Could a chip that links an iPhone to your bank account be Apple's next category killer?

Discussion: The genius of Apple – taking existing ideas and refining them – continues with NFC (Near-Field Communication), a microchip that can send and receive data across a very short distance.  Industry speculators believe Apple has plans to take this technology, which has been around for several years, and roll out “iCash.”  Instead of swiping credit cards, shoppers use their mobile phone and iTunes account to draw money directly from their bank account to pay for items such as groceries or movie tickets.  If industry speculators are right and a chip can link an iPhone to your bank account, mobile commerce would be transformed.  And Apple, once again, proves why it is the most powerful tech company in the world.

Source: Newsweek.com

Date: January 28, 2011

Link: http://www.newsweek.com/content/newsweek/2011/01/28/apple-plans-to-link-smart-phones-to-credit-cards.html

Questions for discussion:

• According to Lyons, what does Apple do better than any other tech company?
• What are the ramifications for credit card companies if Apple rolls out “iCash?”