The next version of the iPhone is said to be designed with Near Field Communications, or NFC technology.  The new processor chips are going to be installed in the Apple iPhone 5 that will enable it do new things.

Apple foresees a future where your phone will replace your wallet and everything in it. NFC is already in the Samsung Galaxy S Nexus phone by Samsung, and the technology will see a surge in awareness and implementation in 2011 and going forward. NFC is a chip contained in the phone that transmits a small radio frequency a small distance, about 20 centimeters. The vision is to have NFC-enabled devices seamlessly communicate with one another instantly without any wires or wait time. Imagine going into the grocery store and just waving your phone at the checkout machine. Instantly, your credit card or bank account is charged and you are on your way.

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