ZTE Chief: No Plans Yet for NFC Rollout

BARCELONA – The head of China-based telecom equipment maker ZTE told NFC Times the company will supply NFC-enabled phones in response to orders from mobile operators, but does not plan to include the technology in phones as a default feature.

That is contrary to reports that circulated today saying ZTE, one of the largest makers of mobile phones worldwide, would be generally including NFC technology in its smartphones and feature phones starting in the second quarter.

The earlier reports stemmed from a press release by NXP Semiconductors that announced that the chip maker had concluded a deal with ZTE for the handset maker to include NXP’s PN544 NFC chips in its "rapidly expanding line of global smartphones and feature phones." That would include at least some of ZTE’s Android-based smartphones.

But ZTE president and CEO Shi Lirong, speaking at a press conference on an unrelated announcement involving ZTE’s large network infrastructure business at the Mobile World Congress in Barcelona, told NFC Times that while the company sees much potential for NFC, no decision has been made to roll out the technology.

"If the operator asks us, we will put NFC in the phones," he said.

If it receives orders, it presumably would use NXP’s PN544 chip in any new NFC phones it ships. The chip supports payment and other secure applications on SIM cards. But also contrary to reports, ZTE did not announce the NXP deal or, for that matter, issue any of its own announcements involving NFC at the trade show.

Some other press reports also said ZTE’s new Android-based Skate phone would include NFC. But the phone, which ZTE announced in Barcelona, only supports Android’s latest operating system, 2.3, which includes software support for NFC. The phone model, however, will not necessarily carry an NFC chip.

ZTE is believed to have introduced only one NFC phone to date, the R233, in around 2009. The feature phone contained an Inside Secure chip, a source said. ZTE shipped the phone in China and Brazil, a company representative told NFC Times.

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