According to two people with knowledge of the inner workings of a coming iteration of the Apple iPhone although not necessarily the next one a chip made by Qualcomm for the phones processor will also include near-field communication technology, known as N.F.C. This technology enables short-range wireless communications between the phone and an N.F.C reader, and can be used to make mobile payments. It is unclear which version of an iPhone this technology would be built into.
One person familiar with the new Apple feature said the phones credit card information would be tied to information currently used on iTunes, which would make it simple for customers to set up the new mobile payment method on the iPhone.
There has been much speculation of late on whether NFC will make its debut in the iPhone 5. The Independent claims that Apple has dropped NFC from this year's device because of a lack of a clear standard across the industry. Analyst Brian White with Ticonderoga Securities says the next iPhone will include NFC technology with "a twist that will make it unique". CultofMac has heard that Apple is working on an ambitious remote computing system that will be enabled using an NFC.
Read More [via Trevor]