Telefonica has announced a deal between Microsoft and its Spanish arm, Movistar. This partnership will enable consumers who use a Windows Phone on the network to pay for content on the Store with prepaid credit or a contract bill. The operator notes in a statement that this move will help reduce the number of steps required to make a purchase, providing an alternative to those who prefer going through their operator for billing.

For added security, customers can set a Wallet PIN which is then required before each purchase and apps are of course associated with the Windows Live ID. Microsoft has previously stated how developers earn up to three times more per active user who utilises an operator billing account, compared to a consumer with a credit card. 

Source: Mobile World Live