Rumor: Apple looking to incorporate Near Field Communications into next-gen iOS devices, allow for easier purchases on the fly

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Date: Tuesday, January 25th, 2011, 05:41
Category: iPad, iPhone, Rumor

A recent Bloomberg report claims that Apple will be incorporating NFC (Near Field Communication) hardware in the next iPhone and iPad, allowing customers to use the iPhone and iPad to make purchases:

The services are based on “Near-Field Communication,” a technology that can beam and receive information at a distance of up to 4″, due to be embedded in the next iteration of the iPhone for AT&T Inc. and the iPad 2, said Richard Doherty, director of the consulting firm Envisioneering Group. Both products are likely to be introduced this year, he said, citing engineers who are working on hardware for the Apple project.

Apple could potentially tie this payment system into people’s existing iTunes accounts. The technology has been described as allowing customers to walk into a store and make payments directly from their iOS device. Apple may also incorporate loyalty rewards and credit systems into iTunes as well. Other possibilities include using location-based transactions to improve iAd targeting.

According to the source, Apple has already made created payment terminals intended for small businesses to scan NFC-enabled iPhones and iPads. These terminals could be subsidized or even given away to encourage adoption.

Apple has been hiring NFC experts as well as applied for several patents on the technology. A couple of previous reports have also pegged the next generation iPhone as having NFC technology built in.

Stay tuned for any information on this as it becomes available.

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