i3 - November/December 2017 - 28

in-vehicle e-payments with smart parking
meters from San Diego's IPS Group.
Nonetheless, Moon says, there is no timeline for when Honda may commercialize
e-payments in cars.
Visa's Arumugam mentioned another
potential e-payment application: temporarily installing a mobile wallet in a shared
vehicle. This is possible using the Visadeveloped secure token technology, which
underlies established mobile wallets including Apple Pay and Android Pay in addition
to the JLR and Honda implementations.
Use cases are one matter, but the handling of credit card information by automakers is another entirely, asserts Oliver
Rumpf-Steppat, who helps shape BMW's

NOVEMBER/DECEMBER 2017

JLR-Shell e-payment
leverages a smartphone
app from the gas station
that taps Apple Pay or
PayPal mobile wallets
through the touchscreen
in Jaguar cars.

BMW CarData gives
BMW owners the
choice of sharing
vehicle data with
third party companies - such as insurance providers -
in a secure manner.

I T I S I N N O VAT I O N

From top: Courtesy Jaguar (2); Courtesy BMW

ConnectedDrive telematics system, as
department head for product requirements, component development and verification at the automaker's North America
headquarters in Woodcliff Lake, NJ.
"There's a lot of discussion going around
this topic right now," he says, but with
e-payment technology still quickly evolving,
automakers shouldn't rush to embed a
"fixed implementation" into vehicles they'll
have to support for a decade or longer. And
that's why an easily updatable smartphone
app is still the best implementation, he says.
As for keeping customer data private,
BMW has already taken a step in this
direction, Rumpf-Steppat says. Its BMW
car data project gives BMW owners the
choice of sharing vehicle data with third
party companies - such as insurance providers and even radio stations - in a secure
manner after prior consent. BMW CarData
was available first in Germany, and will roll
out to U.S. customers in 2018 or 2019.
At least one automaker is building its
own mobile wallet, which functions similar to PayPal Inc.'s. Mercedes Pay S.A.,

based in Luxembourg, was founded as Paycash five years ago and
acquired by Daimler AG last year. The reason, says CEO Juergen
Wolff, Mercedes wanted both the technical ability and the license
to operate as a payment platform. Now, like the MyTaxi cab hailing and Car2Go car sharing businesses, it is part of the Daimler
Mobility Group.
"We are supposed to be the payment engine and the wallet
behind those services," Wolff explains, "and of course one of the
next steps is to also connect the cars on the Mercedes pay solution.
So no matter if you ride in a cab, if you're sitting in a rideshare or
if you're sitting in your own car and you want to pay for car-related
services - which can be parking, fueling, tolling, whatever use
case - you would be able to pay with this solution. Our core aim
is to make a better, nicer user experience for our customers."
The interface for Mercedes Pay is the automaker's COMAND
telematics system. "We could imagine partnering up with companies that fit our brand values and that our users like," Wolff adds.
And the range of those possible partners is wide, he says, because
the underlying Mercedes Pay technology is flexible enough to connect even with retail point-of-sale systems, such as a cash register
at a supermarket.

i3 - November/December 2017

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