Giesecke & Devrient (G&D) is supplying the security for Telefonica Germany’s mobile wallet. The operator started a trial of its O2 Wallet in mid-February.

As part of the trial, O2 subscribers are able to make payments using their NFC-enabled smartphones at participating retail outlets both in Germany and abroad.

In the future, the service will be expanded to include other applications such as coupons and loyalty programmes. G&D supplied the NFC-based SIM cards and Trusted Service Manager (TSM) service for the trial.

The news is not so surprising given G&D said in December 2011 that it had been chosen by Telefonica to supply a Europe-wide platform for its NFC launch. The vendor will also supply the operator’s TSM infrastructure.

O2 wallet users in Germany can use their handsets to make payments in shops where MasterCard’s PayPass is accepted.