I always thought it was for push notifications but there is an option below for push notifications and lately, all apps are being rejected because they say we are using NFC which we are not using. I joined the company a few months ago and no one knows why this is enabled?
Searching for remote notifications seems to only give me unrelated answers about push notifications.
I'm using Xcode 11.5 and this option has been here for most of the Xcode 11 versions.