Nokia invests in mobile payment solution company Obopay

Nokia, the world’s largest producer of mobile handsets, has made a substantial investment in U.S. based mobile payment solution provider Obopay Inc.

Obopay has pioneered technology making mobile payments and money transfers possible, focusing on solutions geared towards the developing world. The technology allows for people to make transfers by making deposits directly to a service provider, without needing a bank account.

Says Obopay CEO Carol Realini: “This investment is a landmark in the evolution of mobile payments. It underscores the global potential of mobile money by providing convenient access to money anytime, anywhere. Given Nokia’s position as the leader in mobile communications, we could not have asked for a better investor,”

Although the size of the investment was not specified in a press release issued by the company regarding the sale, legal filings indicate it to be in the region of US$70 million. The company also announced that Nokia Vice President and Head of Corporate Business Development, Teppo Paavola, would be appointed to its board of directors.

Says Paavola about the deal: “This investment reflects our belief in the global potential for mobile payments. Obopay has consistently demonstrated its ability to redefine how people spend and send money and has established itself as the leader in a competitive landscape.”