That's what they're talking about. And the rumor has been confirmed!
One of the co-founders of Twitter, Jack Dorsey, has started a trial session of a service called SquareUp for your iPhone. It allows you to run credit cards for services, to identify the credit card owner by a picture, to have an instant (and paperless) receipt.
The credit card swiper will obviously be sold separately and will probably be cheaper than the credit card machines that sellers must deal with now.
Payer verification is done through free SquareUp accounts. These accounts also serve to provide a similar service as the paper punch cards did, letting the seller know if the accountholder is eligible for special offers for using the service or what not.
Receipts will be able to be both emailed to the purchaser or texted to their phone, allowing the purchaser to not lose them as well as to go paperless.
SquareUp is claiming that the service will be available to everyone by 2010.
While this seems like a fantastic service to provide to people, our question here at iSmashPhone.com: will AT&T's network be able to withstand this on top of the current and new iPhone usages? on top of the fact that Amazon.com's Whispernet for their Kindle ebook reader is also run through the same 3G network?
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