Bolstered by the growing mobile payments market, new figures have been released that now price the Near Field Communication (NFC) market at a staggering USD10015.96m.
Tracing its roots back to Radio-frequency identification (RFID), which allows a reader to send radio waves to a passive electronic tag for identification and tracking, NFC is a set of standards for devices such as smartphones to establish radio communication with each other by bringing them into close proximity or touching them together. Applications currently available and in the pipeline for this include data exchange, contactless transactions and an easier set up of communications such as Wi-Fi.
As reported by News International, mobile payment is one of the key factors driving the NFC market, as the technology equips user with the chance to make a cashless payment using their mobile phone.
It’s thought the NFC mobile payment market will ‘cannibalize’ the smart card payment market, which faces major issues such as security and lack of standards. Many are skeptical to make payment via NFC device however as the technology is not yet secure.
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