PayPal announced the launch of NFC based payment App at the the Mobile Beat 2011 conference held in San Francisco. During the event, PayPal showcased the Near Field Communication (NFC) widget and the payments made via Android smartphones. It was simple to transfer the funds with NFC. During the demonstration, the funds were transferred simply by running the widget and tapping two Nexus S phones together.
The App requires one user to request the desired amount, then the phones are held back to back until the NFC connection is made and the sender approves it by typing the secret PayPal pin. Success !!! the amount is transferred to the requested party.
"There's a lot of technologies evolving around mobile payments, and NFC is just one of those," said Laura Chambers, Senior Director, PayPal. What we're doing is testing out NFC. We're getting it into the markets, we're getting it into the hands of consumers and we'll see how it goes."