“NEAR FIELD COMMUNICATION”

- A Whitepaper

-Kumar Anshuman PGDM(HR) IMT Ghaziabad e-mail : kumar.amshuman1@gmail.com

ACKNOWLEDGEMENT

We would like to take this opportunity to thank Mr. Dushyant Chhetri whose valuable inputs proved to be instrumental in completing this project. Mr. Chhetri is working with Tata Consultancy Services for more than 5 years and currently working as an Information Technology Analyst. Mr. Chhetri is an Industry expert in the field of Near Field Communication (NFC) and his interview proved to be really helpful in proceeding ahead in the right direction. Also we would like to thank our subject faculty Dr. Poonam Garg who has been graceful enough to allow us explore various technologies and come up with some idea of our own. It was a very learning experience indeed and her teachings as well as cooperation kept giving us the psychological boost much needed to successfully complete the project.

pg. 2

a NFC Smartphone can behave like a Contactless Smart Card as well as a Contactless Smart Reader. where NFC is used to enable communication between two devices Payment & Ticketing. NFC is often compared with another existing technology of Contactless Smart Cards. in his latest Hype Cycle for Emergent Technologies (2012). where NFC will build on the emerging smart ticketing and electronic payment infrastructures Service Initiation. For example. While Contactless Smart Cards are capable of only one-way communication. Contactless Smart Cards’ operation is just one of the many ways in which NFC can be used. pg. Although NFC has been there for a long time. NFC has the capability to operate in two-way communication. communicating by establishing a radio connection in a close proximity. The working principle of NFC is similar to that of RFID (Radio Frequency Identification). places NFC in general in the “Trough of Disillusionment” with a time to plateau of two to five years.Executive Summary NFC (Near Field Communication) is a set of standards for mobile devices which allows them to exchange data with each other at a distance of not more than 10cm. 3 . In fact.e. Market Analyst Gartner. The Key applications of NFC can be categorized under 3 headings: Peer-to-Peer. To get a more realistic view of the whereabouts of the technology. still the technology has a lot to be discovered and a lot more to offer. i. Where RFID works in various ranges in both active and passive mode. NFC is said to be the child technology of RFID. where NFC is used to perform service discovery or to ‘unlock’ another service (such as opening another communication link for data transfer). However. We intend to cover the different existing and upcoming application areas of NFC and the various modes in which the technology operates. he puts NFC Payment in a separate category and places it at the border between the “Peak of Inflated Expectations” and the “Trough of Disillusionment”. we are looking forward to interact with a technology expert from IT industry whose firsthand experience will help us accomplishing this project in a more efficient manner. NFC as suggested by its name works in close proximity mostly in passive mode. according to which NFC Payment is seen a good five to ten years away.

2 2.3 2.1 2.Contents 1 2 INTRODUCTION NFC System 2. 4 .2 4.4 3 4 Tag & Reader Communication Modes Specifications & Standards NFC Tag Types 5 6 6 6 7 8 9 10 10 12 13 14 16 17 18 20 21 NFC FORUM OPERATION MODES 4.1 4.3 Card Emulation Mode Read / Write Mode Peer to Peer Mode 5 NFC HARDWARE Contactless Card and Tags: 6 7 8 9 KEY NFC PLAYERS CHALLENGES AND ROAD AHEAD GLOSSARY REFERENCES pg.

5 . NFC provides a higher degree of security than Bluetooth and makes NFC suitable for crowded areas where correlating a signal with its transmitting physical device (and by extension. It is a low friction setup because of the close range that two NFC enabled devices can setup a connection. Instead of performing manual configurations to identify Bluetooth devices. depending on the configurations. It allows users to seamlessly share content between digital devices. pay bills wirelessly or even use their cell-phone as an electronic traveling ticket on existing contactless infrastructure already in use for public transportation. and simplified setup of more complex communications such as Wi-Fi. the connection between two NFC devices is established at once (under a 1/10 second). The significant advantage of NFC over Bluetooth is the shorter set-up time. its user) might otherwise prove impossible. Present and anticipated applications include contactless transactions. data exchange. Due to its shorter range. Communication is also possible between an NFC device and an unpowered NFC chip. NFC is an upgrade of the existing proximity card standard (RFID) that combines the interface of a smartcard and a reader into a single device. pg.1 INTRODUCTION NFC is defined as a technology that allows two active devices embedded with chips transmit small pieces of data between each other when they are in close proximity of 1CM-4CM via short range wireless connection and at low speeds of 106-414 kbps. called a "tag".

and writable once.2 Communication Modes NFC devices support two communication modes: Active The target and the initiator devices have power supplies Can communicate with one another by alternate signal transmission Passive The initiator device generates radio signals and the target device gets powered by this electromagnetic field The target device responds to the initiator by modulating the existing electromagnetic field pg. The reader is an active device. The tag is a thin simple device containing antenna and small amount of memory. It is a passive device. powered by magnetic field. 2. 6 . which generates radio signals to communicate with the tags. The reader powers the passive device in case of passive mode of communication. re-writable.2 NFC System 2. Depending on the tag type the memory can be read only.1 Tag & Reader NFC-based communication between two devices is possible when one device acts as a reader/writer and the other as a tag.

Tag Types .3 Specifications & Standards NFC standards cover communications protocols and data exchange formats.56MHz. Smart Posters etc. which was founded in 2004 by Nokia.standard exchange formats for URI. ISO/IEC 18092 /ECMA-340 (NFCIP-1) – – Defines communication modes using inductive coupling at 13. RTDs -Record Type Definition .collision protocols ISO 14443 (both A and B) NFC Forum Standard NDEF -NFC Data Exchange Format . and are based on existing radio-frequency identification (RFID) standards including ISO/IEC 14443 and FeliCa.Tags Type 1/2/3/4/ mandated to be inter-operable with NFC devices pg.An NFC-specific record type and type name which may be carried in an NDEF record. and now has more than 160 members. 7 . Philips and Sony.2. The standards include ISO/IEC 18092 and those defined by the NFC Forum. The Forum also promotes NFC and certifies device compliance. Modulation schemes ISO/IEC 21481 / ECMA-352 (NFCIP-2) – – RF signal interface Initialization and anti.

8 . It currently has a 2 Kbyte memory capacity The data communications speed is 212 Kbit/s more applicable for more complex applications Although there is a higher cost per tag Tag 4 Type: – – – – Compatible with ISO14443A and B standards. Are read and re-write capable and users can configure the tag to become read-only. Tag 3 Type: – – – – – Based on the Sony FeliCa system.2.4 NFC Tag Types Tag 1 Type: – – – Based on the ISO14443A standard. Tag 2 Type: – – – Also based on ISO14443A. or read-only The memory capacity can be up to 32 Kbytes The communication speed is between 106 Kbit/s and 424 Kbit/s – – pg. Are read and re-write capable and users can configure the tag to become read-only. Pre-configured at manufacture and they can be either read and re-writable. Memory availability is 96 bytes which is more than sufficient to store a website URL or other small amount of data and is expandable up to 2 Kbyte The communication speed is 106 Kbit/s. The communication speed is 106 Kbit/s. Basic memory size of this tag type is only 48 bytes although this can be expanded to 2 Kbyte.

In June 2006. and educating the market about NFC technology. The NFC Forum has organized the efforts of dozens of member organizations by creating Committees and Working Groups. seamless interoperable solutions. ensuring interoperability among devices and services. only 18 months after its founding. and more all work together to promote the use of NFC technology in consumer electronics. 9 . the Forum formally outlined the architecture for NFC technology. Formed in 2004. financial service institutions. The NFC Forum promotes implementation and standardization of NFC technology to ensure interoperability between devices and services. Sony and Nokia to advance the use of NFC short-range wireless interaction in consumer electronics. Mission The Near Field Communication Forum was formed to advance the use of Near Field Communication technology by developing specifications. The Forum has released 16 specifications to date. mobile devices. by NXP Semiconductors. and security for NFC-enabled transactions. Goals The goals of the NFC Forum are to: Develop standards-based Near Field Communication specifications that define a modular architecture and interoperability parameters for NFC devices and protocols Encourage the development of products using NFC Forum specifications Work to ensure that products claiming NFC capabilities comply with NFC Forum specifications Educate consumers and enterprises globally about NFC The NFC Forum provides a highly stable framework for extensive application development. the Forum now has 170+ members. and PCs.3 NFC FORUM The NFC Forum is a non-profit industry association formed on March 18. applications developers. pg. Manufacturers. 2004. mobile devices and PCs. The specifications provide a “road map” that enables all interested parties to create powerful new consumerdriven products.

however.4 OPERATION MODES Potential NFC-enabled applications are endless. pg. pre-paid and other cards that people carry around in their wallets today. debit. 10 . Device manufacturers realized they needed a short-range communication standard that was compatible with the smartcard readers and other systems being rolled out by the transport industry. loyalty. Ultimately this would replace the myriad credit. Research conducted by Visa International found that 89 per cent of those who tried phone-based transactions preferred its convenience to alternative payment methods. Some example uses cases for this mode include: Mobile payments (phone acts as a credit or debit card at point-of-sale) Mobile ticketing (you pay for a boarding pass on a public transport system like the subway with your phone) As a substitute for keys (unlock your hotel room door with NFC) Payment & ticketing Payment and ticketing applications were one of the drivers for the creation of the NFC standard. NFC enables smartcard payment and smart ticketing scenarios to be developed further by enabling any NFC-enabled device to be used as a payment and ticketing device – an ‘electronic wallet’. various application areas of the technology fall under 3 categories: Card Emulation Mode Read / Write Mode Peer To Peer Mode 4. Banks and mobile network operators are very interested in putting payment and ticketing applications on NFC-enabled mobile phones. Thus NFC enabled mobile phone becomes a credit card.1 Card Emulation Mode This mode emulates a traditional smart card (such as MasterCard or Visa) and makes this mode convenient because of the already existing setup for the contactless payments by these smartcards companies.

however. 11 . Fig 1 pg. NFC-enabled NFC devices could be used in any payment situation. which they do not with cash today. users will have a record of even the smallest payments. just as credit cards are today. In smart ticketing schemes. without the user having to visi visit a ticket machine. NFC-enabled enabled cards and devices are lik likely ely to be used for small payment situations.Initially. NFC-enabled NFC mobile phones could be used to check how much credit is left on a multi multi-use use smart ticket. like vending machines and parking meters. In addition. Ultimately. transaction handling and security checking routines are in place. when the NFC reader infrastructure. NFC-enabled enabled payment and ticketing are much easier and less costly to handle than cash and other traditional payment methods.

2 Read / Write Mode The Read mode allows the NFC devices to read NFC tags on posters. for example: tap a movie poster to see a trailer. . locations. you could tap your NFC phone on the reader tag in a movie poster and it would begin playing the movie trailer. etc : you can tap your phone to a tag embedded in some other object like a card or poster to get access to additional information. This type of application could also be useful for obtaining further info information rmation about a product in store. ler. the he NFC device can write data to any of the supported tag types in a standard NFC data format. and other stationary objects that contain certain types of information on them. in the propose proposed d Financial Inclusion NFC solution. and so on. stickers. tap a business card to pull up the contact info on your phone) Proposed FI Solution: Bank details will be stored on a personalized smart cards which can be read and modified as per the customer’s transactions by a bank agent carrying NFC device. 12 . For instance. stickers. provide theater times. Some example uses cases for this mode include: Smart posters.4. simply by touching the NFC-reading NFC device against the packaging. cards. For instance. s. Also in Write mode. Lone workers such as security guards could use NFC NFC-enabled enabled devices to ‘check in’ as they move around a building. There could also be applications in room climate control. he or she could touch an NFC sticker just inside de the door that sends an ‘I’m home from school’ messa message ge to a parent. or for downloading information about medication. W When hen a child gets home from school. for example. Fig 2 pg. Customer’s (Villagers) necessary bank information can be written on their personal smart cards (NFC Cards) either by a NFC phone or any other NFC device. The NFC device is active while the tag is in the passive mode. where the user touches a particular point on a tab table le to initiate control of the air conditioning.

. for e. However. and then enter PIN codes. it is possible to use NFC to transmit the data itself.g. Wireless Nirvana: Pairing Bluetooth with NFC NFC technology works in a similar manner to Bluetooth because the two technologies rely on close-range and secure transmission although NFC is faster to connect two active devices together but it cannot transmit as far as Bluetooth. NFC is used to enable communication between two devices so that data can be transmitted locally between the two. and a Bluetooth connection is established to transmit the digital photos from the device to be printed out on the printer.4. Peer-to-Peer mode is standardized on the ISO/IEC 18092 standard.3 Peer to Peer Mode In the peer-to-peer scenario. and wants to print them out. The user simply touches the device against the NFC-enabled printer. like the Luna headset and Play 360 external speaker. Some example uses cases for this mode include: Access to a network or as a quick way to make a connection (make a Bluetooth connection or log onto a Wi-Fi network by tapping your phone to a tag) Make payments to another individual or business just by tapping the two phones together. execute searches for the device. sidestepping the old Bluetooth pairing process that often required users to find deeply hidden settings menus. If the amount of information is relatively small (up to one kilobyte). a more common peer-to-peer scenario is likely to be when NFC is used to establish another wireless connection method (such as Bluetooth or WiFi) to carry the information to be shared.‘Sambaza’ credit to a friend‘s phone by tapping the two NFC enabled phones P2P could also go a long way in creating an enhanced multiplayer gaming experience Another example of this kind of application is when a user has taken a series of photos using a camera mobile or digital camera. 13 . Nokia‘s recent Bluetooth devices. Nokia is the only manufacturer who has taken advantage of pairing Bluetooth and NFC. can be paired with a NFC-equipped Nokia phone with just a mere tap. Pairing Bluetooth and NFC by tapping on the phone is known as “Wireless Nirvana” Fig 3 pg.

pg. However. One example of a fully integrated NFC handset is the Google Nexus S. On a Sim Card NFC can be integrated into a SIM card . it is the NFC Mobile Phones which are going to bring the revolution in the coming future. Inserting a SIMpass card into the handset.5 NFC HARDWARE NFC hardwares are generally categorized under 3 major groups: NFC Mobile Phones Contactless NFC Cards / Tags Contactless NFC Readers While NFC Cards / Tags and contactless NFC readers do form a part of the NFC ecosystem. Example: Watchdata’s SIMpass. we can expect a wide range of NFC phones in the coming days. That means that the NFC controller (the piece that does the actual communication) and the secure element (the secure storage area connected to the NFC controller) are both integrated into the handset itself. With big players like Nokia and Samsung already entered into the market with their NFC handsets. especially in newer devices. can be fully integrated into the handset.the card that identifies a mobile subscriber on an operator's cellular network. SIMpass is a SIM card-based mobile proximity payment solution. there are technologies available to make even the ordinary mobile phones as NFC enabled. This way an ordinary mobile set can be converted into a NFC enabled set. Let us see the various ways in which NFC can be implemented in a Mobile Phone: Fully Integrated into the handset NFC. subscribers could then tap the handset for contactless micropayment. 14 . Google's flagship phone built in partnership with Samsung.

which is a removable storage card that uses flash memory. pg. The SD card has the NFC chip which adds the NFC capability to the card and in turn to the phone. For example. For phones that don't have a microSD card slot. accessories like cases or "sleeves" can be used instead. Visa introduced a case for the iPhone which contains a microSD card manufactured by Device Fidelity to bring NFC technology to iPhone users. The process takes place in two steps: Data is transferred from NFC Reader / Tag to the Sticker using NFC medium The same data is transferred ahead from Sticker to Phone via Bluetooth medium They integrate an internal rechargeable battery to get power independently of the phone battery. these stickers have the NFC capability as well to communicate with NFC Readers / Tags. Example: MyMax Stickers by Twinlinx. videos. The battery can be recharged using RF Field using a charger supplied with the stickers or any other contactless reader. Many mobile phone owners use microSD cards to store photos. Again in this way an ordinary mobile set can be converted into a NFC enabled set. 15 . Example: Device Fidelity’s microSD card. However. apps and other files in order to save storage space on the phone itself. These stickers need not to be affixed over the phone and can be kept at a distance as they communicate with the phone via Bluetooth.On a microSD card NFC technology can also be integrated on a microSD card. NFC Stickers There are thin electronic stickers designed to add NFC communication capability to the existing mobile phones.

Oiste Contactless Readers: Omnikey CardMan 5321 NXP CL RD701 (tag read and write) SCM Microsystem Gemalto pg.4k.Desfire.List of devices Mobile Phones / Tablets: Nokia 6131 Nokia 6121 Nokia C7 Samsung-Nexus S Taz Pad ZTE maxi plus5 Contactless Card and Tags: Mifare 1k. 16 . Sony Felica.

but Samsung had partnered up with the company to get London hooked up for the 2012 Olympics. pg.so long as the handset is offered at an affordable price. 17 . Nokia – They also incorporated NFCs to their phones a few years ago in US. MasterCard .MasterCard is one of the pioneers of mobile payments and was instrumental in setting up a thriving infrastructure with Paypass in the US market. and the costs of setting it up on NFC enabled phones are a lot lower thanks to existing infrastructure. Enough time has passed for consumers to become accustomed to the concept of contactless pay. that is. The idea is so crazy it might just work -. Although the sections above mentioned about various players in this field. let us again have a look at some major players in NFC technology: Google – They introduced Google wallet. International travelers will rely mainly on prepaid SIM cards to communicate during their Olympic visit.131 on T-Mobile and also in their latest C7 already in the Kenyan market. that is.6 KEY NFC PLAYERS As NFC is still in an emerging phase. and we think having an inexpensive phone to go along with that SIM is a no-brainer. And this is the reason for existence of communities like NFC Forum. their 6. An Olympic and Paralympics Games mobile handset was available complete with a Visa-enabled SIM card.Visa has already been hard at work rolling out its mobile payment system worldwide. it is very important that big players take the challenge and responsibility of taking the technology ahead. added NFC hardware to its Nexus S (a venture with Samsung) and also into their Gingerbread version of their Android OS. Samsung/Visa .

What is of greater concern is the development and unambiguous definition of an ecosystem that can support the long-term evolution of this market while addressing the individual needs of a wide range of stakeholders. It is understandable that until stakeholders have a clear vision of the business model and the business case. NFC ecosystem stakeholders and their relationships can be represented as: Fig 4 pg. there has also been a lack of commercially available and ready to purchase contactless mobile devices on the market. 18 . This raises the question: why has NFC mobile payment technology not been more widely adopted? The mobile financial services industry acknowledges that a significant investment is required from merchants to install NFC-capable acceptance terminals. and there has to be a real and sustainable business motivation to make this commitment. Although these have been well received – Demonstrating that customers enjoy making payments with their mobile devices and those merchants with POS terminals can efficiently process transactions – only a few commercial implementations have been launched. the industry is agreed that the technology is secure.7 CHALLENGES AND ROAD AHEAD Over the past few years there have been many trials and pilots to showcase the abilities of Near Field Communication (NFC) technology. powerful and capable. provides multiple benefits to all stakeholders. Although these factors are hindering the wide-scale implementation of mobile NFC payments. In addition. and once installed. there will be reluctance to invest the resources required to achieve NFC deployment on a mass market scale.

however. pg. The technology is ready but at an early stage in terms of device and terminal availability. Interoperability is a key factor. that this will change dramatically in the short-to-medium term. 19 . they should be able to effectively replicate this abroad. It is expected.Gartner’s Hype Cycle Fig 5 Summary Mobile contactless payments will happen as customers experience the benefit of them and demand them: there is a business opportunity to meet this demand. Although most customers conduct their transactions in just one domestic market. however. The global infrastructure will be created through the connection of all the individual stakeholders and implementation models. with successful elements being adopted as best practice and becoming the standardized approach. Because of different implementation options. the consistency of the customer experience cannot be guaranteed.

8 GLOSSARY Bluetooth : ECMA ETSI ISO : : : Short-range (10–100m) wireless communication protocol European Computer Manufacturers’ Association European Telecommunications Standards Institute International Organization for Standardization ISO standard governing proximity smartcards NFC Data Exchange Format Near Field Communication Radio Frequency Identification Record Type Definition Ultra Wide Band Wireless Fidelity Short-range wireless communication protocol based on the IEEE 802.15.4 standard Secured Element Point of Sale Mobile Contactless Payment Application Mobile Network Operators ISO 14443 : NDEF NFC RFID RTD UWB WiFi ZigBee SE POS MCPA MNO : : : : : : : : : : : pg. 20 .

International Journal of Computing and ICT Research.com/2012/08/16/317281/gartner-places-nfc-in-trough-of-disillusionment/ 18) http://en.pdf 5) Mobey Forum: “Business models for NFC payments” 6) Android München 21.3. 19. pp.com/mobile-apps/near-field-communication-an-emerging-mobiletechnology-0165257 17) http://www.com/2011/02/25/nfc-in-2011-whats-nfc-and-why-do-I-care 15) http://www. University of Bath: “NFC on mobile phones: issues. Lawrence. Munich.2011.9 REFERENCES 1) Innovision Research & Technology plc: “Near Field Communication in the real world – part I” 2) Innovision Research & Technology plc: “Near Field Communication in the real world – part II” 3) Innovision Research & Technology plc: “Near Field Communication in the real world – part III” 4) Muriira.php3?term=nfc 16) http://www.04. Version 1.gsmarena. lessons and future research” 9) Forum. 6.com/glossary. Issue 1. Vol. Mediterranean & Middle Eastern Conference on Information Systems 2012 (EMCIS2012)June 7-8. M.business2community. Department of Computer Science.wikipedia.nfcworld. October 2008” 12) NFC Forum: “NFC in Public Transport.2011 : “Near Field Communication (NFC) PPT” 7) European.73—83” http://www. April 2011” 14) http://readwrite.org/wiki/Near_field_communication 19) Interview of the Industry Expert pg.Nokia.ijcir. January 2011” 13) NFC Forum: “Smart Posters: How to use NFC tags and readers to create interactive experiences that benefit both consumers and businesses.org/volume6-number1/article8. 21 . Near Field Communication (NFC) Technology: “The Future Payment Service for Kenya. Germany: “Adoption Of Near Field Communication Technology For Mobile Payments In The UAE” 8) Vassilis Kostakos & Eamonn O’Neill.0: “Introduction to NFC” 10) Near Field Communication and the NFC Forum: “The Keys to Truly Interoperable Communications” 11) NFC Forum: “Essentials for Successful NFC Mobile Ecosystems.

Sign up to vote on this title
UsefulNot useful