CIBC chief says banks will adapt to disruptive impact of new technologies + MORE Jun 23rd

You know your company has made it big-time when its name becomes a verb. And who among us doesn’t Google something a dozen or more times a day? (Founders with their net worth in the multiple billions is another giveaway.) But Google isn’t content to simply be the world’s most common search engine. One of its latest ventures is into mobile financial transaction via Android Pay. And, unlike Apple Pay, Google won’t be taking a cut of sales. Here’s why.
Also read: Credit Card Interchange Fee Changes Announced>
Google Forgoes Pay Fees
In May, Google unveiled Android Pay, a likely replacement for the unsuccessful Google Wallet. The app allows users to pay for purchases with their smartphone on a contactless payment system by simply entering a PIN or password. For an added layer of security, it uses the “tokenization” system that creates a one-time, “dummy” credit card number to process each transaction.
Android Pay will not earn anything on the individual transactions users make…

(Suretap)
Consumers will soon use their smartphones as wallets, storing their credit, debit and loyalty cards in a digital billfold rather than a leather one. Analysts seem certain of this fact, with Forrester research predicting the mobile payments market will swell to $192 billion by 2019 in the United States alone, up from $52 billion last year. The opportunity is clear; the major competitors are not. Banks, retailers, wireless and technology companies have all launching their own projects with only Apple Pay gaining any real stature in the marketplace. Now, Suretap, a Canadian-born mobile payment app, is betting that collaboration across sectors is the best strategy for attracting consumers.
First launched by Rogers Communications, which also owns Canadian Business, Suretap spun off as its own company in 2014. Until now, the app has only allowed payment by Rogers customers using a prepaid Mastercard or gift cards from a handful of retailers. But a partnership announced on June 23 with Telus and Bell makes Suretap available to customers of Canada’s three largest wireless providers on Android and BlackBerry devices…

(Getty Images)
TORONTO – The Canadian Imperial Bank of Commerce (TSX:CIBC) has joined Canada’s major wireless carriers in backing the Suretap mobile payments app.
Rogers (TSX:RCI.B), Bell (TSX:BCE), Telus (TSX:T), Koodo and Virgin are all offering the mobile wallet across a range of Android and BlackBerry phones.
CIBC says its customers will be able to use Suretap to add their Visa or MasterCard credit cards to their smartphones.
That makes CIBC the first of the five biggest Canadian banks to announce its support of Suretap.
CIBC was also the first of the major banks to announce that its customers can conduct mobile banking via the Apple Watch.
The Suretap wallet uses near field communication (NFC) technology to make payments with a smartphone.
CIBC also has its own mobile payments app, which allows customers to charge purchases of up to $100 to a credit card.
“Our partnership with Suretap gives our clients choice when it comes to paying with their smartphone and builds on our commitment to delivering the payments solutions that reflect where are our clients’ needs are today and where they are going in the future,” Todd Roberts, senior vice-president of cards and payments innovation at CIBC, said in a statement…

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CIBC has become the first of the major banks to participate in suretap, a mobile payments system backed by wireless carriers Bell, Rogers, Telus, Koodo and Virgin.