Yea, I know they could use a paper wallet, but that may be too technical for a merchant just getting into Bitcoin. Plus, they most likely will want to convert to USD.

Do any of the payment processors offer low tech solutions such as paper wallets/QR codes that are tied to their account? I feel like having to either have a dedicated smartphone/tablet or using their personal phone/tablet may be a barrier for some stores.

Do any of the existing POS hardware solutions have Bitcoin payment capabilities that don't require displaying a QR code?