Originally posted on TMCnet - September 29, 2011
We at Paytoo agree with Keith Rabois’ stance on NFC (Near Field Communications) in his recent interview with GigaOM founder, Om Malik. In addition to Mr. Rabois’ many reasons why NFC will not work, we believe NFC’s feasibility issues begin with the business model and proposed allocation of profits. Too many players would have to get involved, including, but not limited to banks, telecom providers, network operators and handset manufacturers.
Distributing profits amongst all these players and keeping everybody satisfied would be extremely complicated. Sure, there are many big name companies that have already invested in NFC technology and implementation, but they are largely underestimating the amount of change that would have to occur for NFC to succeed – behind the scenes and in the marketplace.