Tag: near field communications

NFC technology expected to become more common in coming years

| November 29, 2012

 

NFC technology poised for market boom

NFC technology is becomiNFC Technology Growthng more commonplace as consumers become more comfortable with the services it can provide. The technology is well known for its use in mobile commerce, wherein it is able to facilitate mobile payments from smart phones for physical products. The technology also has uses in marketing and information distribution and is quickly becoming an ideal way for companies to stay engaged with mobile consumers. Despite the growing popularity of NFC technology, relatively few consumers can engage in the services it provides because of the lack of NFC-enabled mobile devices.

NFC-enabled devices currently in low supply

In order for consumers to make use of NFC-based services, they must have a device that is equipped with an NFC chip. This chip allows a device to interface with a payments terminal, NFC tag, or other service that relies on the technology. Currently, the availability of NFC-enabled mobile devices is low, with the majority of such devices encompassed in the Android platform. The iOS platform does not support NFC technology despite growing demand coming from consumers. The lack of NFC-enabled devices has made it difficult for mobile commerce and other NFC-based services to gain traction with consumers.

ABI Research predicts 2 billion NFC-enabled devices by 2017

According to ABI Research, the availability of NFC-enabled mobile devices is expected to grow exponentially over the next few years. This is due to telecommunications and technology companies heeding the demands coming from consumers and working to meet their needs. The research firm expects more than 2 billion smart phones will be equipped with NFC technology by 2017. Shipments of NFC-enabled devices are expected to pick up as well as these products exit their trail phase and companies deem them commercially viable.

New devices expected to make NFC technology more familiar with consumers

With the availability of NFC-enabled devices on the rise, more consumers are expected to gain access to the wide array of NFC-based services that are being offered to them. There may be some challenges that companies and consumers will have to overcome, especially in the realm of mobile commerce, but NFC technology is expected to become a staple of mobile technology and service in the near future.

NFC Market expected to see major growth

| November 20, 2012

 

Report highlights the growth of the NFC market

MarketsandMarkets, a leading marNFC Market Growth Mobile Commerceket research publication, has published a new report titled “Near Field Communication (NFC) Market — Global Forecast & Analysis.” The report highlights the various trends that surround the NFC market and predicts the growth that the technology will see between  the 2011 to 2016 period. The report covers a wide range of aspects in the NFC market, such as NFC applications, reading technologies, electronic ticketing, mobile marketing, and mobile commerce.

NFC market expected to see CAGR of 38% through 2016

According to the report, the global NFC market is expected to see a compound annual growth rate of 38% between 2011 and 2016. The NFC applications market alone is expected to reach more than $10 billion by the end of 2016. The report also notes that NFC technology will continue to see significant attention in the realm of mobile commerce. This is largely due to the fact that much of mobile commerce hinges on the capabilities of NFC technology.

Marketing may play a major role in growth

NFC has begun to attract a great deal of attention beyond the mobile commerce space. The technology has, in the past, been used in mobile marketing as a way to engage consumers. NFC is seeing more interest in this field as consumers become more familiar with the technology. The marketing industry is expected to add a significant amount of momentum to the NFC market. The technology is also proficient in facilitating data transfer and managing security access protocols, two additional sectors which are growing more popular throughout the world.

Consumers still leery of mobile commerce

The majority of growth the NFC market will see is expected to occur in the mobile applications space, especially in regards to mobile commerce platforms. These mobile applications allow consumers to make purchases using their smart phones and other NFC-enabled devices. The most significant challenges that could slow growth or derail it entirely remain in the fields of security and the scarcity of NFC-enabled mobile devices. Low availability and lackluster security features have left many consumers leery of the NFC market and its applications.