Mobile Phones To Become Smart Wallets Using NFC
The UK’s first large scale pilot of Near Field Communications (NFC is a short-range wireless technology) on mobile phones is being launched today, which will allow a mobile phone handset to be used as a wallet for electronic cash, much like an Oyster card.
For those that don’t live in London the Oyster card is used by London’s public transport system as an alternative travelcard which can be used for period travel or on a pay-as-you go basis. This use really highlights the real potential of the new phone and technology.
NFC allows secure communication between electronic devices at a short-range, and is set to pave the way for people to use their phones to pay for purchases, access to events and public transport by simply swiping their phone across a reader. Watch the video for more information.
The six month pilot by O2 will involve over 500 participants. In the trial users will be able to:
- Make ‘contactless’ payments at selected retailers for purchases under £10, by simply tapping their phones on the reader. They will also be able to use their phones to check available funds, and to locate retailers close to them that accept contactless payments.
- Travel on public transport with Oyster; they will also be able to top up their Oyster cards by touching their handset on ticket machines or at ticket stops.
- Touch the handset (Nokia 6131 with O2 wallet) on selected ’smart posters’, smart posters contain embedded tags with more information about the subject on the poster (eg. an item on sale, or an event taking place).
- Still answer a call while making a transaction as calls or text messages will not interfere with the NFC service.
NFC technology could also be used for Bluetooth to exchange data between phones, such as photos and music.
Related links:
NFC Forum
More about NFC
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I think the main hindrance was hinted at in the video – getting financial, mobile and retailers to all work together to bring the technology to a truly viable level.