services to reduce costs. Right off the bat Extended Overlap Service looks exactly what Super Suica wants to do: host other transit company commuter passes and reward points. The new FeliCa Japanese press release graph illustrates this, it almost looks like dual mode services in a single mode card. I think Super Suica is going to leverage the shit out of it.

Another interesting feature is the Value-Limited Purse Service. Super Suica will certainly get a stored value purse upgrade from the current ¥20,000 limit. I’m curious to find out if next generation Suica uses the new feature for additional stored value services.

One big question is when does FeliCa Networks upgrade Mobile FeliCa with all these new features and when do licensed developers get the goods. Sony and NTT Docomo already demoed Android Osaifu Keitai smartphones using FeliCa Secure ID and digital car keys with Ultra Wideband ‘Touchless’ in January. I think it’s safe to assume licensees get new FeliCa chips and upgraded Mobile FeliCa at the same time.

This is just a cursory overview. I have fingers crossed that FeliCa Dude will post something to Reddit that will delight and enlighten us when he has the time. In the meantime we have Apple Pay PASMO coming down the pike very soon in what I hope is a preview of more to come in 2021.

UPDATE
FeliCa Dude has posted an excellent overview on Reddit covering the new features and what they mean for operators. More than ever I am convinced that the big new marquee features, Extended Overlap Service and Value-Limited Purse Service will be playing major roles in Super Suica.

Public tests for new JR East Suica/QR combo transit gate (Updated)

The new JR East Suica/QR gate design was unveiled back in December along with the new Takanawa Gateway station details. Test gate installations have been in service at Takanawa Gateway and JR Shinjuku New South exit these past few months but only for Suica and the QR reader covered up. If you have your heart set on trying one out, go to Takanawa Gateway where JR East officials will take the cover off the QR reader from September 15~29 (except for 9/24~27) for public tests.

QR will eventually replace mag strip paper tickets which are increasing expensive to recycle, and the new gates will gradually replace those ingenious paper ticket/Suica combo transit gates made by Omron. I have tried the new gate in Shinjuku and all I can say is…I’m glad I wear my Apple Watch / Apple Pay Suica on the right.

No moving parts is boring…but cheaper than intricate mag strip reading mechanisms

UPDATE: Conflicted Impressions
Junya Suzuki has posted a deeper dive into the QR reader design on the new JR East gates with his usual fascinating analysis. Suzuki san is very big on the evolution of Suica away from local processing to a centrally processed unique ID model that does away with stored fare.

His IT background experience really shines through as he makes a convincing argument that a centralized unique Suica ID approach greatly simplifies the IT system by reducing hot-list/off-list refreshes that have to be coordinated between local and central systems.

We’ll have to see how things pan out with next generation FeliCa and next generation ‘Super Suica’ in 2021. There will be a definite focus on cloud + local, but I have doubts that Suzuki san’s centralized everything vision is always the best approach.

Perhaps I am missing something in his analysis, but I think there’s a happy medium that leverages the strengths of both for a robust innovative transit fare payment system as the centerpiece of the transit business platform.

Here’s a recap of his observations and reader feedback:

Separate QR reader placement
In Suzuki san’s piece JR East tech leads explain that widely separate NFC and QR readers work much better than an all-in-one approach. NFC always reacts faster than QR and this creates problems with the all-in-one reader and smartphones when fast, clean, precise read times are required. The gate QR sensor is made by DENSO. If you have ever used a poky DENSO POS QR+NFC reader at store checkout, you can relate.

Security Invisible Ink
As FeliCa Dude points out, JR East is likely using IR transparent ink to create unique ID codes for security. Apparently this is already used for Okinawa Monorail Okica QR paper tickets.

Poor Walk Flow
One of the great things about the mag strip paper ticket gates is they pull the ticket into the machine and spit it out at the other end of the gate. This is clever guided incentive to keep walking to pick up the ticket. With QR code transit gates people stop and wait for the reader to do something. Another nice thing about mag ticket machines is they eat the used tickets. The QR paper ticket downside not mentioned by JR East or the media: where do people put their used tickets for paper recycle? Who and what collects them, a bin?

When your iPhone X NFC stops working

A while ago Apple Pay just stopped working on my iPhone X. My phone simply hasn’t been detected by any NFC readers I’ve tried. At this point I finally have some spare income and would like to invest in fixing it. I don’t particularly care how involved it is, but I just can’t find any information on where the actual NFC antenna is and if it has the same lock that the face ID sensors do. I’m sorry if I’m just missing some fairly obvious information here. I would just like to be able to use Apple Pay again.

Reddit post

The Express Transit user base has greatly expanded in the US with the rollout of Apple Pay SmarTrip and Apple Pay TAP. Some iPhone X users will invariably discover they have problems using Express Transit and consider getting it repaired. iPhone X AppleCare is expired for most people at this point, getting iPhone X NFC repaired isn’t cheap or easy.

I ran across a Reddit post asking about the self repair challenge. The iPhone X has a unique volume button / NFC antenna cable design that I suspect is the culprit behind the infamous long running iPhone X NFC problem. Some repair forums report that the volume button / NFC antenna cable is serialized and simply replacement may not work.

I’ll cut to the chase: unless you love spending time and money repairing your iPhone, I strongly urge you get a replacement from Apple if you can, or better yet upgrade to iPhone SE. Touch ID is much better than Face ID when navigating the outside world wearing a face mask, and you get A13 Express Transit power reserve and background NFC tag reading that’s gonna work great with iOS 14 App Clips.

Blame the Apple Pay Ventra delay on open loop

Washington DC SmarTrip and Greater Los Angeles TAP transit cards both launched on Apple Pay the first week of September within days of each other. They upstaged Apple Pay Ventra which was announced as ‘coming soon’ way back in March 2019 but has yet to launch. Chicago Ventra users are understandably frustrated with the ‘coming soon’ Apple Pay Ventra, especially when CTA celebrates the Apple Pay SmarTrip rollout with another Ventra ‘coming soon’ ad.

All three fare systems are managed by Cubic Transportation Systems who also run the London Oyster and Sydney Opal systems. Cubic systems all use the same MIFARE smartcard technology but the interesting thing about SmarTrip and TAP is: (1) they are the first Cubic managed digital wallet transit cards, (2) neither system has implemented open loop fare payments for tap and go credit cards.

Ventra, Oyster and Opal all have open loop, and as of this writing Cubic has yet to deliver those transit cards on digital wallets. Why?

The SmarTrip/TAP Apple Pay launch gave us the answer that nobody wants to discuss: open loop support adds a layer of complexity and cost that stymies the support of native digital transit cards. Complexity and higher cost means fewer choices and delays, it’s as simple as that.

Open Loop is sold as the cost effective future of transit ticketing but it’s had a surprisingly rocky time in the American market. The failure is pinned on transit companies but I think credit companies are to blame. The arguments for open loop are plastic era constructs that ignore how mobile digital wallet platforms and mobile apps have changed everything. For example the oft cited open loop benefit of plastic smartcard issue cost savings completely overlooks the cost savings of digital transit cards on smartphones.

It’s high time for the credit card industry to rewrite the open loop marketing script for the mobile era, but they don’t want to do that. Expect more of the same. In the meantime, let’s hope the SmarTrip and TAP Apple Pay rollout is a sign that Chicago will be getting Apple Pay Ventra real soon.