To announce the launch, Google ran with a splendid George Costanza moment from Seinfeld. Fans of the show will undoubtedly remember George’s enormous wallet. “This isn’t just my wallet. It’s an organizer, a memory and an old friend.” Here’s the Google video recalling that special moment in Seinfeld when George finally realized he may have filled his “old friend” just a tad too much.

Google Wallet’s dedicated Android app will finally allow Nexus S owners to use their smartphone as a wallet, something Google showcased a few months ago. At special PayPass-enabled merchant terminals (which are only available in a selection of cities currently), Nexus S users will be able to “tap and pay,” for goods without using a credit card or cash.

Though the lack of compatible devices and small number of merchants may seem like an impediment to the success of Google Wallet, the company usually likes to start things small and grow from there. Once more NFC-enabled devices hit the market and more stores install the merchant terminals, Google will likely be at the forefront of this new technology to make buying items in stores a whole lot quicker and easier.

We’ll have to see how Apple and its iOS line of devices respond. Will the new iPhone expected in October offer Near Field Communication (NFC) capabilities? Will Apple launch its own payment service too?

Stay tuned to Appolicious and and we’ll bring you the news when we know it.