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Contactless Payment with RFID and NFC

Contactless Payment with RFID and NFC
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Author(s): Marc Pasquet (GREYC Laboratory (ENSICAEN – Université Caen Basse Normandie - CNRS), France), Delphine Vacquez (ENSICAEN, France), Joan Reynaud (GREYC Laboratory (ENSICAEN – Université Caen Basse Normandie - CNRS), France) and Félix Cuozzo (ENSICAEN, France)
Copyright: 2009
Pages: 7
Source title: Encyclopedia of Information Science and Technology, Second Edition
Source Author(s)/Editor(s): Mehdi Khosrow-Pour, D.B.A. (Information Resources Management Association, USA)
DOI: 10.4018/978-1-60566-026-4.ch116

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Abstract

The radio frequency identification (RFID) reading technology enables the transfer, by radio, of information from electronic circuit to a reader, opened up some interesting possibilities in the area of e-payment (Domdouzis, Kumar, & Anumba, 2007). Today, the near field communication technology (NFC) opens up even more horizons, because it can be used to set up communications between different electronic devices (Eckert, 2005). Contactless cards, telephones with NFC capacities, RFID tag have been developed in industry and the services (Bendavid, Fosso Wamba, & Lefebvre, 2006). They are similar, but, some major differences explain the specificity of these three applications and the corresponding markets. The label, or marker, is a small size electronic element that transmits, on request, its numerical identification to a reader. The RFID identification makes it possible to store and recover data at short distance by using these miniature markers or labels (see Figure 1) associated to the articles to identify. The cost of the label is only few centimes. An RFID system is made of labels, readers connected to a fixed network, adapted software (collection of information, integration, confidentiality...), adapted services, and management tools that allow the identification of the products through packing. Contactless smartcards (see Figure 2) contain a microprocessor that can communicate under a short distance with a reader similar to those of RFID technology (Khu-smith & Mitchell, 2002). The originality of NFC is the fact that they were conceived for the protected bilateral transmission with other systems. NFC respects the standarda ISO-14443 (Bashan, 2003) and thus, can be used as a contactless card. It can be used as a contactless terminal communicating with a contactless card or another NFC phone (ISO-18092). Services available through NFC are very limited today, but many experiments are in progress and electronic ticketing experiences (subways and bus) started in Japan.

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