Feeds

The NFC revolution is running late

Not going to change the world...yet

Secure remote control for conventional and virtual desktops

ABI Research has downgraded its forecast for Near Field Communications (NFC) enabled handsets to 450m units (or 30 per cent of all handsets) in 2011.

In May this year, the company had predicted that 500m (or 50 per cent) of handsets would sport NFC.

ABI attributes the slow growth of the technology to the inability of network operators to provide a working business model.

ABI principal analyst Stuart Carlaw said: "Carriers are to some degree stuck in a particular mindset: they believe that they need to recoup the cost of adding NFC to phones through the provision of contactless payment services alone.

"ABI Research believes that this is view is too narrow, and that significant revenues will be generated from services such as ticketing, access control, online mobile banking, service discovery, and connection enablement, all of which build upon the core characteristics of NFC."

The problem is that NFC lacks a killer application - the application which will make operators, or customers, go out and buy the technology.

ABI suggests that MVNOs (Mobile Virtual Network Operators) might launch specialist handsets incorporating NFC as a market differentiator - in the same way that Virgin has just launched its DAB-TV handset - but the requirement for a killer application is just as pressing.

The NFC standard is still lacking some key technical components if it is to be integrated into phone handsets, and with the business model undefined it is hard to see what will drive such an integration.

It is possible that the very breadth of applications that NFC enables could be its undoing as the industry struggles to pigeonhole the technology and identify the business model behind it. ®

5 things you didn’t know about cloud backup

More from The Register

next story
UK fuzz want PINCODES on ALL mobile phones
Met Police calls for mandatory passwords on all new mobes
Canadian ISP Shaw falls over with 'routing' sickness
How sure are you of cloud computing now?
Don't call it throttling: Ericsson 'priority' tech gives users their own slice of spectrum
Actually it's a nifty trick - at least you'll pay for what you get
Three floats Jolla in Hong Kong: Says Sailfish is '3rd option'
Network throws hat into ring with Linux-powered handsets
Fifteen zero days found in hacker router comp romp
Four routers rooted in SOHOpelessly Broken challenge
New Sprint CEO says he will lower axe on staff – but prices come first
'Very disruptive' new rates to be revealed next week
PwC says US biz lagging in Internet of Things
Grass is greener in Asia, say the sensors
Ofcom sees RISE OF THE MACHINE-to-machine cell comms
Study spots 9% growth in IoT m2m mobile data connections
O2 vs Vodafone: Mobe firms grab for GCHQ, gov.uk security badge
No, the spooks love US best, say rival firms
Ancient pager tech SMS: It works, it's fab, but wow, get a load of that incoming SPAM
Networks' main issue: they don't know how it works, says expert
prev story

Whitepapers

Endpoint data privacy in the cloud is easier than you think
Innovations in encryption and storage resolve issues of data privacy and key requirements for companies to look for in a solution.
Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Top 8 considerations to enable and simplify mobility
In this whitepaper learn how to successfully add mobile capabilities simply and cost effectively.
Solving today's distributed Big Data backup challenges
Enable IT efficiency and allow a firm to access and reuse corporate information for competitive advantage, ultimately changing business outcomes.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.