Posted by Jesse Braunstein

The iPhone 5 is rumored to have NFC… is it true?  We chime in! 

Developments in modern technology never cease to amaze me. This is even truer when those developments allow for the progressive elimination of all that is cumbersome and excessive with current technology.

A prime example of this type of innovation is Square, which we profiled on SheBytes a few months back.  Square enables millions of people to accept credit card payments seamlessly using just an iPhone and a tiny square plug in.

There’s another (and dare I say, even cooler) technology that I believe has the ability to get rid of even that tiny white square; all while turning a cell phone into a passcode-protected electronic wallet.  Designed by Near Field Communication (or just NFC), this cell phone technology will allow you to pay for anything in the world, by just placing your device within range of a merchant’s device.  You may be familiar with this technology already, as many credit cards come equipped with a “pay pass” like capability that allows you to place the card next to a reader rather than do a full swipe of the card.

So the big question is: will Apple introduce NFC to the imminent iPhone 5? Although this wasn’t one of the rumors I discussed in my article on the iPhone 5 release date, I do believe that it is definitely a serious possibility.

According to Wikipedia, “1.7 million iPhone 4’s were sold in its first three days of availability.” It seems that the addition of NFC technology to the iPhone 5 would undoubtedly trigger a revolution in the eCommerce industry, making traditional payments quickly obsolete. As Apple isn’t one to follow technology developments, as much as it is a developer of its own, I wouldn’t be surprised if the iPhone 5 included Apple’s own variation on NFC which would replace all previous ways we’ve learned to pay.

Jesse Braunstein is a Junior at NYU double majoring in Economics and Psychology. Jesse joined Madison Technology and in May 2011 as a summer intern. Jesse has been instrumental in utilizing his expanding background to come up with creative perspectives on the Marketing, Advertising and Business Development initiatives at both Madison Technology and Jesse’s outlook stems from an Economics and Psychology education and a deep understanding of the individual and how the individual acts within and interacts with the market.  Follow Jesse on Twitter and Facebook.