• Attractive mpass retailers
• High security for around 70 million bank and mobile phone customers
• Fast and convenient online payments

Düsseldorf/Munich, 16. October 2008 O2 and Vodafone are launching their new mpass payment service. More than 70 million bank and mobile phone customers in Germany will be able to enjoy secure online shopping on their mobile phone or PC. The new payment system offers a decisive advantage because mobile phone payments with mpass offer a considerably higher degree of security. Retailers are also convinced of the benefits associated with mpass. The following online retailers will be introducing the mpass payment system at its commercial launch: CinemaxX, ,Blume2000.de, EuroFuchs, Kickz and Beate Uhse.

The new payment system is available to all mobile phone customers with a German provider. So it isn't just Vodafone and O2 customers who will be able to make simple and secure payments for online products and services on their mobile phones or PCs. The new mpass service is incredibly simple to use because it is a combination of the established direct debit system and text message confirmation. In practice, this means that customers can already buy products from the online shop and, in future, they will be able to buy them from the mobile portal. All they have to do is enter their mobile phone number and an mpass PIN that they choose themselves. Vodafone customers can also use their customer PIN for the mpass service. When the PIN has been entered, a text message is sent to their mobile phone. All they have to do is confirm it and the amount is direct debited from their account. Prepaid customers, customers with company mobile phones and customers who use other providers' networks have to register once to use the online payment service free of charge at www.mpass.de.

The fact that payments are transacted via two independent communication media make them considerably more secure because the payer doesn't have to disclose sensitive personal details such as bank account or credit card number.

Lutz Schüler, Director Marketing & Sales at O2 Germany said, "Our customers want simple and clever solutions. That's precisely what our payment system is. It now enables the some 14 million Vodafone and O2 contract customers to make simple, fast and secure payments from their home PC or mobile phone."

Dr. Peter Walz, Director Wholesale Operations at Vodafone Germany and Arcor AG said, "This innovative payment service isn't just a bonus for customers, it also offers retailers many benefits such as more efficient payment processing and the extension of their customer base as a result of new business from people who were previously sceptical about online payments."

Other reputable online retailers such as Medion, Falk.de, Mydays and TRIGEMA will be signing up as mpass partners in the near future.
Visit the website at www.mpass.de for further details.

If you have any queries to Vodafone please contact:

Dr. Sabine Goossens, External Communications, T: +49 211 533-5699
Press hotline: +49 211 533-5500

If you have any queries to O2 please contact:

Roland Kuntze, Press Department, T: +49 89 2442–12 14

Vodafone Germany is one of the largest and most modern telecommunications providers in Europe. It realises turnover of more than EUR 10 billion and has 15,000 employees. In conjunction with its full subsidiary Arcor AG & Co KG, Vodafone Germany is an integrated technology and service provider with a portfolio including mobile communications, fixed network telephony, internet and broadband data services for business and private customers. Continuous development, numerous patents and investments in new products, services and the modern network have made Vodafone an innovation leader in the German telecommunications market. Vodafone Deutschland is headquartered in Düsseldorf and Arcor in Eschborn near Frankfurt. Vodafone and Arcor are committed to CSR and they also support numerous projects through the German Vodafone Foundation.

The companies are part of the Vodafone Group. Visit www.vodafone.de or www.arcor.de for further information.

Telefónica O2 Germany GmbH & Co. OHG
Telefónica O2 Germany GmbH & Co. OHG belongs to Telefónica Europe and is part of the Spanish telecommunication group Telefónica S.A. It provides postpaid and prepaid mobile telecom products and innovative mobile data services based on the GPRS and UMTS technologies to German private and business customers. The company is also a provider of integrated communication solutions, including DSL fixed network telephony and high-speed internet. Telefónica Europe plc has more than 43 million mobile and fixed network customers in the United Kingdom, Ireland, the Czech Republic, Slovakia and Germany.

Further information: www.de.o2.com.