Experts suppose that by the year 2020, cash and credit cards would be one of the many things to go outdated. So also says a new study conducted by the Internet & American Life Project of the Pew Research Center, and Imagining the Internet Center of Elon University.
Mashable reports that according to the study, majority of respondents to the survey believe that, in just a matter of ten years or so, swiping of mobile phones for payments in stores and online could replace the use of cash and credit cards for users of smartphones and tablet computers.
The study was directed using a non-random sample of 1,021 technology stakeholders and critics in the mobile payments industry, among them are executives, professors, distinguished universities around the United States, and companies such as Google and Microsoft.
Around 65 percent of the respondents say they believe that most consumers will have availed and fully adopted the use of smart-device swiping for purchases they make, practically getting rid of the need for cash or credit cards. They also acceded that people rely on and trust personal hardware and software for financial transactions more than ever, and cash and credit cards will almost but not quite be done away with for most of the transactions that take place in highly developed countries.
On the other hand, around 33 percent say that they do not trust devices that have Near Field Communications technology (NFC) that enable users to swipe their phones to make payments at checkout and still think that mobile payments will not gain a large following by 2020.
It was also found that adopting the NFC technology will be slow because of privacy apprehensions, desire for anonymous payments, a deficiency in infrastructure to support a widespread implementation, and a lack of enthusiasm from companies with financial stakes in the current payment structure.
“Among those who believe that mobile payment is going to prevalent in the near future, many have cited that it is already gaining traction in many parts of the world,” says Hal Varian, a chief economist at Google who participated in the study. “What is in your wallet now? Identification, payment and personal items. All this will easily fit in your mobile device and will inevitably do so.”
However, not all experts have a positive outlook on the advancement: “As much as I’d like to see a money-free world, I’m afraid the opportunities for the hackers and pirates are too great,” says one respondent. “I’m happy to buy my $2 Starbucks using my Android but I don’t know that we will ever feel secure enough to make much larger purchases that way.”
One way or another, we shall see on 2020. Shan’t we?