Within four months time, customers will be
allowed to ring up purchases using their phones at stores in both New York
and San Francisco.
field communication, or NFC technology, is short-range wireless technology
that consists of an initiator and a target. It allows mobile device users to
use their cell
phones to ring up purchases at a register, eliminating the need for
cash or credit cards. It works by tapping the mobile device at a register, and
the NFC chip, which holds the user's financial account information, interacts
with a device at the register allowing for payment.
many phones are just now adopting
this new technology, some are already using it. Google already has a head
start with Samsung's Nexus S phone, which uses NFC technology for transactions.
Also, Nokia has noted that it plans to release NFC phones in the future as
well. In addition, AT&T, Verizon Wireless and T-Mobile will be using the ISIS system, which
allows for mobile payments through Discover Financial Services.
released Android 2.3.3 with new NFC capabilities, allowing user's to exchange
payments wirelessly and perform other transactions such as paying for
Google is looking to test a mobile payment service on its phones in San
Francisco and New York stores within the next four months. Google plans to pay
VeriFone Systems Inc. to install thousands of cash register systems made
specifically for the use of NFC technology. Google's new service may group a
user's financial information, coupons, gift card balances, etc. all on one NFC
Google, which is undoubtedly one of the leaders in the smartphone business with
its Android operating system, continues to experiment with NFC, other
smartphone leaders seem to be a bit behind. Apple reportedly has said that it
would not add NFC to the upcoming iPhone 5 because the company is concerned
with the fact that there are no clear industry standards associated with the
technology yet. According to some reports,
Apple could actually benefit from NFC technology because it could be grouped
into the app store, and could also save on credit card processing fees that it
pays now for music and app purchases.