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Microsoft Is Said to Plan Mobile Payments in Phone Software

Microsoft Corp. is working on a version of its Windows Phone software that will let users buy merchandise with a flick of the handset at a checkout counter, two people familiar with the plans said.

Microsoft plans to include mobile-payment technology in new versions of its operating system for smartphones as part of an effort to narrow Google Inc.’s lead in handset software, said the people, who asked to remain anonymous because the features aren’t public. The first devices boasting these features may be released this year, the people said.