Why Apple's NFC snub is bad for banks

Apple's decision to steer clear of NFC has little to do with the consumer adoption angle and while it won't hurt iPhone 5 sales the banking industry won't be happy.

I’ve always maintained that Near Field Communication (NFC) was attractive for both the banks acting as acquirers and issuers, and ultimately the networks themselves. Particularly in the US marketplace. Why? The only way to keep the Point-of-Sale (POS) terminal in a transaction as we shift to mobile wallet and mobile payments at merchants is for banks and networks to seamlessly transition cardholders from ‘swipe’ to tap.

The longer the banks and networks take to convert to NFC-enabled transactions, the more likely it is that the POS terminal will no longer offer value at the merchant space as we drive to wallet driven payments as opposed to the swipe paradigm.

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