Near-field communication (NFC) is on the verge of ushering in a new method in conducting mobile payments. Google Wallet is a service that will use the Nexus S 4G to allow users to link their credit cards to their phones. Whenever someone with an NFC-enabled device visits a store that accepts NFC payments, transactions can be completed simply by placing the device near the store’s scanner. One major restriction to NFC payments is the requirement to have a NFC chip embedded within a device. A company named Naratte is looking to change that requirement with new technology it’s calling Zoosh.
Zoosh doesn’t rely on NFC chips to conduct transactions. Instead, Zoosh uses ultrasonic waves along with a device’s speaker and microphone to enable NFC.
Zoosh’s method can work with smartphones, tablets and feature phones. There’s no need to invest in a new device with a NFC chip.
Zoosh can be implemented into apps through a software update. Once enabled, Zoosh can conduct transactions at retail, transactions between two phones and make use of digital coupons.
Stores can upgrade their POS registers to use Zoosh for around $30. It’s a much cheaper alternative than upgrading their systems to respond to devices with NFC chips which can cost up to $850.
In terms of security, Zoosh uses perishable IDs with every transaction. The ultrasonic waves also travel a short distance to greatly reduce the chances of another device picking up on the transaction.
Here is a video describing how Zoosh works.