What is NFC and How does it work?

COURSEWORK 1
Module: Set09118
by Michiel van Dijk - 40405367
Wordcount: +/- 3100

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WHAT IS NFC
&
How does it work?
by Michiel van Dijk
NFC, which stands for Near Field
Communication, is one of the
new standards in short-range
wireless communication and has become
increasingly popular in recent
years. NFC is all about making life
easier for its users and focuses on
enabling the user to make a quick and
secure connection to various devices
and objects to gather or send information.
This piece will explore how NFC
works and demonstrate some of its
various use cases in fields such as the
automotive industry and the Internet
of Things. Examples of NFC’s use cases
range from passive NFC tags sharing
data attached to every day objects
such as posters, street signs, artworks
and business cards; these passive devices
do not even require power but
more on that later. On the other end
of the spectrum are the devices that
make use of Active NFC signals, which
allows for sharing secure data, functioning
as a secure key or ticket to
special events; the use cases of active
NFC are not just limited to sharing
data. Active NFC can also be used to
charge small devices using the same
antenna that is used to share data. This
means that a Bluetooth headset’s initial
connection can be established with
NFC and used to charge the device;
this is useful for a complete range of
devices such as smartwatches, fitness
trackers, GPS trackers and other small
devices. However, the most prominent
use case for NFC in recent years that
we are most familiar with is enabling
smartphones to act as a wallet and
allowing a single tap action to confirm
payments. This one use case is why
most smartphones are now equipped
with NFC; however, there is a lot more
to NFC.
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So how does NFC work?
NFC is based on Radio Frequency
Identification (RFID) technology, and
it uses some of the same principles.
RFID systems consist of three main
components, an antenna, transceiver
and a responder. The antenna employs
radiofrequency waves to activate
the transponder, which, when
activated, sends a specific wave back
to the antenna, which is then translated
into data. RFID tags can be both
passive and active, and this is the
same for NFC tags; active tags have
their own power source, commonly in
the form of a battery, whereas passive
tags do not have a battery but
receive their power from the reading
antenna. The electromagnetic waves
induce a current in the RFID tags antenna,
enabling it to return its signal;
this uses electromagnetic induction.
There are four main types of RFID
frequencies, low frequency (LF), high
frequency (HF), ultra-high frequency
(UHF) and Microwave; these frequencies
all have their own uses and vary
significantly between countries and
regions.
• LF RFID systems have short transmission
ranges between a few
inches up to six feet, with frequencies
between 20KHz to 500 kHz
with a standard of 125KHz.
• HF RFID systems have a similar
transmission range but have a
frequency range between 3MHz
and 30MHz with a standard of
13,56MHz, which is the same frequency
used by NFC.
• UHF RFID systems have much
larger transmission ranges and can
be read up to 25 feet away; their
frequencies fall in the 300MHz to
960MHz range, with the typical
frequency being 433MHz.
• Microwave RFID systems have an
even more extensive range and operate
on a frequency of 2.45GHz.
Electromagnetic fields can be used to transmit data or induce
electrical currents in a receiving device. Passive NFC devices
draw power from the fields produced by active devices.
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NFC vs RFID
As established, NFC is based on HF
RFID transmission but combines the
ability to transmit and receive data
into a single product; in other words,
an NFC device can be both a reader
and a tag, whereas RFID is either active
or passive. Because NFC uses the
same frequency as HF RFID, it has the
same range limitation, so it can commonly
only be read from 1-2 inches
away. This is why NFC is often used
for secure communication,
especially in the consumer section for
contactless payments. According to
the NFC Forum, NFC targets a much
more comprehensive range of use cases
and advocates its ease of use. However,
RFID is still very popular in cases such
as inventory tracking, inventory management
and, for example, microchipping
pets and livestock.
Signal & Standards
As previously stated, NFC uses the
same frequency as HF RFID; because
of this, the range is approximately
1-2 inches; this provides immediate
security because both devices need
to be in close proximity to connect
and transmit data successfully. NFC’s
standard bitrate is 106 kbit/s, but 212
kbit/s and 424kbit/s are also used in
various use cases where a higher rate
of data transfer is required. NFC applications
generally need to comply
with a specific set of standards that
have been harmonized under the NFC
Forum, a non-profit industry association
that promotes the use of NFC
short-range wireless in consumer
electronics, mobiles and PDA’s. As a
result, NFC Forum devices can communicate
with a wide range of devices
as long as they use the appropriate
standards.
The currently accepted range of
devices within the NFC Forum is as
follows:
• Readers and cards compliant with
the ISO/IEC 14443 Type A standard
• Readers and cards compliant with
the ISO/IEC 14443 Type B standard
• Cards compliant to the ISO/IEC
15693 standard
• Devices compliant with the ISO/
IEC 18092 standard
• Readers and cards compliant with
the JIS-X 6319-4 standard
• NFC Forum Tags
• Other NFC Forum Devices
source: NFC Forum
Because most implementers and developers use the specific NFC
Forum specifications, it allows for global interoperability, ensuring
that NFC devices are compatible worldwide as long as they make
use of the correct standards.
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Modes of operation
NFC supports a wide range of operations. The most
applied operation modes are Reader/Writer, Peer
to Peer, Card Emulation and Wireless charging.
• Reader/Writer in this mode, the
NFC device functions as a contactless
reader and can read data
from NFC smart tags on, for example,
posters, artworks, and
business cards. With the introduction
of the TNEP specification
enabling bi-directional communication,
smartphones can now
also write data to supported IoT
devices.
• Peer to Peer when two NFC
equipped devices touch/connect,
they can exchange data such as
images or contacts between each
other.
• Card Emulation Mode is one of
the most commonplace uses of
NFC in smartphones which allows
the smartphone to operate like
a contactless card. Contactless
money transactions are the most
popular use case, but this mode
can also be used for contactless
tickets or identification.
NFC enabled devices periodically
create an RF (Radio Frequency)
field to scan for other NFC devices
or tags. Once they sense another
remote device, they will enable the
corresponding mode of operation.
Because the time required to create
an RF field is relatively short and
NFC devices spend most of their
time listening for other devices, their
power consumption is relatively low.
The previously discussed modes
of operation are all active. However,
NFC can also be used in passive
mode in the same way as employed
by RFID technology using electromagnetic
induction to supply current
to the passive NFC tags.
• Wireless Charging mode can
be used to transmit up to 1W of
power from, for example, a smartphone
to a small Bluetooth headset.
Communication is performed
to start this power transfer.
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NFC and Bluetooth
Bluetooth and NFC might be very similar
technologies, at first sight, so employing
both of them on the same device might
seem quite counterintuitive. However,
there are some differences to be found
between the two, which give them their
own benefits in different circumstances.
The first big difference between wireless
technologies is their power draw;
only when NFC has to activate a passive
NFC tag does it use more power
than Bluetooth. NFC consumes far
less power for most of its standard
operations, making it a more minor
drain on the power supply, making
it ideal for smartphones and battery-powered
devices.
The drawback of this more negligible
power consumption is NFC’s transmission
range, which is far shorter
than Bluetooth. NFC’s maximum
range lies around 3-4 inch with regular
use being done by either touching
the devices together or coming within
1-2inch of the other device. On the
other hand, Bluetooth has a range of
up to 10 meters, making it far more
usable in specific scenarios. The
range on Bluetooth transmissions is
not only larger it also transmits data
at a much higher speed than NFC’s
424 kbit/s speed. With Bluetooth
2.1 reaching speeds of 2.1Mbit/s and
Bluetooth Low energy having a maximum
potential transmission speed of
1Mbit/s.
However, when it comes to quick
connectivity NFC is by far the better
choice; establishing an NFC connection
due to the inductive coupling
only requires the user to move the
device close. A connection is established
within a 10th of a second
without manual pairing, making NFC
ideal for touch and go situation such
as contactless payments and digital
ticket checks.
However, NFC and Bluetooth are not
competitors; there are many benefits
to using the two technologies in
conjunction. Setting up a Bluetooth
connection can be tedious. Still, by
tapping an NFC compatible Bluetooth
device with your phone, you
can make the connection directly and
then use the benefits of Bluetooths
longer range and better speed. This
same benefit can be applied to other
smart devices such as routers, innovative
home products and passive NFC
tags that can provide quick access to
information or, for example, connect
your phone to a wifi network with a
simple tap.
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NFC in industry
The use cases of NFC are becoming more widespread every year,
with NFC getting adopted into more and more industries; in this
section, we will look at some of the major industries employing
NFC in their fields and their most prominent use cases.
Retail
NFC technology is already well established
in retail in the form of contactless payments,
but NFC technology offers much more than
just payments to the retail industry. NFC can
be used to engage with customers in various
ways.
• Cross-selling by attaching NFC tags to
products allowing customers to scan them
and get advice on matching products.
• Customer Loyalty Schemes use NFC tags
on products to enable sign-ups to customer
loyalty schemes and ongoing promotions.
• In-store engagement retailers can use
NFC tags to give product information and
guide customers through their shopping
journey.
• Covid-19 during the pandemic NFC technology
has enabled companies to transition
many of their services into contactless
methods, while still engaging with their
customers. Going into the future contactless
alternatives are only going to become
more valuable.
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Automotive industry
NFC plays an essential role in bringing
contactless technology into the
automotive industry; some of the first
steps in bringing NFC into the automotive
industry were made around
2010 by the BMW Group (Steffen &
Preißinger, 2010). They illustrated how
NFC could be used to provide contactless
access to vehicles, how NFC
in car keys could provide the option
for contactless payments with a car
key and how NFC tags could uniquely
identify the driver to the vehicle.
While in 2010, these were still just
concepts, they have now been adopted
by multiple automotive companies
to make their vehicles more innovative
and more accessible for their
customers. Great examples of this are
Audi’s Connect Key and infotainment
system, Tesla’s Key Card and Hyundai’s
Trustonic Digital Key. The automotive
NFC market is projected to
grow at a 70.52% rate between 2019-
2023, with the most prominent use
cases as follows:
• Contactless/Keyless Entry
• Driver recognition to personalize
the car setup
• Car Sharing by sharing NFC car
keys
• Establishing Bluetooth and Wifi
connectivity between infotainment
systems and phones
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NFC and the Internet of Things
The Internet of Things is all about connecting everyday physical
objects “Things” by equipping them with sensors and allowing
them to exchange data between each other and with other devices
over the internet.
Applications for IoT devices are split between various categories; Consumer,
commercial, industrial and infrastructure and NFC are compatible and used
across all of these fields to enable sharing data from everyday objects. This section
will look at how NFC can be used in IoT applications and how you can use
NFC at home yourself showing some exciting and fun examples of NFC infused
with everyday things to try out yourself.
NFC solves many of the challenges
related to IoT:
• With a straightforward tap-and-go
mechanism, NFC makes it intuitive
and straightforward to connect
two different IoT devices.
• Because NFC chips must be close
to initiate a transaction, establishing
an NFC connection is a clear
sign that the user intends to take a
particular action. The short-range
of NFC also protects against unauthorized
access by hackers.
NFC is already integrated into a
whole suite of smart devices such
as smartwatches, medical trackers,
smart home applications and other
wireless accessories such as Bluetooth
headphones and speakers. So
there is a good chance you might already
own NFC enabled devices without
you being aware.
• NFC includes built-in features such
as encryption that cut down on
the potential for eavesdropping
and other malicious activities. This
assist in protecting collected and
shared data between devices.
• Even objects without power or an
IoT connection can passively exchange
data via NFC tags. Users
with an NFC-enabled device can
tap the gadget to get information
such as URLs, Wifi passwords, establish
a connection etc.
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NDEF
One of NFC’s strong points, which make it ideal for IoT applications, is the NDEF
(NFC Data Exchange Format) standard defined by the NFC Forum Specification.
This method of storing data on an NFC chip results in the NFC reading device
initiating a matching action when reading a specific data set. The following table
shows some of the data types and corresponding actions that will be initiated
upon reading the data.
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Get started with NFC yourself
Getting started with NFC could not be easier; for the most basic
start with NFC, one can simply buy a passive NFC tag in the
form of a sticker such as these found on Amazon, fill it with the
desired data, stick it up somewhere and start using it. Not only
is the process superbly easy it is also really affordable so getting
started is easy, so here are some exciting projects you can undertake
with NFC.
Wifi password coasters:
What is the wifi password? Aren’t we
all tired of this question, whether it is
a social gathering, an official meeting
or something in between. Staying
connected is more relevant than ever.
This project is as easy as it gets; here
is what you need:
• NFC Stickers
• Coasters
• An NFC enabled smartphone that
can write to NFC devices.
to the dish’s bottom. Proceed to
gently tap the dish until the layer is
spread out equally. Once smooth, lay
an NFC sticker in the centre of the
dish on the concrete’s first layer and
then top the concrete up to achieve
the coaster’s desired height. After
drying, follow on from step 2 and enjoy
your unique coasters.
Step 1: Place an NFC sticker on the
coaster
Step 2: Use an application such as
NFC Tools for Android or iOS to set
up a wifi configuration profile on the
NFC tag.
Step 3: Test by removing the wifi
network on the phone, enabling NFC,
and placing the phone on the new
smart coaster.
Hint: You can make this project a bit
more engaging and classy by making
your very own concrete coasters.
Order some cheap plastic Petri dishes
as molds, use a little bit of concrete
mix and add a thin layer of concrete
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Some other fun ideas with NFC stickers include sending a smart card to surprise
someone with a hidden message in NFC, using NFC on your business card to
provide instant access to your contact details, or applying NFC stickers with a
website link to promote your website.
Looking for something more
advanced?
NFC integrates very well with IoT
devices such as Arduino’s and Particle
devices; some excellent starter
projects for those with some more
advanced skills can be found at websites
such as Hackster.io or Instructables.com.
For some exciting inspiration,
here are some exciting NFC
projects:
• Garage Door Commander: This
project enables you to scan an
NFC tag to open your garage door
and even goes on to include Google
voice commands and push notifications.
• NFC Computer Unlocker: This
project allows you to unlock your
computer with a simple NFC card.
• NFC Car Door Control: Following
along with this project will enable
you to build your very own NFC
doors.
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Shortcomings of NFC
Despite all of the positives and its varied use cases, NFC does
not come without its own disadvantages.
Two of the most apparent disadvantages
are NFC’s short-range and low
data transfer rates; these limit NFC’s
uses and make it so that for larger
files or where more range is required,
NFC is reliant on establishing
other wireless connections such as
Bluetooth or wifi.
One of the other negatives of NFC is
the cost of adopting the technology
on a larger scale; Starbucks spent 25
million in 2011 alone on its strategy
of introducing NFC into its business.
This high cost creates a vast threshold
that companies have to cross to
get started with NFC, which means
that its availability and roll out
across industries has been relatively
slow.
faith in NFC’s security.
Lastly, there is the fact that even
though NFC’s power consumption
is not much larger than, say, for example,
Bluetooth, but there is a notable
increase in battery consumption
when NFC is enabled on smart
devices. Thus, this can also be seen
as a disadvantage when using NFC.
However, as long as NFC is used in
the right scenario and with the correct
complementary technologies,
most of these shortcomings can be
negated.
There is also a genuine risk present
regarding card emulation because
mobile-based hacking is becoming
a greater and greater risk in modern
society; with smartphones becoming
more and more like handheld PC’s
hackers are finding more ways into
the system and more tools are available
to assist them. To counteract
this threat, it will be vital for organizations
such as the NFC Forum to
keep security protocols up to date
to ensure consumers do not lose
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The Future for NFC
A myriad of industries is already utilizing NFC, and the global
NFC market is projected to grow a further 17% between now and
2023; NFC is only set to become more prominent and more accessible.
NFC Forum introduces the following future themes for NFC’s development:
• Allowing an analogous and seamless use of various form factors and standards
• Ensuring backward compatibility with the existing Forum specifications
• Amplifying interoperability by relying on standardized technologies
• Supporting scalable security based on the application or a fixed level defined
by the NFC Forum
With NFC penetrating most industry fields, demand is set only to increase,
and we are bound to see NFC enabled devices get adopted in more and more
household over the next few years. Conid-19 has already resulted in a much
higher adoption rate of NFC and is pushing technology forward to enable more
contactless and wireless options for a broad range of use cases. If anything the
future is about to get a lot more exciting!
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