Microsoft Plans Mobile Payment System For Windows Phone 7

Microsoft may be inching closer to outfitting Windows Phone 7 with its own mobile payment software, Bloomberg reports. The technology would make the company the third major player, behind Google and Apple, said to be entering the mobile payment sphere.

With the technology, Windows Phone 7 owners will able to make payments by waving their phones over special readers at cash registers. The features are expected this fall, say Bloomberg sources.

Earlier this month Bloomberg reported that Google plans to test its own mobile payment program in New York and San Francisco. The trial is set to begin within the next four months. VeriFone Systems Inc. will manufacture the contactless readers, Bloomberg reported.

The wire service says Google is teaming up with MasterCard and Citigroup to bring its mobile payment system to consumers. Using an application available on near field communications-equipped phones, Citigroup card users will be able to use their phones to pay for purchases

Apple, too, has mobile payment plans in the works, according to speculation. The company is expected to launh its own mobile payment system with the launch of the next iPhone, expected this fall. Payments would run through the iTunes Store, allowing Apple to take a cut out of all transactions.