Visible light communication (VLC) is a new emerging technology that uses standard visible light to transmit broadband data streams in addition to illumination. In our research we have theoretically studied an innovative device that can serve as a modulating retro-reflector (MRR) for VLC applications. The device comprises of a nanocoposite of ferroelectric thin-film embedded with noble metal nano-shells. In comparison to the nano-spheres, the nano-shells provide more flexibility in the design of the device. This MRR can be used in asymmetric communication links as an optical transceiver for mobile devices. The main conclusion from our study is that a nanocomposite based MRR can save power, complexity, dimensions and weight in comparison to standard communication links. this fact is very important for mobile platforms.