Did you know that worldwide mobile phones outnumber the number of credit cards in circulation by a factor of 2 to 1?
It is therefore no wonder that, based on the work spearheaded by Nokia among others, a form of RIFD called Near Field Communications is adding a new service to mobile phones around contactless services. I have written about NFC in the past (Barclaycard is RFID'd). Now how does it work? Well the mobile phone has the capacity to store an electronic version of payment or access cards, which users can manage or personalize with their screen and keypad. Therefore instead of a wallet full of plastic cards, you can have a range of "virtual cards" on your mobile. The phone is fitted with a second antenna that manages NFC exchanges—some of you may already have your Oyster card on your phone. All you need to do is move near a scanner to pay for a purchase and there is no need to enter a PIN or a signature as the former is stored on the phone. The phone can also use NFC to access information points, validate transport tickets, track loyalty cards, store and redeem money-off vouchers and pay for vending machines.
Just think of the issues now when you lose your phone!!!