Mike Isaac for the NYT:
Mobile-based payments in the United States are expected to reach $142 billion in volume in 2019, according to a report from the research firm Forrester, from about $50 billion currently. In the study, which will be released on Monday morning, the firm spoke to a dozen payments industry companies, including PayPal, Verifone and Visa. They indicated that the shift to mobile commerce was growing quickly.
Dig deeper and you'll see that by 2019, in-person mobile payments are expected to hit $34 billion, while remote purchases (via apps and websites) are expected to reach $91 billion. The latter helping to explain how important Touch ID iPads with NFC chips on board are for Apple:
Teardowns of Apple’s new iPad Air 2 revealed an NFC chip that wasn’t officially announced by Apple, but sources close to the situation have confirmed it’s only being used as a Secure Element for Apple Pay in-app purchases.
Apple describes the Secure Element on its website, which is used to securely store account numbers associated with credit cards for Apple Pay on both the iPad Air 2 and iPad mini 3, according to our source: With Apple Pay, instead of using your actual credit and debit card numbers when you add your card to Passbook, a unique Device Account Number is assigned, encrypted, and securely stored in the Secure Element, a dedicated chip in iPhone. These numbers are never stored on Apple servers. And when you make a purchase, the Device Account Number, along with a transaction-specific dynamic security code, is used to process your payment. So your actual credit or debit card numbers are never shared by Apple with merchants or transmitted with payment.