NFC Chips Market: Declining Manufacturing Cost Driving Demand
NFC technology enables smartphones and other empowered devices to communicate. NFC chips refer to integrated circuits (ICs) that control transactions and store information and these chips facilitate communication between NFC-enabled devices within a radius of four inches. The chips have been gaining popularity owing to their convenience as they aid in sharing data, software, images, and wireless payments on an almost instant basis. NFC chips are increasingly being incorporated in credit card terminals and smartphones.
The report finds that the prices of different components required to manufacture NFC chips have considerably decreased, resulting in a declining cost of NFC chips. This in turn, has led to an increasing demand for the same. Moreover, key players in the global market for NFC chips are introducing low power NFC chips that reduce power consumption by more than half, thereby boosting the demand. The increasing demand for wireless transactions is propelling the requirement for NFC-enabled smartphones.
The global NFC chips market can be segmented on the basis of operation mode, end users, and geography. Based on operating mode, the market is segmented into peer-to-peer, card emulation, and reader emulation. On the basis of end users, the market can be divided into retail, banking, automotive, transportation, healthcare, residential and commercial, electronics, and others. The implementation of NFC-enabled PoS terminals and electronic shelf labels has made the retail industry the most prominent consumer of NFC chips. Geographically, the global market for NFC chips can be segmented into North America, Europe, Asia Pacific, the Middle East and Africa, and Latin America.