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The value of contactless Near Field Communication purchases initiated with mobile phones will exceed $75 billion worldwide by 2013, according to a report by United Kingdom-based Juniper Research. Low-value purchases of tickets and food will account for the bulk of the transactions, the report notes. The Far East and China, North America and Western Europe will represent nearly 90% of the NFC market. Though NFC trial results have been encouraging, the industry still needs to convince consumers and merchants of the advantages of another payment option in addition to cash, checks, and credit and debit cards, author Howard Wilcox writes in the report. Industry players also should tout the security of NFC mobile payments, Wilcox writes. Shipment of NFC devices will remain slow this year and in 2009, but Wilcox predicts that 20% of phones shipped between 2010 and 2013 will support NFC payments. "NFC will achieve traction initially in developed countries and regions with Japan already leading the way with Felica-enabled phones," Wilcox writes. "North America, Western Europe and countries such as Korea, Singapore and Australia are likely to see service take-up."

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