Host Card Emulation (HCE)

Host card emulation (HCE) is a technology that emulates a payment card on a mobile device using only software. This approach offers technical and business benefits to a wide range of mobile industry stakeholders that are active in the near field communication (NFC) payments ecosystem.

Mobile payment credentials were originally stored locally on the mobile device inside a piece of hardware called the secure element. The physical presence of a secure element in the device, however, creates dependencies and complexities that make it difficult and expensive for actors in an NFC ecosystem to interact efficiently. For example, an application issuer would need to have agreements with a number of secure element issuers, who in turn need to connect with different types of mobile
handsets.

Host Card Emulation is a feature of the mobile operating system that allows for the secure element to be present outside the mobile device. By moving the secure element to a remote environment, the complexities and associated costs can be bypassed: application issuers can directly provision their applications to a secure element without any third-party involvement.

What is Host Card Emulation?

Bell ID® Secure Element in the Cloud

Bell ID’s international patent pending Secure Element in the Cloud software enables mobile NFC transactions to be made by storing and accessing credentials in a remote environment rather than on the mobile device. This gives application issuers independence and direct control to manage their credentials without any third party involvement.

The software provides the functionality to complete (EMV payment) transactions through a remote secure element (SE) using a common contactless terminal and acceptance infrastructure. When the consumer makes a transaction, their credentials are accessed from the remote cloud SE and passed through the mobile device to the point-of-sale terminal. The data is presented in the same format as in a standard card-present transaction.

Bell ID’s Secure Element in the Cloud is suitable for any credential issuer that is looking for an effective approach to distribute and manage NFC credentials directly to its customers. Issuing banks, mobile network operators, payment processors, card personalization bureaus and service providers can all benefit from this solution. The technology is compatible with and without Host Card Emulation (HCE).

 

Benefits

EMV Compatible

Offline Transactions

Compatible with Existing Contactless Infrastructure

Transaction Optimalization

Bell ID Secure Element in the Cloud
More information?
Bell ID® Secure Element in the Cloud
Download the Bell ID® Secure Element in the Cloud brochure to learn more about the functionality of the solution and the advantages of a remote secure element.
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Customers