Near Field Communications (NFC)

Embedded and Aftermarket Contactless Applications for Mobile Devices and Other Consumer Products

ABI Research has been producing regular NFC research reports since the inception of the technology. This latest edition concentrates the developments for the technology that have taken place over the past 18 months. As NFC remains a technology-in-waiting, at first glance little might appear to have taken place during this time period. But the market has not stood still and despite inertia in relation to broad-scale NFC rollouts, there has been growing interest in the potential for NFC in other devices and in its delivery to existing and new handsets without embedding in new NFC handsets.

This report also examines the development of alternative NFC devices and peripherals for mobile handsets as well as computing and consumer electronic devices. There are also guidelines for next steps for major players in the development of the NFC value system.

What Questions Does This Report Answer?

  • What is the state of play in developing a mainstream market for NFC?
  • What are the key players, where are they in bringing products to market and what should they be doing now?
  • What will be the adoption rate for NFC over the next five years?
  • What will be the primary platforms for NFC adoption?
  • What is the appeal of NFC?
  • What can kick-start NFC adoption?
  • What have been teh roadblocks to adoption so far?

Who Needs This Report?

  • NFC hardware suppliers
  • MNOs
  • Payment networks and associations
  • NFC and contactless IC suppliers
  • Handset, computer and peripherals suppliers
  • Embedded NFC microSD suppliers

Table of Contents

Executive Brief: Top-Line Forecast
Executive Brief: Drivers
Executive Brief: Inhibitors
Executive Brief: Market Share
Executive Brief: Summary and Strategic Recommendations

Section 1.
Executive Summary
1.1. This Report
1.2. Are We There Yet?
1.3. NFC — What Have We Learned?
1.3.1. Applications
1.3.2. NFC Value System Players
1.3.3. NFC Standards and Hardware
1.3.4. NFC Handsets
1.3.5. NFC Device Form Factors

Section 2.
Market Issues
2.1. NFC
2.1.1. The Proximity Paradigm
2.2. NFC Handset Architecture
2.2.1. Design Standardization
2.3. NFC Acceptance and Deployment
2.3.1. Business Partnership Trials
2.3.2. Notable Recent and Upcoming Trials
2.3.3. An End to NFC Trials
2.4. Embedded NFC and Mass Adoption
2.5. NFC Handsets
2.5.1. NFC Handset Availability Remains Limited
2.5.2. Smartphones
2.5.3. Other Handsets
2.5.4. NFC Handset Configuration
2.5.5. Interim and Non-Embedded NFC Technologies
2.6. NFC's Forgotten History
2.7. Service Discovery
2.8. Alternative NFC Use Cases
2.8.1. NFC in Custom-Made Applications
2.9. NFC Industry Backers
2.9.1. MNOs and NFC Revenue Streams
2.9.2. MNOs Competition versus Collaboration
2.9.3. MNO and NFC Handset Investment
2.9.4. NFC Payments and Financial Services' Enthusiasm
2.10. NFC Ecosystem Development
2.10.1. Trusted Service Managers
2.10.2. How Will the TSM Market Look?
2.11. Bringing NFC to Market
2.11.1. MNOs
2.11.2. Financial Institutions
2.11.3. Transit Operators
2.11.4. Handsets Vendors
2.11.5. Computers and Peripheral Manufacturers
2.12. Consumers, End Users and NFC
2.12.1. NFC Target Demographic
2.12.2. By Region
2.12.3. By Subscriber
2.12.4. Matching NFC Application Packages to Appropriate Customer Segments

Section 3.
NFC Applications, Device Markets, and Ancillary Opportunities
3.1. NFC Connectivity
3.1.1. Higher Bandwidth Communications
3.1.2. Bluetooth/Wi-Fi and NFC
3.1.3. NFC Can Boost Mobile Wireless Internet Use
3.2. NFC and Peer-to-Peer/Mobile Money Transfer Payments
3.3. NFC and Automobiles
3.4. NFC and Gaming

Section 4.
Technology Issues
4.1. Technology Synopsis
4.2. Specifications
4.2.1. ISO 14443
4.2.2. ISO 18092
4.2.3. ETSI TS 102 613 (Release 8)
4.2.4. HCI TS
4.2.5. ISO 15693
4.2.6. FeliCa — Japanese Industrial Standard (JIS) X6319-4
4.3. NFC Devices
4.3.1. Working Modes
4.3.2. The NFC Device IC and Modem
4.3.3. The NFC Device Security Element
4.4. NFC Forum Device Specification Architecture
4.4.1. NFC Forum Device Specification Architecture
4.4.2. NFC Forum Specifications
4.4.3. NFC Logical Link Control Protocol (LLCP) Technical Specification
4.4.4. NFC Forum Draft Specifications in Progress
4.5. GlobalPlatform
4.6. Association Française pour le Sans Contact Mobile

Section 5.
Key Industry Players
5.1. Apple
5.2. CASSIS International
5.3. Cubic Corporation
5.4. DeviceFidelity Inc
5.5. First Data
5.6. France Telecom Orange
5.7. Gemalto
5.8. Giesecke & Devrient GmbH including Venyon
5.9. GSM Association
5.10. Infineon Technologies AG
5.11. Innovision Research & Technology plc
5.12. INSIDE Contactless
5.13. MasterCard Worldwide
5.14. Mobey Forum
5.15. Narian Technologies
5.16. NEXPERTS
5.17. NFC Forum
5.18. Nokia
5.19. NXP Semiconductors
5.20. Telefonica O2
5.21. TwinLinx
5.22. Polaric
5.23. Qualcomm Inc
5.24. Sony Corporation
5.25. STMicroelectronics
5.26. Visa International
5.27. ViVOtech Inc
5.28. Watchdata

Section 6.
Market Forecasts
6.1. Market Forecasts
6.2. Methodology
6.2.1. Deriving the Growth Coefficients
6.2.2. The New Product Conundrum
6.2.3. Using Analogical Products as a Baseline
6.3. NFC Forecasts
6.4. Contactless Infrastructure
6.5. Mobile Handsets and NFC Mobile Handsets by Region
6.6. NFC-Enabled Handsets by Phone Type
6.6.1. Regional Difference Are Highlighted in Table 6-14 through Table 6-19
6.7. NFC Application Adoption
6.8. Consumer Electronics

Section 7.
Company Directory

Section 8.
Acronyms
Sources and Methodology
Notes





Tables
  • Total NFC-Enabled Device Shipments, World Market, Forecast: 2009 to 2015
  • Total NFC Chipset Shipments, World Market, Forecast: 2009 to 2015
  • NFC Chipset ASPs, World Market, Forecast: 2009 to 2015
  • Total NFC Chipset Revenue, World Market, Forecast: 2009 to 2015
  • Total NFC-Enabled Device Shipments, World Market, Forecast: 2009 to 2015
  • Total NFC Chipset Shipments, World Market, Forecast: 2009 to 2015
  • Total NFC-Enabled Device Shipments by Form Factor, World Market, Forecast: 2009 to 2015
  • Total NFC-Enabled Device Revenue by Form Factor, World Market, Forecast: 2009 to 2015
  • Contactless HF RFID Transponder IC Average Factory Selling Prices (AFSPs), World Market, Forecast: 2009 to 2015
  • Contactless HF RFID Tag Shipments, World Market, Forecast: 2009 to 2015
  • Contactless HF RFID Tag Revenue, World Market, Forecast: 2009 to 2015
  • Contactless HF RFID Reader Shipments, World Market, Forecast: 2009 to 2015
  • Contactless HF RFID Reader Revenue, World Market, Forecast: 2009 to 2015
  • Wireless Handset Shipments by Region, World Market, Forecast: 2009 to 2015
  • NFC Wireless Handset Shipments by Region, World Market, Forecast: 2009 to 2016
  • Wireless Handset Shipments by Phone Type, World Market, Forecast: 2009 to 2015
  • NFC-Enabled Handset Shipments by Phone Type, World Market, Forecast: 2009 to 2015
  • NFC-Enabled Handset Shipments by Phone Type, Asia-Pacific, Forecast: 2009 to 2015
  • NFC-Enabled Handset Shipments by Phone Type, North America, Forecast: 2009 to 2015
  • NFC-Enabled Handset Shipments by Phone Type, Latin America, Forecast: 2009 to 2015
  • NFC-Enabled Handset Shipments by Phone Type, Western Europe, Forecast: 2009 to 2015
  • NFC-Enabled Handset Shipments by Phone Type, Eastern Europe, Forecast: 2009 to 2015
  • NFC-Enabled Handset Shipments by Phone Type, Middle East and Africa, Forecast: 2009 to 2015
  • NFC Wi-Fi Connectivity-Enabled Shipments by Phone Type, World Market, Forecast: 2009 to 2015
  • NFC Bluetooth Connectivity-Enabled Shipments by Phone Type, World Market, Forecast: 2009 to 2015
  • NFC Payment-Enabled Shipments by Phone Type, World Market, Forecast: 2009 to 2015
  • NFC Service Discovery-Enabled Shipments by Phone Type, World Market, Forecast: 2009 to 2015
  • NFC Prepaid/Top-Up-Enabled Shipments by Phone Type, World Market, Forecast: 2009 to 2015
  • NFC Event Ticketing-Enabled Shipments by Phone Type, World Market, Forecast: 2009 to 2015
  • NFC Transit-Enabled Shipments by Phone Type, World Market, Forecast: 2009 to 2015
  • NFC Wi-Fi-Enabled Consumer Electronics Shipments by Type, World Market, Forecast: 2009 to 2015

Charts
  • NFC Wireless Handset Shipments by Region World Market, Forecast: 2009 to 2015
  • Total NFC-Enabled Device Shipments by Form Factor World Market, Forecast: 2009 to 2015
  • Total NFC-Enabled Device and Chipset Shipments, World Market, Forecast: 2009 to 2015
  • Total NFC-Enabled Device Shipments by Form Factor, World Market, Forecast: 2009 to 2015
  • Wireless Handset Shipments by Region, World Market, Forecast: 2009 to 2015
  • Wireless Handset Shipments by Region, World Market, Forecast: 2009 to 2015
  • Total Handset Market Penetration by NFC-Enabled Handsets, World Market, Forecast: 2009 to 2015
  • Wireless Handset Shipments by Phone Type, World Market, Forecast: 2009 to 2015
  • NFC Connectivity-Enabled Handset Shipments by Application, World Market, Forecast: 2009 to 2015
  • NFC Wi-Fi-Enabled Consumer Electronics Shipments by Type, World Market, Forecast: 2009 to 2015