Obopay Brings Mobile Payment Service To Helio Subscribers

Obopay is offering its mobile payment service in the United States to subscribers of the Helio wireless service.

The partnership announced this week make it possible for Helio customers to manage their prepaid Obopay MasterCard accounts on their cellular phones. Youth-oriented Helio is a joint venture between SK Telecom and Internet service provider Earthlink.

Using their Helio phones, subscribers can check balances, view payment histories and add funds. Ken Hyers, analyst for ABI Research, said Wednesday the partnership was a "very significant announcement" for the mobile payment space in general.

Outside of Japan, such services haven't done well because merchants are not interested in paying for a service with few customers, and customers are reluctant to join a service with few merchants, Hyers said in his blog. Obopay overcame the latter hurdle by using the prepaid MasterCard system. "By teaming with Helio, Obopay has made it easier for customers to manage their accounts while in a mobile environment, and has made it easier to distribute its services across a wider base of potential customers," Hyers said.