Vincent Lee
Tranz Technologies
Taipei, Taiwan
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What is NFC, in plain words?
 Try to answer an 8-year-old girl’s question…
“NFC is a way to exchange messages in a very short
distance over the air. Just like you use the mobile
phone to pay bus fares and buy candies at the
convenient store.”
(not just for the payment, I know)
Of course I didn’t mention “EM”, “Data”, “Security” or any “Technology” terms
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Why are you using NFC?
“NFC makes my life easier and happier.”
“Are you still happy while NFC flies your
money to other people, over the air?”
“Well,… at least NFC simplifies the
process to ease my mind.”
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NFC use modes
 Reader/Tag Mode
 Informational and promotional applications
 RFID-like applications, AutoIDs, track and trace
 Peer-to-peer Mode
 Devices connecting, data sharing
 Card Emulation Mode
 Secure transaction, payment applications
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Reader/Tag Mode
 Information and promotion
Dosage directions
for consumers
 Product descriptions
 Service instructions
 Boutique authentications
 Smart posters
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Reader/Tag Mode
 Track and trace
for business checkpoints
 Manufacturing
 Picking
 Packing
 Shipping
 Receiving
 Racking
 more…
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Peer-to-peer Mode
 All about “Data transfer”
(NFC data transfer rate at 424 kb/s, seems a bit slow. However,…)
NFC can “handover” to faster protocols.
NFC can do the “connect” work (device pairing)
and let Bluetooth
or WiFi Direct do
the “transfer” work.
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Peer-to-peer Mode
 Content sharing
 texts
 files
 multimedia
 Audio streaming
 headset, speakers
 CE connecting
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Card Emulation Mode
 Payment via “Contactless” way, just like
those
Smart Cards
Source: IEEE website
 A virtual smart card embedded in an NFC phone
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Card Emulation Mode
 Pay with “Google Wallet” use
 Selected credit card
 Prepaid deposit
 Users also can store
 Loyalty cards
 Gift cards
Source: Google website
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Security and Privacy
 Hardware level
 Secure Element (SE), Encryption on tags
 Software level
 Tag filtering, Authentication, authorization
 System level
 Follow all about computer and network security issues
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What paves the NFC road?
 Standards and Specifications
 Device interface, data exchange, security and others
 Device availability
 phones, tablets, terminals and others
 Internet connectivity
 3G/4G, and WiFi
 Commercial solutions
 Customer demands, Business workflows
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NFC Standard bodies
 ISO/ECMA
 ISO/IEC 18092 / ECMA-340 / NFCIP-1
 ISO/IEC 21481 / ECMA-352 / NFCIP-2
 GSMA
 Testing standards for global interoperability of NFC
 NFC Forum
 Data exchange format (NDEF)
 Tag standards
 Record Type Definitions
 Protocols and more
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NFC Standard bodies for payment
 ETSI / SCP (Smart Card Platform)
 Specify the interface between the SIM card and the NFC chipset.
 GlobalPlatform
 Specify a multi-application architecture of the secure element.
 EMVCo
 Manages the EMV® Integrated Circuit Card Specifications
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NFC Application Area
 Non-payment







Advertising
Consumer Electronics
Gaming
Healthcare and wellness
Hospitality
Retail (POS tag reading)
Social media
Check-in, source: Foursquare website
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Mobile commerce coming!
 Thanks to the internet, we have
E-Commerce
 Thanks to the smart mobiles, we have
M-Commerce
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What makes NFC booming?
 Go Smart Mobiles!
 NFC makes mobile commerce
 Use Intuitively
 Process Simply
 Transactions more Secure
NFC do right things right at little
risk!
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Imaging consumers have their own readers…
Hmm, any
good jacket
suits my shirt
style? Let’s see…
30% Off!!
Limit offer
till this weekend
Size: L
Color: Green
Materials
Manufactured:
Laundry instr.:
…
They want to know more!
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NFC integrates with sensor
 Smart Packaging
NFC integrated with temperate sensor
Opus One Wine
Tag provider: eProvenance
Collect and log temperature data
from a producer to the consumer
Use an NFC phone owners can
track their wine's history
Source: NFC Forum
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Opus One Wines and eProvenance
 Package tracking
 Authentication (anti-counterfeit)
 Content identification
 Temperature exposure log
Source: NFC Forum
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NFC Challenges
 Doubts from business
 Extra costs




NFC devices
NFC tags
NFC applications (plus software and system)
All internal efforts (workflows, staff trainings, use habits…)
 Few users
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NFC Challenges
 Questions from the user point of view
 NFC is necessary, or just fancy?


QR code (or 1-d barcode) will do
No killer apps
 NFC devices are not enough?


My friends don’t have yet (iPhone is a big issue)
Many stores haven’t support yet
 NFC payment is really better and secure?


Will they charge me extra transaction fee?
What if I switch the phone?
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NFC and QR Code
*Application filters can be programmed
** For standard NFC applications (Text and Smart Poster)
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NFC applications in Taiwan
 Non-Payment applications
 Access of Entrances

For business locations and exhibitions
 Smart posters

For products and services
 Track and trace

For mobile workers
Source: Nokia Taiwan website
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NFC applications in Taiwan
 Payment application
Chunghwa Telecom teams up with MasterCard
and banks to provide NFC payment starting at the
end of 2013. Pilot program is running currently.
Source: Chunghwa Telecom website
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NFC Payment for iPhone
And other NFC applications
Payment application
Coupon application
Taxi service application
Bizcard exchange application
Source: Taishin Bank website
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NFC Application: N5
 Vision
 Idea
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Have that experience?
Remember?
Hey, nice TShirt!
Where did you
buy this?
There must be a
simple way!!
Hmm… this…
where… seems…
Beats me!
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Product can have an ID card!
Customers are able to interact with the products
attached N5 tags with NFC phones.
Read the tag with your NFC
phone and you will know it!
Hey, nice T-shirt! Where
did you buy it?
Product description: xxxxxx
Nearest store: yyyyyyy
Limited discount: zzzzzzz
…….Buy it now…..
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Customer can have rewards!
Customers turn into
virtual sales.
With the
“NFC-Referrals”, they
will automatically be
rewarded!
I have referred
friends for your
store. check for
me, please…
Absolutely!
you are our VIP. Let
me get you rewards.
Referrals List
1.
2.
3.
John Doe
Rose Mary
Vincent Lee …
(more)
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What N5 will do?
N5 app
Commerce
Portals
N5 tags
Sellers
Backend
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Thank you very much
Vincent Lee
(886)-2-2758-1758
vincent_lee@tranztex.com
http://www.tranztex.com
Tranz Technologies, Inc.
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