Vodafone launches virtual wallets

Vodafone is to enable its legions of mobile phone users to make small payments to websites via their handsets.

Vodafone has already reached agreements with 50 online businesses who will start accepting payments from Vodafone handsets for as little as 5p.

Users register via the Vodafone website to obtain a PIN number. That secure code then allows them to proceed with their payment which then gets added onto their mobile phone bill.

The system is likely to be welcomed by websites who have long been looking for an effective micro-payment system, with many increasingly looking to charge for their content.