Apparently Apple told carriers across the pond that a lack of a clear standard across the industry is to blame for NFC's exclusion from the upcoming iPhone. Instead, Apple is reported to be working on its own adaptation of NFC, allowing users to link payments through iTunes when waving the phone in front of a dedicated NFC reader.
NFC made its mainstream smartphone debut last year when Google introduced the technology on its Nexus S Android phone. NFC uses a combination of hardware and software to let you essentially turn your phone into a wallet. This allows you to simply wave your Android device in front of a retailer's sensor and have your purchase immediately placed onto your credit card or banking account. Google's Eric Schmidt has high hopes in NFC, saying this could replace credit cards in the future.
We have yet to see major initiatives from retailers using NFC (given that the number of Android phones supporting the technology is still somehow limited). Google kick started NFC use in Portland, where the company handed out stickers and other promotional gear to local businesses for Google Places. The stickers have NFC technology built in, so when Nexus S owners tap their phones to a sticker, they'll get information on the business from Google's Place pages.
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