This article cannot explain it any eaiser
http://en.wikipedia.org/wiki/BluetoothBut let's talk about its possibilities. When Motorola first instroduced this technology, circa 2004, to their cellphone V710, I had the rare opportunity to meet with the marketing directors for some presentations.
I was blown away. And the applicability for this short wave radio frequency device would be cosmic. Short months thereafter, I heard a rumor that Lexus incorporated this device to their high end cars that equipted with automatic door unlock feature. The owner's key contains Bluetooth high encrypted key transmitter and the according to the proximity of this signal and the handle sensor would unlock the car, adjust settings such as mirrors, seat recline, according to the key 'codes' and even tune to the radio station if the driver should wished.
How about in the medical field? Carrying a simple, small device with all your vital information stored that can be read and accessed by hospital administrators just by getting the read out--that's like that Star Trek's bio-rhythem scanners (I don't know the actual name for the but this sounds pretty cool, don't you think?

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And since it works with conjuction of radio frequency and high encrypted key generating instruction, they say that Bluetooth is yet to be hacked. It is my understanding that this technology is the greatest concept since the arrival of floppy discs

Of course, I should mention all those currently existing wonderful devices, such as, Bluetooth mouse, microphone, head set, web cam, and keyboard
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