TOKYO (AFP) - US soft-drink giant Coca-Cola said it will equip all its vending machines in Japan to accept payment through mobile telephones, an increasingly popular money option in the country.

Coca-Cola Japan said that all of its 200,000 machines by the end of 2008 will accept Felicia, contactless credit cards on mobile phones developed by cellular industry leader NTT DoCoMo and electronics giant Sony.

The system will make it possible to buy any soft drink, coffee, tea or fruit drink in Coca-Cola machines in Japan by holding up a mobile to the machine, with the cost of the refreshment going on a monthly phone bill.

Vending machines are found on nearly every corner of Japan. At the end of last year there were 2.77 million machines across the country, nearly half of them run by Coca-Cola Japan.

The company also benefits from electronic payment, which is less expensive in maintenance costs than bills or coins.

Felicia cards are increasingly accepted as payment in stores and public transportation in Japan.