Near Field Communication (NFC) is a new technology that has emerged in

the last decade. NFC is a short range, high frequency, low bandwidth and
wireless communication technology between two NFC enabled devices. It
was jointly developed by Sony and NXP Semiconductors. Communication
between NFC devices occurs at 13.56 MHz high frequency which was
originally used by Radio Frequency Identification (RFID).
NFC works on both active and passive devices using various modes of
operations. Also, NFC can happen between only two devices at a time.
Potential NFC applications and services making use of NFC technology
include e-payment, e-ticketing, loyalty services, identification, access control,
content distribution, smart advertising, data/money transfer and social
services. Due to its applicability to a wide range of areas and the promising
value added opportunities, it has attracted many academicians, researchers,
organizations and commercial companies.
Currently, devices like Nexus 5, Xperia Z, Z2, Galaxy Note series etc. provide
NFC facility to its users. Some applications of NFC are Google Wallet (US), A
Little World (India) for mobile payments, China Unicom for mobile transport
ticketing (China) etc.

OPERATION OF NFC: (Amar)

NFC occurs between two NFC devices in a close proximity range (within a few
centimeters). These two NFC devices can operate in several modes.
There are two different roles that a device can play in NFC which can be
illustrated as arequest and reply. The initiator (or polling device) sends a
request message to a target and the target (or listening device) replies by
sending a message back to the initiator. In this case the role of the initiator is
to start the communication. The role of the target is to respond to the
requests coming from the initiator.
NFC is based on inductive coupling, where loosely coupled inductive circuits
share power and data over a distance of a few centimeters. Similar to the
transformer principle, the magnetic near-field of two conductor coils is used
to couple the polling device (initiator) and listening device (target) as shown
in Fig. 1.2. The operating frequency is 13.56 MHz, and a bit-rate of 106 kbit/s
(also 212 kbit/s and 424 kbit/s) is used. Modulation schemes are amplitude
on/off keying (OOK) with different modulation depth (100 % or 10 %) and
BPSK.
MODES OF OPERATION (Classification of devices):

The touching action is taken as the triggering condition for NFC

communication. The NFC application is designed so that when the mobile
touches some NFC device with the expected form of data, it boots up
immediately.
We can classify the NFC devices in the communication based on two
parameters. The first parameter is the energy supply which results in active
and passive devices.
Active vs Passive Devices:
An active device is one that is powered by some power source, e.g. battery,
so that it generates its own electromagnetic field. On the other hand, a
passive device is one that does not have any integrated power source. In
NFC, the energy to the passive devices is supplied by the active device. To
summarize, an active device powers the passive device by creating the
electromagnetic field.
COMMUNICATION PROTOCOLS: (Amar)
NFC was approved as an ISO/IEC standard on December 8, 2003 and
later as an ECMA standard.
NFC is an open platform technology standardized in ECMA-340 and
ISO/IEC 18092.
These standards specify the modulation schemes, coding, transfer
speeds and frame format of the RF interface of NFC devices, as well as
initialization schemes and conditions required for data collision-control
during initialization for both passive and active NFC modes.
Furthermore, they also define the transport protocol, including protocol
activation and data-exchange methods.
Thus in Passive mode an NFC device can communicate with an existing ISO/IEC
smartcard or reader.
Active mode an NFC device can interact with other such device.
APPLICATIONS OF NFC:
1. Touch and Go :
Applications such as access control, where the user needs only to bring
the device storing the ticket or access code close to the reader.
2. Touch and Confirm :

Applications such as mobile payment where the user has to confirm

the interaction by entering a password or just accepting the
transaction.
3. Touch and Connect :
Linking two NFC-enabled devices to enable peer to peer transfer of
data.
4. NFC can also be used to configure Wi-Fi networks through mobile
devices.

M-Commerce: (Amar)
The key feature that led to the development of this technology is
defining an organizations mobile commerce business strategies.
The NFC based mobile devices and contactless credit cards can engage
with PoS devices, to enable contactless payments.
The ISO/IEC 14443 standards define the framework to manage the
contactless payment communications between a payment card reader
(or NFC capable POS device) and an associated payment card device.
Enables the users to buy the selected product or service with their Mwallet account, using NFC.
Security is an important and integral part of the mobile commerce
transaction processing model, so we have mobile transaction
processing solution framework to ensure end-to-end security of the
sensitive data using strong encryption across all paths of the
transactions.
The point to point encryption practice is known to reduce the scope of
PCI-DSS assessment and hence P2PE encryption practices are widely
being used for security of card holder data.

ADVANTAGES OF NFC:
High convenience to the user, because the data exchange is done just
by bringing two mobiles together.
Reduces cost of electronic issuance .

 Secure communication.
No special software.
No manual configuration and settings.
No search and pair procedure.
NFC can be used together with existing technologies like Bluetooth and
thus act for longer range also.
NFC uses are practically limitless.

DISADVANTAGES OF NFC: (Amar)

The system has the limitation that it can be operated only with devices
under a short range i.e. around 10 cm.
The data transfer rate is very less at about 106kbps, 212 kbps and
424kbps.
Eavesdropping
Data Corruption and Manipulation
Theft

COUNTER MEASURES: (Amar)

o Use secure channel (so that only the authorized device could decode
the encrypted information).
o

Some NFC devices listen for data corruption attacks and prevent
them before they have a chance to get up and running.

Use Active Passive modes with encrypted keys (this means one
device receives info and the other sends it instead of both devices
receiving and passing information).

Keeping phones password protected.

FUTURE SCOPE OF NFC:

NFC could be used for so much more than just data transfer and payments.
We can purchase our tickets, reserve hotel, unlock and lock rooms and cars
etc. The truth is that all of this and more is possible with NFC. As long as

vendors get a reader that supports NFC, capable phones can quickly and
easily send information to those devices. With Android, Nokia and Blackberry
all in various stages of supporting NFC, others feel the pressure to offer
support as well to avoid falling behind in a technologically advanced world.
Some current as well as developing applications of NFC include:
Google Wallet: Googles smartphone program that allows users to load
credit card information and pay.
Visa and Samsung have partnered to create a NFC compatible smartphone
geared at fans of the Olympics. This smartphone will carry special content
and aims to make purchases and other interactions at the Olympic Games
faster and easier.
As other cell phone manufacturers race to keep up, NFC could grow
substantially and be offered on more and more devices. All in all, the future
of NFC looks bright.
CONCLUSION:
Mobile handsets are the primary target for NFC and soon NFC will be
implemented in most handheld devices.

The advancements in mobile wireless technology and communication

standards have enabled usage of contactless and NFC based payment
models.

The mobile wallet based payment model is gaining considerable

momentum and is currently being seen as one of the key payment
model, to promote contactless payment processing practices.
The mobile wallet technology enables the end-users to make payments
with their mobile wallet accounts, without having to use credit or debit
cards and hence this technology can also help users that do not use
credit or debit cards.