• Bloomberg , Tuesday, March 15, 2011 12:06 PM

Breaking into the business of real-world commerce, Google reportedly plans to start testing a mobile-payment service at stores in New York and San Francisco. Within four months, Android users will be able to use their smart phones to buy products and services from select merchants, sources tell Bloomberg. "The project would put Google in a growing field of companies experimenting with [near-field-communication technology], which lets consumers pay for products and services by tapping a device against a register at checkout, giving them an alternative to cash or physical credit cards."

Regarding New York and San Fran, Engadget writes: "Those two technophile cities represent the most receptive audience NFC is likely to get in the U.S." Strengthening Google's already deep consumer ties, the service may combine a user's financial account information, gift-card balances, store loyalty cards and coupon subscriptions on a single NFC chip on their Android phone. "This is good news for Google, considering the iPhone 5 reportedly won't have near field communications technology," notes Business Insider.

"Google, however, doesn't have many NFC devices out in the world," according to Fortune. Yet, "If Apple does skip NFC hardware for another year, it will likely give Google a solid window with which to build infrastructure ... Apple may in fact choose to skip NFC, instead relying on third parties." To facilitate the system, Google is reportedly paying for the installation of thousands of special cash-register systems from VeriFone Systems. The registers would accept payments from NFC-equipped phones.

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