Apple has an answer to the upcoming NFC or Near-Field Communication technology in the form of its own Passbook feature, which enables retailers to develop smart apps for transactions. The new app does not rely on the NFC hardware.

Scott Forstall, Apple's head of iOS development, was the first to demonstrate the Passbook feature at the company's June Worldwide Developer Conference. The new app has the ability to manage boarding passes, tickets, store cards, and coupons. It also supports push updating and geolocation features.

According to CEO Tim Cook, the new app is a key feature but it's too early to mention anything specifically. Asked about the potential of the new app in July, Cook stated, "I think all of us have found that we were getting many passes and many tickets, maybe boarding passes, that were getting scattered all over our iPhones in different apps. And so Passbook does an incredible job of pulling all of those to one place."

Per an AppleInsider report, the new app "provides time and location based features that support orgaanizing digital coupons and tickets, enabling coupon expiration dates and presenting proximity alerts when a digital ticket can be used, such as popping up a boarding pass when you enter the terminal or presenting a store card when nearby a retail outlet."

Passbook is set to work on all devices upgraded to iOS 6, dating back to the 2009 iPhone 3GS. Moreover, like Game Center, Passbook supports new features within third-party apps. This support enables developers to design titles that can "generate limited-time coupons or sell entry to events."

Apple's Passbook is considered to be the company's first step towards a digital wallet feature.