1. Point & Pay Mobile Electronic Wallet Presentation by: Dalal Elmahdy Jason Juneau

2. What it isHow it WorksKey PlayersBenefitsConclusionMarketing & Money Agenda  What is Point & Pay?  Key Players  How it works ExamplesExamples  Benefits  Conclusion

3. What it isHow it WorksKey PlayersBenefitsConclusionMarketing & Money What is Point & Pay?  Smart cards not as effective as hoped  Payment from a mobile device  Transactions From credit and debit to chequing accountFrom credit and debit to chequing account  PDA, Cell phone, Ir Device to POS terminal  Store e-receipts and synchronize with PC’s bookkeeping software What it is

4. How it WorksKey PlayersBenefitsConclusionMarketing & Money Key Players  IrDA’s IrFM  Mobile Electronic Transaction Forum  Bluetooth Short Range Financial Transaction Study Group  National Retail Federation’s Association for Retail Technology Standards Key Players

5. What it isHow it WorksKey PlayersBenefitsConclusionMarketing & Money How it Works - Radio Frequency  No line of sight  Non-metal barriers (furniture/walls) not a problem  Initiated by devices themselves  Not as common How it Works

6. What it isHow it WorksKey PlayersBenefitsConclusionMarketing & Money Esso Speedpass  Uses RF  Free  Marketing Receive extra Esso pointsReceive extra Esso points Entered into contestsEntered into contests How it Works

7. What it isHow it WorksKey PlayersBenefitsConclusionMarketing & Money Esso Speedpass  No credit info transmitted  2-part transaction validation Validates Speedpass device, not userValidates Speedpass device, not user  Security Issues No PIN or authenticationNo PIN or authentication No signatureNo signature More authentication to cancel than to useMore authentication to cancel than to use How it Works

8. What it isHow it WorksKey PlayersBenefitsConclusionMarketing & Money How it Works - Infrared  Oldest wireless technology  Not competing with RF Can be used in hospitals, airportsCan be used in hospitals, airports  Inherent Security Requires direct line of sightRequires direct line of sight  Readily available hardware IrFM accommodates 200+ million devicesIrFM accommodates 200+ million devices  5x faster  5x less power  10x less expensive How it Works

9. What it isHow it WorksKey PlayersBenefitsConclusionMarketing & Money IrFM v1.0 Unveiled!  Approved v1.0 in Dec. 2002  Standards already implemented  Existing financial services infrastructures  Official introduction at ARTS booth at NRF Show, NYC, Jan. 2003  Built on Harex/ZOOP test in South Korea How it Works

10. What it isHow it WorksKey PlayersBenefitsConclusionMarketing & Money ZOOP and U of SC  ZOOP: Korean P&P Universal Mobile Payment Service (UMPS)Universal Mobile Payment Service (UMPS) Positioned as world leader in implementation on mobile phonesPositioned as world leader in implementation on mobile phones  Success in city of Seongnam (South Korea) How it Works

11. What it isHow it WorksKey PlayersBenefitsConclusionMarketing & Money ZOOP and U of SC  First testing ground in U.S.  ZOOP Ir receiver is $30  Bookstore first, then Dining venuesDining venues Residence buildingsResidence buildings Library cardLibrary card  Reduces congestion, improves services  Homogeneous system How it Works

12. What it isHow it WorksKey PlayersBenefitsConclusionMarketing & Money Marketing  Everyone who makes purchases  Inform the masses  No charge for service  Loyalty incentives  Emphasis on benefits Ease of UseEase of Use ConvenienceConvenience Marketing & Money

13. What it isHow it WorksKey PlayersBenefitsConclusionMarketing & Money Making Money  Software applications  Devices  Backbone system DatabaseDatabase IntegrationIntegration  Usage Like VISALike VISA Marketing & Money

14. What it isHow it WorksKey PlayersBenefitsConclusionMarketing & Money Consumer Benefits  Convenient  Economic  Secure  Universal Benefits

15. What it isHow it WorksKey PlayersBenefitsConclusionMarketing & Money Business Benefits  Card Companies  Wireless Service Providers  Mobile Phone companies  Merchants  Financial Institutions Benefits Cheques 57% Cash 22% Debit/ATM 5% Credit 16%

16. What it isHow it WorksKey PlayersBenefitsConclusionMarketing & Money Where is it being used?  Currently Toll boothsToll booths Parking lots/metersParking lots/meters Fuel stationsFuel stations USC Campus storesUSC Campus stores Vending machinesVending machines  Future: Credit and debit card companiesCredit and debit card companies BanksBanks RetailersRetailers ShopsShops Public transitPublic transit Conclusion

17. What it isHow it WorksKey PlayersBenefitsConclusionMarketing & Money Summary Applications Infrared and Radio Frequency Benefits Where we’re at Security Risks and guarantees Marketing Offer free services and extras May charge for service in future Making Money Software, Backbone, and usage Benefits Consumers and Businesses Conclusion

18.  3G Co. “Wireless Phones: Credit Card Fraud Boost” February 5, 2003. Online. Internet. http://www.3g.co.uk/PR/November2002/4454.htm http://www.3g.co.uk/PR/November2002/4454.htm  CardTrack. “Future Payments” February 19, 2003. Online. Internet. http://www.cardweb.com/cardtrak/pastissues/oct02.html http://www.cardweb.com/cardtrak/pastissues/oct02.html  Carson, K.M. “Point and Shoot!” February 20, 2003. Online. Internet. http://retailsystemsreseller.com/archive/Aug01/Aug01_2.shtml http://retailsystemsreseller.com/archive/Aug01/Aug01_2.shtml  Esso. “Esso Imperial Oil Website” February 20, 2003. Online. Internet. http://www.esso.ca/ http://www.esso.ca/  Godwin-Jones, B. “Emerging Technologies: Wireless Networks”. February 20, 2003. Online. Internet. http://llt.msu.edu/vol6num1/emerging/default.html http://llt.msu.edu/vol6num1/emerging/default.html  Gore, D. “USC Tests Korean Company's "Point and Pay" Mobile Phone Service” February 19, 2003. Online. Internet. http://www.marshall.usc.edu/Web/Press.cfm?doc_id=4171 http://www.marshall.usc.edu/Web/Press.cfm?doc_id=4171  Harex InfoTech. Website. February 19, 2003. Online. Internet. http://www.mzoop.com/ http://www.mzoop.com/  Immtec, Inc. “mewallet-Mobile Electronic Wallet from Immtec” February 20, 2003. Online. Internet. http://www.mewallet.com/mewallet_modules.htm http://www.mewallet.com/mewallet_modules.htm  Infrared Data Associations. “Creating an End-to-End Digital Payment System”. February 24, 2003. Online. Internet. http://www.irda.org/FMPAY/FM_Whitepaper.pdf http://www.irda.org/FMPAY/FM_Whitepaper.pdf  Infrared Data Associations. “Harex InfoTech, Inc. Adapting Handspring Treo for its wireless mobile payments trial at the University of Southern California” February 20, 2003. Online. Internet. http://www.irda.org/news/Harex_Handspring.pdf http://www.irda.org/news/Harex_Handspring.pdf  Infrared Data Associations. IrDA Webpage. February 22, 2003. Online. Internet. http://www.irda.org/ http://www.irda.org/  Long, M. “IrDA Releases Wireless 'Point & Pay' Standard” February 12, 2003. Online. Internet. http://www.e-insite.net/index.asp?layout=article&articleid=CA195178 http://www.e-insite.net/index.asp?layout=article&articleid=CA195178  McommerceTimes. “Wireless Point and Pay?” February 3, 2003. Online. Internet. http://www.mcommercetimes.com/Technology/296 http://www.mcommercetimes.com/Technology/296  Peretz, M.A. “Wireless Payment Solution on USC Campus Uses Treo” February 19, 2003. Online. Internet. http://www.allnetdevices.com/wireless/news/2002/09/26/wireless_payment.html http://www.allnetdevices.com/wireless/news/2002/09/26/wireless_payment.html  Sundgot, J. “Point-and-pay with IrFM” February 18, 2003. Online. Internet. http://www.infosync.no/news/2002/n/2868.html http://www.infosync.no/news/2002/n/2868.html  Zayels, J. “Point And Shoot: The Future Of Wireless Payment Technologies” February 20, 2003. Online. Internet. http://www.webtrendsolutions.com/guestarticle32.htm http://www.webtrendsolutions.com/guestarticle32.htm References