According to market research firm, IMS Research, the mobile phone market is forecast to grow from 1.4 billon units in 2011 to 1.8 billion units in 2015 at a compound annual growth rate of 7%. In 2011, Near Field Communication (NFC) enabled phone models are expected to gain pace and the ratio of mobile phones with NFC capabilities is expected to reach 26% in 2015 and according to Frost & Sullivan, the total payment value will reach more than €110 billion in the same year.

"Early this year, the SSMA Association representing the interests of the world wide mobile communications industry released a statement announcing a joint commitment from some of the world’s leading mobile operators to NFC Technology and Samsung is committed to joining the operator and developer community to bring this technology to the fore,” said Paulo Ferreira, Head of Mobile Product and Business Solutions at Samsung.

NFC is recognised throughout the industry as an easy and effective way to transmit encrypted information between mobile devices or between mobile devices and other stationary NFC-enabled devices. NFC is a short-range (up to 10cm), high frequency wireless communication technology which allows devices such as smart phones to collect or transmit data to another NFC-enabled device without manual configuration to identify devices. In addition, NFC chips can play a role as a contactless smartcard in use for example at public transportation payments for bus and train fares and mobile banking payments for dinners or shopping centres. It can also read RFID tags in retail stores or on outdoor billboards for convenient on-the-spot data access. “An example of this would be if you see a poster that interests you and by touching your NFC-enabled phone to the N-Mark, the details are transferred and stored on the phone. Another example would be in a business meeting, where electronic business cards can be shared by just touching the phones together,” adds Ferreira.

Given the versatility of such a technology, major NFC chip makers* predict 40 – 50 million NFC phones or more will be on the market by the end of 2011. Of this projected total, three-quarters will be full NFC phones.

"Samsung's latest NFC chip offers a competitive choice for next-generation smart phones with NFC capabilities. These devices can instantly establish a wireless peer-to-peer connection and directly handover to Bluetooth and/or WiFi connection for fast, convenient data transmission. Market potential for NFC is significant and as momentum builds for adoption of NFC technology in next-generation/upcoming smart phones, we look forward to securing a competitive footing in NFC-based solutions with our new NFC technology, to continue to positively impact the mobile landscape and create a powerful mobile experience,” concludes Ferreira.