Currently the Nexus S is the only Android phone sold to contain an NFC chip. NFC stands for Near Field Communication, and can be used for checking into locations automatically, collecting links and even as a payment system such as a credit card replacement.
Inside Secure is releasing a software update this month that will make it so the device will use universal API’s and software for NFC transfers. This type of communication is expected to be very big in 2011, so having everyone use the same software makes everything easier.
With MWC coming up, I’m sure we’ll see some more phones with this hardware included. While their are some people who feel this type of technology isn’t as safe as traditional credit cards, the beauty of choice allows them not to set NFC up on a new device if it supports it.
The update will be available on Inside Secure’s site, and will have to be downloaded and installed by the user. It is not known if Google plans to incorporate it in a future update of Android.
You can read their full press release on their site.