Telefónica, together with partners Visa Europe, Komer?ní Banka and Samsung, presents to customers a ground-breaking novelty for payments. Two thousands of the fastest new owners of Samsung Galaxy S III smartphones my simply exchange their classic SIM cardsfor special payment SIM cards, supporting the NFC technology. The SIM card will be available for free from August 27, 2012, through selected O2 stores. Thanks to prepaid credit of CZK 250 from Komer?ní Banka, clients will be able to try out mobile payments of their purchases immediately.

The anticipated commercial launch of NFC (Near Field Communication) technology mobile payment is coming, following up on the successful pilot project from 2011 that proved the demand and preparedness of the market for this payment innovation. The special payment SIM card will be available for free for customers as a bonus to the Samsung Galaxy SIII smartphone from August 27, 2012, in the limited number of 2,000 pcs. Thanks to the cooperation with Komer?ní Banka, customers will be given the initial credit of CZK 250, allowing them to try out mobile payments immediately. The KB MobilKarta card may then be linked to existing bank accounts in Komer?ní Banka, or new accounts may be opened with Komer?ní Banka under advantageous conditions. The mobile payment application loaded onto the NFC SIM card was provided by the Visa Europe association. O2 Gurus install the application to the customers' phones upon request.

Mobile contactless payments have experienced a massive boom recently. The comfort, promptness and safety of NFC payments were tested also by the athletes at the London Olympic Games, thanks to the Samsung Galaxy S III limited edition smartphone.

"We are pleased to be the first of all operators to launch NFC mobile payments on the Czech market. We see the limited edition of NFC SIM cards as the last step before the mass launch of mobile payments next year," says Richard Walitza, Head of NFC & Financial Services at Telefonica Czech Republic, a.s.

"Our aim is to present the mobile contactless payments technology as an alternative to cash transactions, in cooperation with our partners. Mobile payments offer users a high standard of comfort, promptness and security, while providing a new client servicing system for merchants. Today we are showing the way people will pay and handle their money regularly in the future. We believe that 50% of all transactions in the Visa network will be made via mobile devices by 2020," says Miloslav Kozler, Visa Europe's Country Manager for the Czech Republic.

"Komer?ní Banka persistently supports innovations in the segment of payment instruments. We are excited to be the first bank in the Czech Republic to offer our clients this ground-breaking payment method, in cooperation with our partners," said Petr Polák, Komer?ní Banka's Head of Payment Instruments.

"NFC technology support in Samsung GALAXY S III smartphones is the next step towards our target of providing users with a convenient and effective solution for cashless mobile payments. The customers today, and GALAXY S III users, are accustomed to using advanced technologies anywhere, anytime. Fast and secure contactless payments expand the options offered by their phones. The NFC technology usage option corresponds both with the requirements of our customers and our corporate philosophy," says Roman ?ebek, Samsung's mobile division's Sales and Marketing Director.

NFC technology phones offer higher convenience and more intuitive payments. Payments are simple and more secure, as the users have their devices under control at all times and set the security level according to their preferences. The O2 Gurus in O2 stores underwent special training for commercial operation. The O2 Gurus are available for customers seeking advice, help with mobile application's installation or other tips.

From August 27, the special SIM cards will be available through the following O2 stores:

· Prague 4, BBC

· Karlovy Vary, T?. TGM

· Hradec Králové, 28.?íjna

· Prague 5, OC Smichov

· Ostrava, Noviná?ská, Futurum

· Olomouc, Riegrova

· Zlín, Kvítková

· Liberec, ?eské mláde?e, HypN

· Prague 4, OC Chodov

· Plze?, Solní

· Ústí nad Labem, Revolu?ní 5

· Prague 5, Zli?ín

· Prague 1, nám. Republiky 1

· Prague 9, Veselská, OC Let?any

· ?eské Bud, OC IGY

· Jihlava, City Park

· Brno, Va?kovka

· Pardubice OC Globus

More information is available at: www.kartavmobilu.cz

Contacts
Hany Farghali
Spokesperson
Telefónica Czech Republic, a.s.
public.relations.cz@o2.com
tel: +420 606 02 02 02

About Telefónica Czech Republic

Telefónica Czech Republic is a major integrated operator in the Czech Republic. It is now operating almost eight million lines, both fixed and mobile, making it one of the world's leading providers of fully converged services. The organization offers the most comprehensive portfolio of voice and data services in this country. It is paying special attention to the exploitation of the growth potential, particularly in the data and Internet sector. Telefónica Czech Republic operates the largest fixed and mobile network including a 3rd generation network, CDMA (for data), and UMTS, enabling voice, data and video transmission. Telefónica Czech Republic launched a LTE (Long Term Evolution) 4rd generation mobile communication network as the first operator in the Czech Republic. The new network offers the fastest available mobile Internet nowadays. Telefónica Czech Republic is also a notable provider of ICT services.

About Telefónica

Telefónica is one of the world's largest telecommunications operators by market capitalisation. Its activities are centred mainly on the fixed and mobile telephony businesses, while its broadband business is the key growth driver underpinning both. It operates in 25 countries and has a global customer base of 312 million. Telefónica's growth strategy is focused on the markets in which it has a strong foothold: Spain, Europe and Latin America. Telefónica is a 100% private sector company with its shares listed in Madrid and other stock exchanges and more than 1.5 million individual shareholders.

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