NFC or Near-Field Communication has been around for years in Japan; it’s the same technology that has allowed countless Japanese folk to monitor and finish transactions wirelessly through NFC-enable mobile phones. This year, there is a move to globalize NFC by introducing an international standard protocol for its use by banks, shopping malls and other commercial institutions.
The GSM Association has its sights fixed on the standardization by next year, and according to press releases, a simple yet powerful interface would be used for all yet-to-be-released NFC mobile phones.
Phones as electronic wallets
The basic conundrum is hardware and software compatibility between the commercial institutions and the persons wishing to transact wirelessly with their SIM cards. This problem will be resolved by popularizing NFC mobile phones, which can interact with NFC hardware.
AT&T and other large telecommunication conglomerates are positive regarding this particular development. If carriers are willing to support this shift to NFC enabled mobile phones, then shipments and sales are predicted to increase as well.
NFC technology is strongly affiliated with 3G, or the latest international protocol for GSM phones worldwide. Its development will overlap the increasing proliferation of 3G Smartphones as well, which will definitely expand the business-related dimension of current mobile phone technology.
As expected, large companies are already on the move. Nokia for example, already has a mobile unit that is NFC-enabled: the 6212. What NFC technology and what other similar technologies emphasize is wireless transactions coupled with value-added features.
For example, important file types like business cards can be wirelessly communicated to another NFC-enabled handset. This is quite useful for people who need to keep track of people they meet.
Making life easier
The point of wireless payments and other wireless transactions is you eliminate middlemen and you eliminate the need to go to brick-and-mortar structures to take care of business. For example, if checking your current savings account balance is already efficient, then imagine a fuller banking experience with NFC-enabled mobile phones.
In a way, the proliferation of NFC-enabled mobile phones is another progression in the ever-dynamic network of globally-linked financial systems. By strengthening the technology, simplifying the interface and protecting the consumers by safeguarding the networks where it all lies, companies are giving tech savvy consumers power over how they use their money, and when.
Credit cards and debit cards
Financial institutions (and we’re not talking about just banks) are also on the move, and are doing everything in their power to make their presence significant in the global telecommunications region of the market.
Development has been a key feature in making the presence of credit cards like MasterCard successful. With clear marketing goals in mind, companies like AT&T are partnering with these financial institutions, and are staying for the long run, in the effort to standardize and normalize the use of mobile phones for purchases; and we’re not only talking about small purchases, but online shopping as well.
Nowhere to go but upwards for Near-Field Communication; it seems that we’re all going to have much slimmer wallets in the next few months. And we can’t wait to test this technology.
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