Dive Brief:

• Google has partnered with NXP to integrate the connectivity company's MIFARE, a contactless transportation payment system, with Google Pay. The new MIFARE 2GO cloud service will allow public transit riders to pay for trips with the mobile Google Pay service.
• Android users will be able to purchase fares through Google Pay, then place their device on a payment terminal to gain access to the transportation system. Google Pay will also show users transit maps and send digital travel history receipts.
• On Monday, the Las Vegas Monorail became the first transit system to let riders to use Google Pay.

Dive Insight:

MIFARE already lets transit passengers in 750 cities around the world pay for trips with their smart phones or wearable devices. But integrating with Google Play makes it easier for users to rely on one central payment system instead of having to set up different accounts with different passwords and security checks for each service. 

MIFARE 2GO will be compatible with all of the transportation systems that already use the contactless technology. It will further increase user convenience by allowing expansion to other city services, such as bike-share or parking, even if the services are provided by third parties.

This is Google Pay's first foray into touchless transportation payments, but it plans to expand to other cities besides Las Vegas soon. Apple Pay already has touchless transit options in a few cities like Chicago and Portland, OR. But Android is the most widely used mobile operating system in the world, so this advance holds potential for transportation systems in many global cities. 

The Las Vegas Monorail is not a large system — only seven stops along the Las Vegas strip — so it provides a manageable test case for the new payment option. The city recently has become a test bed for a number of new or upgraded transportation options, including a driverless shuttle and smart bikes.