Cheap or No Cost Apple POS Terminals for Mom and Pop?

by Mercator Advisory Group 0

In this article, there’s speculation about Apple’s plans to seed the acceptance side of the NFC world it envisions. Its plan? Give or massively subsidize payments-enabled, NFC-equipped iPods or iPhones for the small merchant so they can accept NFC payments from consumers wielding Apple’s mobile devices.

I’ve written before about the enormous economies of scale Apple enjoys, building devices in volumes an order of magnitude higher, and more, over what any dedicated POS terminal manufacturer can hope to produce.

As NFC becomes a ubiquitous smartphone capability –where every device is capable of making and receiving a payment –the Square proposition may become less compelling. It will have to compete on its services and that will be very challenging given Apple’s proven capabilities.

Apple is famously secretive about its plans, but its patent activity is out there for all to see. Here’s a list from Near Field Communications World:

While there has still been no official word from Apple regarding any plans to include NFC in future devices, a barrage of NFC-related patent applications were published in 2010 that show the company has a clear business model in place for NFC. The patent applications include:

Read more at Near Field Communications World: http://www.nearfieldcommunicationsworld.com/2011/01/25/35739/apple-planning-to-offer-merchants-low-cost-nfc-payments-terminals/