
In Japan, mobile payment solutions are a huge part of everyday life, and Osaifu Keitai is at the forefront of this technology. One of the key benefits of Osaifu Keitai is its ability to store various types of data, including credit card information.
This convenience allows users to make payments quickly and securely, without the need for physical cards. In fact, many merchants in Japan now accept Osaifu Keitai payments, making it a widely accepted form of payment.
Users can also store their IC cards, which can be used for public transportation, on their Osaifu Keitai devices. This eliminates the need to carry multiple cards, making it a very convenient option for those who use public transportation frequently.
Osaifu Keitai devices can also be used to store membership cards, such as those for loyalty programs or gym memberships. This makes it easy to access these benefits on the go, without the need to carry around physical cards.
Additional reading: Store Pay Shop Pay
Advantages and Disadvantages

FeliCa technology, developed by Sony, is the de facto standard for Japanese smart cards, and many of these cards accept the Osaifu-Keitai system.
Osaifu-Keitai provides more convenient services than plastic FeliCa cards, including automatic recharge via the Internet and access to the latest information.
A single Osaifu-Keitai phone can accept multiple applications, equivalent to different cards, offering greater flexibility and convenience.
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Advantages
FeliCa, developed by Sony, is the de facto standard technology used for Japanese smart cards.
Many of these cards accept Osaifu-Keitai (Mobile FeliCa) system as well, or plan to accept it in future.
Osaifu-Keitai can provide more convenient services than plastic FeliCa cards.
It can automatically recharge itself via the Internet.
It can also provide the latest information.
A single Osaifu-Keitai phone may accept multiple applications, each equivalent to different cards.
This means you can have various cards stored on one phone, making it a convenient option.
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Disadvantages
One of the main disadvantages of Osaifu-Keitai is the risk of losing or having your phone stolen, which can compromise all the functions on your phone.
If your phone is lost or stolen, you'll have to contact each service provider to stop all the functions, which can be a lengthy and frustrating process.
Osaifu-Keitai functions even without radio transmissions, making it difficult to terminate applications just by closing a phone account.
Some phones have a feature that allows you to lock the functions via a phone call or an email, which can provide some relief.
There are also risks associated with Osaifu-Keitai functioning as an identity card, such as member cards, company cards, or keycards.
This can compromise the security of those who authenticate it.
Here are some examples of smart cards in Japan that use Osaifu-Keitai:
Additionally, there are risks associated with electronic money and mobile payments, which can also be compromised if your phone is lost or stolen.
Examples of electronic money and mobile payments include Edy, nanaco, taspo, Waon, Osaifu-Keitai, and Mobile Suica.
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Examples of Osaifu Keitai Devices
Osaifu Keitai devices are equipped with a contactless IC chip called a FeliCa chip, making payments convenient by simply holding the device over a reader.
The iPhone has been equipped with Apple Pay since the 7, and models with a FeliCa chip have the FeliCa symbol on the back or other parts of the device.
The Sony Xperia VL, Sony Xperia AX, Sharp Aquos Phone Zeta, and Sharp Aquos Phone Serie are just a few examples of devices that support Osaifu Keitai payments.
These devices can handle both NFC and Osaifu Keitai payments, making them convenient for users who want to make payments on the go.
Sony Xperia VL
The Sony Xperia VL is one of the devices tagged with 'Osaifu Keitai'.
It's a notable example of how mobile phones can be used as a wallet.
The Sony Xperia VL is specifically mentioned as a device that can be fed for 'Osaifu Keitai' devices.
Sony Xperia Ax
The Sony Xperia AX is an Android 4.0 device. It's one of the first handsets to be equipped to handle both NFC and Osaifu Keitai payments. The Xperia AX is a notable example of a device that supports Osaifu Keitai technology.
Sharp Aquos Zeta Phone
The Sharp Aquos Phone Zeta is an Android 4.0 device. This operating system is a key feature that allows for seamless integration with various apps and services.
It's one of the first handsets to be equipped to handle both NFC and Osaifu Keitai payments, making mobile transactions a breeze.
Aquos Phone Serie
The Aquos Phone Serie is a notable example of an Osaifu Keitai device. It was revealed in May 2012.
The Serie, model number ISW16SH, was the first handset in the world to support both NFC and FeliCa technologies.
Apple Pay vs. Japan's Mobile Payments: CNBC Interview
In Japan, mobile payments are a huge deal, and it's called osaifu keitai. The concept is simple: users can store their credit card information on their phones and make payments with just a tap.
One of the most popular mobile payment systems in Japan is called FeliCa, which is used in conjunction with the Suica and Pasmo cards. These cards can be used to pay for public transportation and other small purchases.

Apple Pay is also available in Japan, but it's not as widely used as FeliCa. According to a CNBC interview, Apple Pay only accounts for about 1% of mobile payments in Japan.
FeliCa is widely accepted in Japan, with over 90% of convenience stores and restaurants accepting it. In contrast, Apple Pay is mainly used in larger retailers like department stores and supermarkets.
Japan's mobile payment system is more convenient and efficient than Apple Pay, with users able to make payments by simply tapping their phone on a reader.
Mobile Payment
Mobile payments in Japan have a rich history, dating back to the early 2000s. Docomo's Osaifu-Keitai system was publicly tested by 5000 customers between December 2003 – June 2004.
This system builds on SUICA NFC stored fare cards, which JR-East brought to market in Tokyo on November 18, 2001. The author of this newsletter was one of the testers, giving them a unique perspective on the development of mobile payments in Japan.

Osaifu-Keitai uses a chip called FeliCa, which was developed by SONY and Docomo. This chip is very convenient, allowing users to make payments by simply holding their device on a reader at a station or store.
The speed of transactions is also impressive, with mobile SUICA payments being used in Tokyo successfully since January 28, 2006, at the world's busiest railway stations, including Shinjuku and Shibuya.
Transaction speeds in Tokyo are faster than 100 milli-seconds, according to The Wallstreet Journal. In contrast, London Transport did not even know about this technology, raising questions about the speed of Apple-Pay transactions.
Japan has developed mobile payments, e-cash, credit cards in mobile phones, and an open API and a mobile payment and e-cash developer ecosystem over the last 10-15 years. This experience can be used to inform predictions about the Apple-Pay market.
Here are some key features of Osaifu-Keitai:
- Uses chip FeliCa, developed by SONY and Docomo
- Allows users to make payments by holding their device on a reader
- Transaction speeds are faster than 100 milli-seconds
- Has been used in Tokyo successfully since January 28, 2006
Frequently Asked Questions
Who is eligible for Osaifu-Keitai?
To use Osaifu-Keitai, you need a device sold in Japan, such as a Pixel 6 or newer, but be aware that Google has restricted its use.
Which Android phones support Osaifu-Keitai?
Only Pixel phones bought in Japan are compatible with Osaifu-Keitai by default, but software updates may expand compatibility to other devices
Sources
- https://bitwallet.com/en/support/glossary/osaifu-keitai/
- https://www.lawinsider.com/dictionary/osaifu-keitai
- https://en-academic.com/dic.nsf/enwiki/7433310
- https://www.nfcw.com/nfc-data/osaifu-keitai-mobile-wallet/
- https://www.eurotechnology.com/2014/09/16/apple-pay-osaifu-keitai/
- https://bitwallet.com/vi/support/glossary/osaifu-keitai/
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