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NFC takes off in 2011

Posted: 27 Dec 2010 ?? ?Print Version ?Bookmark and Share

Keywords:NFC? handsets? wireless?

The integration of NFC in handsets will move into explosive growth in 2011, according to market research firm iSuppli Corp., because of support from Nokia Corp. and Google Inc.

Worldwide shipments of cellphones with built-in NFC capability are projected to rise to 220.1 million units in 2014, up by a factor of four from 52.6 million in 2010, according to the market watcher's latest forecast. By 2014, 13 percent of all handsets shipped will integrate NFC, up from just 4.1 percent in 2010.

Jagdish Rebello, director and principal analyst for communications and consumer electronics, iSuppli, predicted a "mobile payment revolution" enabling a growing number of users to pay for things by holding a cell phone near a wireless terminal. "With NFC technology expected to be integrated into Nokia's cell phones and Google's Android operating system, the first shots of this revolution will be fired next year."

Nokia has declared that starting 2011 all of its smart phones will incorporate NFC. Also, Google and NXP Semiconductors NV have announced a strategic collaboration to integrate NFC into the latest version of the Android OS, which is set to be released this week.

Some have suggested that NFC for mobile payment may have trouble catching on in some parts of the world, including the United States. However, the technology is poised to take off because it can be used for applications in addition to mobile payment--including peer-to-peer gaming and targeted advertising--and because it leverages a "pretty significant contactless payment infrastructure that is already out there," explained Jeff Miles, director of mobile transactions for NFC, NXP.

- Dylan McGrath
EE Times

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