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Direct mobile-to-mobile communication, also known as device-to-device (D2D), is expected to be a part of LTE-A in 3GPP Release 12. Direct communication will improve spectrum efficiency, overall system throughput, and energy efficiency, and decrease the delay between devices. It will enable new peer-to-peer and location-based applications and services. Introducing D2D poses many challenges and risks to the longstanding cellular architecture, which is centered on the base station. Therefore, in this article we explain the architectural and technical challenges for D2D communication in the 3GPP standard, and at the end of the article we also highlight the real-life applications and use cases for D2D communication. It is clear that D2D can offer a palette of interesting colors that can paint new business opportunities for mobile stakeholders, promoting its candidacy for next generation wireless communication system.